Comerica (NYSE:CMA) to Repurchase 10,000,000 Stock

Comerica (NYSE:CMA) announced that its Board of Directors has approved a stock repurchase program on Tuesday, November 5th, RTT News reports. The company plans to buyback 10,000,000 outstanding shares. This buyback authorization allows the financial services provider to buy shares of its stock through open market purchases. Stock buyback programs are typically a sign that the company’s board believes its shares are undervalued.

Comerica Stock Performance

NYSE:CMA opened at $63.26 on Wednesday. The company has a debt-to-equity ratio of 0.97, a current ratio of 0.97 and a quick ratio of 0.97. The firm has a market capitalization of $8.32 billion, a price-to-earnings ratio of 15.81 and a beta of 1.22. The company’s 50-day moving average is $59.55 and its two-hundred day moving average is $54.62. Comerica has a 1-year low of $40.41 and a 1-year high of $66.06.

Comerica (NYSE:CMA) last released its earnings results on Friday, October 18th. The financial services provider reported $1.33 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.17 by $0.16. Comerica had a net margin of 11.17% and a return on equity of 12.54%. The company had revenue of $1.26 billion for the quarter, compared to analyst estimates of $806.49 million. During the same period in the prior year, the business earned $1.84 EPS. Analysts forecast that Comerica will post 5.37 EPS for the current year.

Comerica Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, January 1st. Shareholders of record on Friday, December 13th will be given a dividend of $0.71 per share. This represents a $2.84 annualized dividend and a yield of 4.49%. Comerica’s payout ratio is currently 71.00%.

Analysts Set New Price Targets

CMA has been the topic of several recent research reports. JPMorgan Chase & Co. raised their price target on Comerica from $65.00 to $70.00 and gave the company a “neutral” rating in a report on Monday, October 21st. Wedbush raised Comerica from a “neutral” rating to an “outperform” rating and raised their price target for the stock from $52.00 to $75.00 in a research report on Tuesday, September 24th. StockNews.com raised Comerica from a “sell” rating to a “hold” rating in a research report on Monday, October 21st. Keefe, Bruyette & Woods raised Comerica from a “market perform” rating to an “outperform” rating and raised their price target for the stock from $50.00 to $69.00 in a research report on Thursday, September 5th. Finally, Stephens raised their price target on Comerica from $64.00 to $70.00 and gave the stock an “overweight” rating in a research report on Monday, October 21st. Three research analysts have rated the stock with a sell rating, twelve have issued a hold rating and eight have issued a buy rating to the company’s stock. According to MarketBeat.com, Comerica has an average rating of “Hold” and a consensus target price of $62.81.

Insiders Place Their Bets

In other Comerica news, EVP Bruce Mitchell sold 7,564 shares of the company’s stock in a transaction dated Tuesday, October 22nd. The shares were sold at an average price of $62.20, for a total value of $470,480.80. Following the sale, the executive vice president now owns 16,428 shares of the company’s stock, valued at $1,021,821.60. This represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. In related news, EVP Bruce Mitchell sold 7,564 shares of the company’s stock in a transaction that occurred on Tuesday, October 22nd. The shares were sold at an average price of $62.20, for a total transaction of $470,480.80. Following the completion of the transaction, the executive vice president now owns 16,428 shares of the company’s stock, valued at approximately $1,021,821.60. This represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, EVP Christine M. Moore sold 2,545 shares of the company’s stock in a transaction that occurred on Friday, August 23rd. The stock was sold at an average price of $57.51, for a total transaction of $146,362.95. Following the transaction, the executive vice president now directly owns 27,910 shares of the company’s stock, valued at $1,605,104.10. This trade represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders have sold 16,609 shares of company stock valued at $1,027,839. Insiders own 0.19% of the company’s stock.

About Comerica

Comerica Incorporated, through its subsidiaries, provides various financial products and services. The company operates through Commercial Bank, Retail Bank, Wealth Management, and Finance segments. The Commercial Bank segment offers various products and services, including commercial loans and lines of credit, deposits, cash management, payment solutions, card services, capital market products, international trade finance, letters of credit, foreign exchange management services, and loan syndication services for small and middle market businesses, multinational corporations, and governmental entities.