Comerica Incorporated (NYSE: CMA) Loses -48.34% From High. Why That Could Change?


    BlackRock Fund Advisors recently announced the acquisition of new stake in Comerica Incorporated (NYSE:CMA). The institutional investor has increased its shareholding in the Financial company by 1.37% to 7.78 million shares with purchase of 0.11 million shares. This fresh investment now brings its stake to 5.60% valued currently at $296.51 million. In addition, Fidelity Management & Research Co. raised its holdings by 2.9 million to 2.9 million shares. And Geode Capital Management LLC has lifted its position by 3.58% or 81828.0 shares – to 2.37 million shares.

    With over 2.41 million Comerica Incorporated (CMA) shares trading Thursday and a closing price of $38.25 on the day, the dollar volume was approximately $92.29 million. The shares have shown a positive weekly performance of 2.35% and its price on 07/30/20 lost nearly -1.47%. Currently, there are 141.00M common shares owned by the public and among those 137.62M shares have been available to trade.

    An analysis of what Wall Street brokers have to say about the expected price targets for this stock gives us this picture: 25 analysts who have offered their price forecasts for CMA have a consensus price objective of $40.01. The analysts have set the share’s price value over the next 12 months at a high of $50.00 and a low of $26.00 should the stock experience a downside. Incidentally, analysts’ outlook for the Comerica Incorporated stock is 3.00 for the next 12 months. The average price target is 3.97% above its last price level and an upside to the estimated low will see the stock lose -47.12% over that period. But an upside of 23.5% will see the stock hit the forecast high price target while mean target price for the stock is $39.00.

    Insiders at the company have transacted a total of 118 times over the past 12 months, according to data filed with the U.S. Securities and Exchange Commission (SEC). 33 of these insider trades were purchases, accounting for 150,006 shares. Insider sales of the common stock occurred on 85 occasions, with total insider shares sold totaling 72,655 shares.

    The top 3 mutual fund holders in Comerica Incorporated are Vanguard Total Stock Market Index, Vanguard 500 Index Fund, and American Century Cap. Port. Inc. Vanguard Total Stock Market Index owns 3.95 million shares of the company’s stock, all valued at over $150.36 million. The company sold -0.25 million shares recently to bring their total holdings to about 2.84% of the shares outstanding. Vanguard 500 Index Fund sold 60359.0 shares to see its total holdings shrink to 2.88 million shares valued at over $109.67 million and representing 2.07% of the shares outstanding. American Century Cap. Port. Inc. sold -0.7 million shares to bring its total holdings to over 2.3 million shares at a value of $87.72 million. American Century Cap. Port. Inc. now owns shares totaling to 1.66% of the shares outstanding.

    Shares of Comerica Incorporated (NYSE: CMA) opened at $37.41, down -$1.41 from a prior closing price of $38.82. However, the script later closed the day at $38.25, down -1.47%. The company’s stock has a 5-day price change of 2.35% and 9.72% over the past three months. CMA shares are trading -46.69% year to date (YTD), with the 12-month market performance down to -47.75% lower. It has a 12-month low price of $24.28 and touched a high of $74.04 over the same period. Currently, 2.41 million shares have been traded, compared to an average intraday trading volume of 2.14 million shares. The stock is trading above its simple moving averages at the SMA20, SMA50, and SMA200, as the current price level is off by 5.99%, 1.47%, and -24.30% respectively.

    Institutional ownership of Comerica Incorporated (NYSE: CMA) shares accounts for 84.30% of the company’s 141.00M shares outstanding. Mutual fund holders own 4.46%, while other institutional holders and individual stakeholders account for 52.51% and 31.49% respectively.

    It has a market capitalization of $5.31B and a beta (3y monthly) value of 1.84. The stock’s trailing 12-month PE ratio is 9.21, while the earnings-per-share (ttm) stands at $4.15. The company has a debt-to-equity ratio at 0.49. Price movements for the stock have been influenced by the stock’s volatility, which stands at 4.16% over the week and 4.68% over the month.

    Analysts forecast that Comerica Incorporated (CMA) will achieve an EPS of $0.74 for the current quarter, $0.82 for the next quarter and $3.34 for 2021. The lowest estimate earnings-per-share for the quarter is $0.38 while analysts give the company a high EPS estimate of $1.07. Comparatively, EPS for the current quarter was $1.96 a year ago. Earnings per share for the fiscal year are expected to increase by 10.60%, and 83.07% over the next financial year.

    If you are looking to buy this stock, then you may note that the average analyst recommendation by 25 brokerage firm advisors rate Comerica Incorporated (CMA) as a “Hold” at a consensus score of 3.00. Specifically, 3 Wall Street analysts polled rate the stock as a buy, while 15 of the 25 advise that investors “hold,” and 4 rated it as a “Sell.”

    Looking at the support for the CMA, a number of firms have released research notes about the stock. Odeon stated their Sell rating for the stock in a research note on July 22, 2020, with the firm’s price target at. Robert W. Baird coverage for the Comerica Incorporated (CMA) stock in a research note released on July 10, 2020 offered a Outperform rating with a price target of $49. Wedbush was of a view on June 09, 2020 that the stock is Outperform, while B. Riley FBR gave the stock Buy rating on June 04, 2020, issuing a price target of $35- $50. Compass Point on their part issued Neutral rating on April 14, 2020.


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