Commerce Bancshares (NASDAQ:CBSH) was upgraded by Zacks Investment Research from a “sell” rating to a “hold” rating in a report released on Wednesday, Zacks.com reports. The brokerage presently has a $50.00 target price on the financial services provider’s stock. Zacks Investment Research‘s target price indicates a potential downside of 15.18% from the stock’s previous close.
According to Zacks, “Shares of Commerce Bancshares have marginally underperformed the industry over the past six months. The company has an impressive earnings surprise history. Its earnings have surpassed the Zacks Consensus Estimate in three of the trailing four quarters. While solid loan and deposit balances, higher interest rates, efforts to grow fee income and strong balance sheet position will continue supporting the company's profitability, persistently mounting operating expenses (mainly due to higher compensation costs) are likely to hamper bottom-line growth to some extent. Moreover, the company's exposure to risky loan portfolios remains a major near-term concern as it will likely hamper financials. Though there has been an improvement in the housing sector, any further deterioration in the real estate prices will pose a problem for the company.”
A number of other research analysts also recently weighed in on CBSH. BidaskClub downgraded shares of Commerce Bancshares from a “hold” rating to a “sell” rating in a research report on Friday, March 15th. Stephens reiterated a “hold” rating and issued a $62.00 price objective on shares of Commerce Bancshares in a research report on Thursday, April 11th. Finally, DA Davidson decreased their price objective on shares of Commerce Bancshares to $60.00 and set a “neutral” rating for the company in a research report on Friday, April 12th. Two investment analysts have rated the stock with a sell rating and eight have issued a hold rating to the stock. Commerce Bancshares presently has a consensus rating of “Hold” and a consensus target price of $60.18.
Shares of Commerce Bancshares stock traded down $0.09 during trading hours on Wednesday, reaching $58.95. The stock had a trading volume of 11,487 shares, compared to its average volume of 441,787. The company has a market cap of $6.52 billion, a P/E ratio of 15.60, a price-to-earnings-growth ratio of 2.01 and a beta of 0.75. Commerce Bancshares has a twelve month low of $53.40 and a twelve month high of $72.55.
Commerce Bancshares (NASDAQ:CBSH) last issued its quarterly earnings data on Thursday, April 11th. The financial services provider reported $0.85 earnings per share for the quarter, missing analysts’ consensus estimates of $0.91 by ($0.06). The firm had revenue of $324.73 million during the quarter, compared to analyst estimates of $333.99 million. Commerce Bancshares had a return on equity of 15.65% and a net margin of 30.39%. As a group, sell-side analysts expect that Commerce Bancshares will post 3.67 earnings per share for the current fiscal year.
In related news, insider John K. Handy sold 3,541 shares of the company’s stock in a transaction dated Monday, May 6th. The shares were sold at an average price of $61.79, for a total transaction of $218,798.39. Following the completion of the transaction, the insider now owns 35,251 shares in the company, valued at approximately $2,178,159.29. The transaction was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, insider Patricia R. Kellerhals sold 851 shares of the company’s stock in a transaction dated Friday, March 15th. The stock was sold at an average price of $61.17, for a total transaction of $52,055.67. Following the transaction, the insider now owns 6,127 shares of the company’s stock, valued at approximately $374,788.59. The disclosure for this sale can be found here. 3.60% of the stock is owned by corporate insiders.
A number of hedge funds and other institutional investors have recently made changes to their positions in CBSH. Vanguard Group Inc grew its stake in shares of Commerce Bancshares by 3.1% in the 3rd quarter. Vanguard Group Inc now owns 9,851,300 shares of the financial services provider’s stock valued at $650,384,000 after buying an additional 300,762 shares during the period. BlackRock Inc. boosted its position in shares of Commerce Bancshares by 1.2% during the 1st quarter. BlackRock Inc. now owns 9,449,871 shares of the financial services provider’s stock worth $548,659,000 after purchasing an additional 109,409 shares during the period. Commerce Bank boosted its position in shares of Commerce Bancshares by 2.5% during the 1st quarter. Commerce Bank now owns 7,240,002 shares of the financial services provider’s stock worth $420,355,000 after purchasing an additional 176,566 shares during the period. Lazard Asset Management LLC boosted its position in shares of Commerce Bancshares by 4.9% during the 1st quarter. Lazard Asset Management LLC now owns 3,903,818 shares of the financial services provider’s stock worth $226,653,000 after purchasing an additional 183,177 shares during the period. Finally, Oregon Public Employees Retirement Fund boosted its position in shares of Commerce Bancshares by 5,818.8% during the 4th quarter. Oregon Public Employees Retirement Fund now owns 2,190,482 shares of the financial services provider’s stock worth $39,000 after purchasing an additional 2,153,473 shares during the period. 63.08% of the stock is owned by institutional investors.
Commerce Bancshares Company Profile
Commerce Bancshares, Inc operates as the bank holding company for Commerce Bank that provides retail, mortgage banking, corporate, investment, trust, and asset management products and services to individuals and businesses. It operates through three segments: Consumer, Commercial, and Wealth. The Consumer segment offers various banking products and services, including consumer deposits; consumer loans, such as automobile, motorcycle, marine, tractor/trailer, recreational vehicle, fixed rate and revolving home equity, and other consumer loans; patient health care financing; real estate loans; indirect and other consumer financing; personal mortgage banking; consumer installment lending; and consumer debit and credit bank cards, as well as provides online banking services.
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