Update shared on 23 Nov 2025
Fair value Increased 2.61%Analysts have modestly increased their price target for Canadian Imperial Bank of Commerce, raising it from C$110.01 to C$112.88. They cite continued momentum in net interest margins and positive recent quarterly results as reasons for this adjustment.
Analyst Commentary
Recent analyst updates for Canadian Imperial Bank of Commerce reflect a generally upbeat stance, with several firms raising their price targets and highlighting positive operational momentum. However, the commentary reveals both optimism and ongoing caution regarding the bank’s future trajectory.
Bullish Takeaways- Bullish analysts cite continued net interest margin (NIM) expansion and solid quarterly earnings results. These factors are supporting higher price targets.
- There is strong confidence in the bank's core profitability. Outperformance in key metrics such as pre-tax, pre-provision income and fee income contributes to valuation upside.
- Analysts point to stability in provision for credit losses (PCLs), strong capital markets results, and growth in Canadian personal and business banking segments as positive indicators for sustained earnings growth.
- Forward estimates for earnings per share have been lifted, reflecting improved expectations for both U.S. and Canadian segment margins following recent beats.
- Bearish analysts remain cautious and maintain Hold or Underweight ratings, with concerns that current valuation may now reflect much of the recent improvement in results.
- Some skepticism persists regarding the sustainability of recent NIM gains, especially if rate environments or business mix trends change.
- There are reservations about the bank’s relative competitive positioning as well as the potential for further upside beyond currently reflected forecasts.
- Growth momentum, while strong, is balanced against macroeconomic uncertainty and the possibility of normalization in fee and interest income levels.
What's in the News
- CIBC Asset Management Inc. launched the new CIBC Target Retirement Date Portfolios, offering a range of professionally managed investment solutions tailored to Canadians' retirement horizons. (Product-Related Announcements)
- CIBC rolled out CIBC Real-Time Experience, an AI-enabled client engagement engine designed to deliver personalized financial solutions across multiple channels. (Product-Related Announcements)
- A class action settlement for $26 million was reached with CIBC and CIBC Trust Corporation regarding mutual fund trades through discount brokers, pending court approval. (Lawsuits & Legal Issues)
- CIBC completed the repurchase of 20 million shares, representing more than 2% of its outstanding share capital, as part of its ongoing share buyback program. (Buyback Tranche Update and Buyback Transaction Announcements)
Valuation Changes
- The Fair Value Estimate has risen slightly, increasing from CA$110.01 to CA$112.88 per share.
- The Discount Rate has edged up from 7.12% to 7.25%.
- The Revenue Growth Forecast has seen a modest increase from 4.57% to 4.58%.
- The Net Profit Margin estimate has decreased marginally, moving from 29.62% to 29.48%.
- The Future P/E Ratio projection has risen from 13.67x to 14.14x.
Disclaimer
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