Zacks Investment Research cut shares of Commerce Bancshares (NASDAQ:CBSH) from a hold rating to a sell rating in a report published on Tuesday.
According to Zacks, “Shares of Commerce Bancshares have underperformed the industry in the past three months. Nonetheless, the company’s earnings surpassed the Zacks Consensus Estimate in three of the trailing four quarters. Though, strong loans and deposit balances, and easing margin pressure should support revenue growth in the quarters ahead, continuously rising expenses are expected to hurt profitability. Also, the company has significant exposure to real estate loans, which remains a major concern. 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.”
Several other brokerages also recently weighed in on CBSH. Piper Jaffray Companies reissued a neutral rating and set a $60.00 price target on shares of Commerce Bancshares in a research report on Friday, October 6th. Keefe, Bruyette & Woods reaffirmed a sell rating and issued a $51.00 target price on shares of Commerce Bancshares in a research report on Friday, September 15th. Six analysts have rated the stock with a sell rating and five have given a hold rating to the company’s stock. The company currently has a consensus rating of Sell and a consensus target price of $56.63.
Commerce Bancshares (NASDAQ:CBSH) last announced its quarterly earnings results on Thursday, October 12th. The financial services provider reported $0.71 earnings per share for the quarter, missing the Thomson Reuters’ consensus estimate of $0.74 by ($0.03). The firm had revenue of $304.83 million for the quarter, compared to the consensus estimate of $317.28 million. Commerce Bancshares had a net margin of 23.93% and a return on equity of 12.08%. Commerce Bancshares’s revenue was up 4.9% on a year-over-year basis. During the same period last year, the business earned $0.68 EPS. equities analysts predict that Commerce Bancshares will post 2.77 earnings per share for the current fiscal year.
The business also recently announced a quarterly dividend, which will be paid on Monday, December 18th. Shareholders of record on Thursday, November 30th will be given a $0.225 dividend. This represents a $0.90 dividend on an annualized basis and a yield of 1.61%. The ex-dividend date of this dividend is Wednesday, November 29th. Commerce Bancshares’s dividend payout ratio (DPR) is presently 33.51%.
In other Commerce Bancshares news, Vice Chairman Jonathan M. Kemper sold 55,000 shares of Commerce Bancshares stock in a transaction that occurred on Monday, December 11th. The shares were sold at an average price of $55.06, for a total value of $3,028,300.00. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider V Raymond Stranghoener sold 6,399 shares of Commerce Bancshares stock in a transaction that occurred on Thursday, October 26th. The stock was sold at an average price of $58.40, for a total transaction of $373,701.60. Following the completion of the sale, the insider now directly owns 47,112 shares of the company’s stock, valued at approximately $2,751,340.80. The disclosure for this sale can be found here. Insiders own 4.30% of the company’s stock.
Institutional investors have recently modified their holdings of the company. Captrust Financial Advisors purchased a new position in shares of Commerce Bancshares during the 2nd quarter worth $106,000. Citizens Financial Group Inc RI boosted its stake in shares of Commerce Bancshares by 25.5% during the 2nd quarter. Citizens Financial Group Inc RI now owns 2,650 shares of the financial services provider’s stock worth $151,000 after acquiring an additional 539 shares during the last quarter. Mosaic Family Wealth LLC boosted its stake in shares of Commerce Bancshares by 5.8% during the 2nd quarter. Mosaic Family Wealth LLC now owns 3,297 shares of the financial services provider’s stock worth $187,000 after acquiring an additional 181 shares during the last quarter. Zurcher Kantonalbank Zurich Cantonalbank boosted its stake in shares of Commerce Bancshares by 8.6% during the 2nd quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 3,339 shares of the financial services provider’s stock worth $190,000 after acquiring an additional 264 shares during the last quarter. Finally, SignalPoint Asset Management LLC purchased a new position in shares of Commerce Bancshares during the 3rd quarter worth $226,000. Institutional investors and hedge funds own 59.15% of the company’s stock.
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About Commerce Bancshares
Commerce Bancshares, Inc is a bank holding company of Commerce Bank (the Bank). The Bank is engaged in general banking business, providing a range of retail, mortgage banking, corporate, investment, trust and asset management products and services to individuals and businesses. The Company operates through three segments: Consumer, Commercial and Wealth.
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