Canadian Imperial Bank of Commerce

TSX:CM Stock Report

Market Cap: CA$84.9b

Canadian Imperial Bank of Commerce Valuation

Is CM undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of CM when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: CM (CA$90.72) is trading below our estimate of fair value (CA$158.76)

Significantly Below Fair Value: CM is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for CM?

Key metric: As CM is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for CM. This is calculated by dividing CM's market cap by their current earnings.
What is CM's PE Ratio?
PE Ratio13.3x
EarningsCA$6.46b
Market CapCA$84.87b

Price to Earnings Ratio vs Peers

How does CM's PE Ratio compare to its peers?

The above table shows the PE ratio for CM vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average15x
BMO Bank of Montreal
15.2x11.8%CA$95.9b
BNS Bank of Nova Scotia
13.8x8.6%CA$97.0b
TD Toronto-Dominion Bank
17.8x17.2%CA$136.3b
NA National Bank of Canada
13.3x0.1%CA$46.1b
CM Canadian Imperial Bank of Commerce
13.3x7.3%CA$84.9b

Price-To-Earnings vs Peers: CM is good value based on its Price-To-Earnings Ratio (13.3x) compared to the peer average (15x).

Price to Earnings Ratio vs Industry

How does CM's PE Ratio compare vs other companies in the North American Banks Industry?

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
CM 13.3xIndustry Avg. 12.9xNo. of Companies76PE0612182430+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: CM is expensive based on its Price-To-Earnings Ratio (13.3x) compared to the North American Banks industry average (12.9x).

Price to Earnings Ratio vs Fair Ratio

What is CM's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

CM PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio13.3x
Fair PE Ratio14x

Price-To-Earnings vs Fair Ratio: CM is good value based on its Price-To-Earnings Ratio (13.3x) compared to the estimated Fair Price-To-Earnings Ratio (14x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst CM forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentCA$90.72
CA$89.12
-1.8%
10.8%CA$103.00CA$70.00n/a15
Nov ’25CA$87.88
CA$81.45
-7.3%
9.5%CA$94.00CA$66.00n/a16
Oct ’25CA$81.59
CA$81.66
+0.09%
7.3%CA$91.00CA$70.00n/a16
Sep ’25CA$78.76
CA$79.65
+1.1%
8.5%CA$91.00CA$68.34n/a17
Aug ’25CA$70.09
CA$72.20
+3.0%
6.8%CA$79.00CA$57.00n/a17
Jul ’25CA$65.05
CA$71.97
+10.6%
7.6%CA$79.00CA$57.00n/a16
Jun ’25CA$67.58
CA$71.16
+5.3%
8.0%CA$78.00CA$57.00n/a17
May ’25CA$64.51
CA$67.99
+5.4%
8.5%CA$76.00CA$50.00n/a17
Apr ’25CA$68.32
CA$67.63
-1.0%
8.3%CA$76.00CA$50.00n/a17
Mar ’25CA$65.77
CA$66.83
+1.6%
8.2%CA$76.00CA$50.00n/a15
Feb ’25CA$61.05
CA$62.89
+3.0%
7.4%CA$71.00CA$50.00n/a14
Jan ’25CA$63.80
CA$61.93
-2.9%
8.3%CA$71.00CA$50.00n/a14
Dec ’24CA$56.55
CA$60.74
+7.4%
8.2%CA$69.38CA$50.00n/a14
Nov ’24CA$49.22
CA$61.24
+24.4%
8.7%CA$69.38CA$48.00CA$87.8814
Oct ’24CA$52.43
CA$61.53
+17.4%
8.1%CA$69.38CA$48.00CA$81.5914
Sep ’24CA$54.16
CA$60.96
+12.6%
8.3%CA$69.38CA$48.00CA$78.7616
Aug ’24CA$57.24
CA$63.61
+11.1%
8.2%CA$72.00CA$48.00CA$70.0917
Jul ’24CA$56.56
CA$63.74
+12.7%
8.5%CA$72.00CA$48.00CA$65.0517
Jun ’24CA$55.42
CA$64.01
+15.5%
9.2%CA$73.83CA$48.00CA$67.5817
May ’24CA$56.54
CA$65.54
+15.9%
8.3%CA$73.83CA$48.00CA$64.5117
Apr ’24CA$57.31
CA$65.54
+14.4%
8.3%CA$73.83CA$48.00CA$68.3217
Mar ’24CA$62.44
CA$65.53
+4.9%
8.3%CA$74.43CA$48.00CA$65.7717
Feb ’24CA$61.08
CA$64.70
+5.9%
9.6%CA$74.43CA$46.00CA$61.0517
Jan ’24CA$54.77
CA$64.70
+18.1%
9.6%CA$74.43CA$46.00CA$63.8017
Dec ’23CA$59.81
CA$70.82
+18.4%
9.7%CA$80.87CA$52.00CA$56.5517
Nov ’23CA$61.82
CA$75.14
+21.5%
8.4%CA$84.00CA$55.00CA$49.2217

Analyst Forecast: Target price is lower than the current share price.

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