HoldCo Acquires 2.29 Million Shares of Comerica for $156.94 Million
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2h ago
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Source: Fool
- New Investment Position: On November 13, HoldCo Asset Management disclosed a new stake in Comerica, acquiring 2.29 million shares valued at $156.94 million, making it the largest holding in the fund's 13F report, indicating strong confidence in the bank.
- Significant Asset Allocation: This acquisition accounts for 16.56% of HoldCo's 13F assets under management, reflecting the fund's strategic focus on regional banks, particularly after a tumultuous market period.
- Stable Performance: Comerica reported a third-quarter net income of $176 million, showing slight year-over-year decline but supported by stable net interest income and rising average deposits, highlighting the bank's operational resilience.
- Enhanced Market Competitiveness: Comerica's stock has surged 41% over the past year, significantly outperforming the S&P 500's 16% increase, indicating its competitive advantage and growing investment appeal in the regional banking sector.
Analyst Views on CMA
Wall Street analysts forecast CMA stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for CMA is 79.46 USD with a low forecast of 68.00 USD and a high forecast of 97.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
14 Analyst Rating
1 Buy
10 Hold
3 Sell
Hold
Current: 87.470
Low
68.00
Averages
79.46
High
97.00
Current: 87.470
Low
68.00
Averages
79.46
High
97.00
About CMA
Comerica Incorporated is a financial services company. The Company's segments include Commercial Bank, Retail Bank, Wealth Management, Finance and Other. Commercial Bank segment meets the needs of small and middle market businesses, multinational corporations and governmental entities by offering various products and services including commercial loans and lines of credit, deposits, cash management, and others. Retail Bank segment includes a full range of personal financial services, consisting of consumer lending, consumer deposit gathering and mortgage loan origination. It offers a variety of consumer products, including deposit accounts, installment loans, credit cards and others. Wealth Management segment provides products and services to affluent, high-net worth and ultra-high-net-worth individuals and families, business owners and executives, and institutional clients. Finance segment includes its securities portfolio and asset and liability management activities.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
