Update shared on29 Aug 2025
Fair value Increased 5.65%Upward revisions to Canadian Imperial Bank of Commerce's price target reflect stronger-than-expected fee and net interest income driving consistent outperformance, though some analysts remain cautious due to macroeconomic headwinds, resulting in a new consensus price target of CA$105.14.
Analyst Commentary
- Better than expected fee income and net interest income drove earnings above consensus for CIBC in Q3, prompting upward price target revisions.
- Bullish analysts note consistent outperformance versus consensus estimates over multiple quarters.
- Sequential quarterly improvements support modest price target increases.
- Despite the improved results, Bearish Analysts caution that headwinds persist due to potential tariff impacts and a weaker macroeconomic environment.
- The sector is benefiting from favorable trends, but underlying risks keep some analysts cautious in their overall ratings.
What's in the News
- Completed repurchase of 20,000,000 shares (2.13% of share capital) for CAD 1,757 million under a buyback plan.
- Board authorized a new share buyback plan, permitting repurchase of up to 20,000,000 shares (approx. 2.2% of outstanding share capital), pending Toronto Stock Exchange approval.
- CIBC Innovation Banking provided growth financing to Vector, a key logistics automation provider, supporting platform expansion and enhanced supply chain solutions.
- CIBC (TSX:CM.PRQ) was removed from the S&P/TSX Preferred Share Index.
- Announced full redemption of all outstanding Series 43 Non-cumulative Rate Reset Class A Preferred Shares for $25.00 per share effective July 31, 2025.
Valuation Changes
Summary of Valuation Changes for Canadian Imperial Bank of Commerce
- The Consensus Analyst Price Target has risen slightly from CA$102.61 to CA$105.14.
- The Consensus Revenue Growth forecasts for Canadian Imperial Bank of Commerce has significantly fallen from 5.0% per annum to 4.2% per annum.
- The Net Profit Margin for Canadian Imperial Bank of Commerce has risen slightly from 28.88% to 29.49%.
Disclaimer
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