Back to top

Analyst Blog

Shares of Comerica Incorporated (CMA - Analyst Report) crafted a new 52-week high, touching $44.03 at the end of the trading session on Nov 5. The closing price of this financial services provider represents a solid year-to-date return of 41.6%. The trading volume for the session was 2.58 million shares.

Despite hitting its 52-week high, this Zacks Rank #2 (Buy) stock has plenty of upside left, given its strong estimate revisions over the last 30 days and expected long-term earnings growth of 6.8%.

Growth Drivers

Impressive third-quarter 2013 results – including a positive earnings surprise of 9.86% and top-line growth – as well as a strong capital position were the primary growth drivers for Comerica.

On Oct 16, Comerica reported its third-quarter 2013 earnings of 78 cents per share, outpacing the Zacks Consensus Estimate by 9.86%. Moreover, results surpassed the prior-year quarter earnings by 27.9%.

A year-over-year increase of 8.6% in non-interest revenue, 7.1% fall in non-interest expenses and a rise in deposits and loans were the tailwinds for the quarter. Moreover, the company’s capital ratios depict its strong position. However, a 3.5% fall in net interest revenue acted as the headwind for the quarter.

Further, Comerica has now delivered positive earnings surprises in the last 4 quarters with an average beat of 7.68%.

Estimate Revisions Show Potency

Over the last 30 days, 18 out of 21 estimates for 2013 have been revised upward for Comerica, lifting the Zacks Consensus Estimate by 3.5% to $2.97 per share. For 2014, 14 out of 21 estimates moved north, helping the Zacks Consensus Estimate advance 1.7% to $2.95 per share.

Other better performing banks include BankUnited, Inc. (BKU - Analyst Report), KeyCorp (KEY - Analyst Report) and Huntington Bancshares Inc. (HBAN - Analyst Report). All 3 companies carry a Zacks Rank #2.

Please login to Zacks.com or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research

Close

Are you a new Zacks Member or a visitor to Zacks.com?

Top Zacks Features

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 Zacks.com. 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
UTD THERAPE… UTHR 117.83 +28.51%
TRIQUINT SE… TQNT 20.67 +6.52%
RF MICRO DE… RFMD 12.47 +6.04%
VASCO DATA… VDSI 14.77 +4.68%
BANCO DO BR… BDORY 15.53 +3.95%