Back to top

Analyst Blog

This page is temporarily not available.  Please check later as it should be available shortly. If you have any questions, please email customer support at or call 800-767-3771 ext.  9339.

On Jun 3, 2013, we reiterated our long-term recommendation on Commerce Bancshares, Inc. (CBSH - Analyst Report) at Neutral. This was based on the company’s sturdy capital base and solid liquidity position, despite its first-quarter earnings marginally missing the Zacks Consensus Estimate.

Why Neutral?

Commerce Bancshares has expanded through periodic acquisitions driven by a stable balance sheet position. Further, the company is an attractive choice for yield-seeking investors. The company has an effective share repurchase program and a consistent dividend payment policy. Moreover, it is conveniently poised for growth, given a rise in deposits and stable loan to deposit ratio.

Commerce Bancshares’ earnings of 67 cents per share were a penny below the Zacks Consensus Estimate. The lower-than-expected results were mainly due to a fall in revenues, partly offset by reduced operating expenses.  

Following the first-quarter results, the Zacks Consensus Estimate for 2013 fell by a cent to $2.84 per share over the last 60 days. For 2014, the Zacks Consensus Estimate dipped 1.0% to $2.91 per share, over the same time-frame. Hence, Commerce Bancshares currently carries a Zacks Rank #3 (Hold).

Additionally, net interest income will likely be adversely affected in the near to mid-term due to a decrease in average loans coupled with a low interest rate environment. Further, higher operating expenses remain a major concern for Commerce Bancshares.

Other Banks Worth Considering

Better performing Midwest banks include Enterprise Financial Services Corp. (EFSC - Snapshot Report),  First Interstate Bancsystem Inc. (FIBK - Snapshot Report) and Old Second Bancorp Inc. (OSBC - Snapshot Report), all of which carry a Zacks Rank #1 (Strong Buy).

Please login to or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research


Are you a new Zacks Member or a visitor to

Top Zacks Features

Learn more

Start for as little as $4.50 per trade.

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
DIXIE GRP IN DXYN 15.84 +7.90%
BOFI HLDG IN BOFI 85.30 +4.97%
RAMBUS INC RMBS 12.31 +4.41%
VIPSHOP HOLD VIPS 148.73 +4.35%
NETFLIX INC NFLX 345.74 +4.32%