Goldman Sachs analyst Ryan Nash maintains $Comerica (CMA.US)$ with a hold rating, and maintains the target price at $71.
According to TipRanks data, the analyst has a success rate of 65.9% and a total average return of 11.7% over the past year.
Furthermore, according to the comprehensive report, the opinions of $Comerica (CMA.US)$'s main analysts recently are as follows:
As the Q4 earnings season approaches for regional banks, expected trends encompass minimal growth in loans and deposits, a slight decline in net intercessor margins, and stable credit trends overall. Going forward, a key focus beyond the reported earnings will be the banks' outlooks for 2025, which are anticipated to reflect a 'higher for a bit longer' interest rate environment. The overall stance towards regional bank stocks in 2025 is optimistic, albeit moderated by the Federal Reserve's outlook on rate reductions.
Looking ahead to a more normalized environment, it is anticipated that Comerica's relative improvement in operating metrics may be slower compared to its peers. Despite the potential for tailwinds in net interest income by 2025, stemming from securities repricing and a resurgence in loan growth, challenges may persist. Particularly, the demand deposit account could continue to be a drawback in a slower rate cutting cycle, potentially impacting net interest income.
Analysts are optimistic about bank stocks as we head towards 2025, citing potential accelerations in earnings growth driven by enhanced loan growth, increased activity in capital markets, the resumption of positive operating leverage, and ongoing share buybacks. The expectation is that price-to-earnings multiples will broaden, supported by a stable economic environment, decreased regulatory burdens, elevated returns, and ongoing mergers and acquisitions. It's argued that large-cap banks may surpass market performance into 2025 due to the anticipated quickening of earnings growth.
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