NYSE:CMA

Stock Analysis Report

Executive Summary

Comerica Incorporated, through its subsidiaries, provides various financial products and services.

Snowflake

Fundamentals

Flawless balance sheet established dividend payer.

Risks

  • Comerica has significant price volatility in the past 3 months.

Similar Companies

Share Price & News

How has Comerica's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-2.1%

NYSE:CMA

-2.6%

US Banks

-1.0%

US Market


1 Year Return

-38.2%

NYSE:CMA

-14.2%

US Banks

-0.4%

US Market

CMA underperformed the Banks industry which returned -14.2% over the past year.

CMA underperformed the Market in United States of America which returned -0.4% over the past year.


Share holder returns

CMAIndustryMarket
7 Day-2.1%-2.6%-1.0%
30 Day-11.6%-6.3%-3.3%
90 Day-16.6%-3.5%0.8%
1 Year-36.2%-38.2%-11.8%-14.2%1.9%-0.4%
3 Year42.3%33.8%42.2%32.4%39.4%30.4%
5 Year34.5%21.8%53.3%36.7%54.2%37.1%

Price Volatility Vs. Market

How volatile is Comerica's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Comerica undervalued based on future cash flows and its price relative to the stock market?

47%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Comerica's share price is below the future cash flow value, and at a moderate discount (> 20%).

Comerica's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

Comerica is good value based on earnings compared to the US Banks industry average.

Comerica is good value based on earnings compared to the United States of America market.


Price Based on Expected Growth

Comerica earnings are not expected to grow next year, we can't assess if its growth is good value.


Price Based on Value of Assets

Comerica is overvalued based on assets compared to the US Banks industry average.


Next Steps

Future Growth

How is Comerica expected to perform in the next 1 to 3 years based on estimates from 22 analysts?

-6.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Comerica's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.

Comerica's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.

Comerica's revenues are expected to decrease over the next 1-3 years, this is below the United States of America market average.

Comerica's earnings are expected to decrease over the next 1-3 years, this is below the United States of America market average.

Comerica's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Comerica is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Comerica performed over the past 5 years?

20.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Comerica has delivered over 20% year on year earnings growth in the past 5 years.

Comerica's 1-year earnings growth exceeds its 5-year average (34% vs 20.5%)

Comerica's earnings growth has exceeded the US Banks industry average in the past year (34% vs 33.2%).


Return on Equity

Comerica has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Comerica used its assets more efficiently than the US Banks industry average last year based on Return on Assets.


Return on Capital Employed

Unable to establish if Comerica improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.


Next Steps

Financial Health

How is Comerica's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet


Financial Institutions Analysis

Comerica has an acceptable proportion of non-loan assets held.

Comerica has a sufficient allowance for bad loans.

Comerica's liabilities are made up of primarily low risk sources of funding.

Comerica's level of assets compared to its equity is low (i.e. an appropriate level of borrowing to fund lending).

Loans at Comerica are broadly funded by customer deposits.

Comerica has an acceptable level of bad loans (less than 2%).


Next Steps

Dividend

What is Comerica's current dividend yield, its reliability and sustainability?

4.65%

Expected Dividend Yield


Upcoming Dividend Payment

Purchase Comerica before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield and Payments Analysis

Comerica's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.49%).

Comerica's dividend is above the markets top 25% of dividend payers in United States of America (3.84%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (3.1x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (2.7x coverage).


Next Steps

Management

What is the CEO of Comerica's salary, the management and board of directors tenure and is there insider trading?

3.3yrs

Average management tenure


CEO

Curt Farmer (56yo)

0.3yrs

Tenure

US$3,987,706

Compensation

Mr. Curtis Chatman Farmer, also known as Curt, has been Chief Executive Officer of Comerica Incorporated and Comerica Bank since April 23, 2019 and has been its the President since April 29, 2015. Mr. Farm ...


CEO Compensation Analysis

Curt's remuneration is lower than average for companies of similar size in United States of America.

Curt's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

3.3yrs

Average Tenure

55.5yo

Average Age

The tenure for the Comerica management team is about average.


Board Age and Tenure

12.7yrs

Average Tenure

63.5yo

Average Age

The average tenure for the Comerica board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

SellUS$711,36704 Mar 19
Paul Obermeyer
EntityIndividual
Role
Executive Vice President of Enterprise Technology
Shares8,200
Max PriceUS$86.76
SellUS$651,64728 Feb 19
Megan Burkhart
EntityIndividual
Role
Executive VP & Chief HR Officer
Shares7,443
Max PriceUS$87.58
SellUS$188,95131 Jan 19
Peter Guilfoile
EntityIndividual
Shares2,297
Max PriceUS$82.26

Ownership Breakdown


Management Team

  • Paul Obermeyer (61yo)

    Executive Vice President of Enterprise Technology

    • Tenure: 3.0yrs
  • Megan Burkhart (47yo)

    Executive VP & Chief HR Officer

    • Tenure: 9.6yrs
  • Muneera Carr (50yo)

    Executive VP & CFO

    • Tenure: 1.6yrs
    • Compensation: $2.19m
  • James Weber

    Executive VP and Chief Marketing & Communications Officer

    • Tenure: 0.3yrs
  • Michele Jones

    Senior Vice President and Alternate Group Manager - Energy Finance Group

    • Tenure: 14.8yrs
  • Edward Gwilt

    SVP of Asset Quality Review

  • Darlene Persons

    Senior VP & Director of Investor Relations

    • Tenure: 13.1yrs
  • Curt Farmer (56yo)

    CEO, President & Director

    • Tenure: 0.3yrs
    • Compensation: $3.99m
  • Ralph Babb (70yo)

    Executive Chairman

    • Compensation: $10.04m
  • John Buchanan (55yo)

    Executive VP of Legal & Regulatory Affairs and Corporate Secretary

    • Tenure: 3.6yrs
    • Compensation: $2.34m

Board Members

  • Reginald Turner (59yo)

    Director

    • Tenure: 14.6yrs
    • Compensation: $225.55k
  • Roger Cregg (63yo)

    Director

    • Tenure: 12.7yrs
    • Compensation: $199.55k
  • Mike Van de Ven (57yo)

    Director

    • Tenure: 2.9yrs
    • Compensation: $180.05k
  • Jackie Kane (67yo)

    Director

    • Tenure: 10.9yrs
    • Compensation: $180.05k
  • Rick Lindner (64yo)

    Lead Director

    • Compensation: $235.55k
  • Curt Farmer (56yo)

    CEO, President & Director

    • Tenure: 1.1yrs
    • Compensation: $3.99m
  • Ximena Humrichouse Vaca (48yo)

    Director

    • Tenure: 10.9yrs
    • Compensation: $199.55k
  • Ralph Babb (70yo)

    Executive Chairman

    • Tenure: 16.8yrs
    • Compensation: $10.04m
  • T. DeNicola (64yo)

    Director

    • Tenure: 12.7yrs
    • Compensation: $245.30k
  • Bobby Taubman (65yo)

    Director

    • Tenure: 19.1yrs
    • Compensation: $182.05k

Company Information

Comerica Incorporated's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Comerica Incorporated
  • Ticker: CMA
  • Exchange: NYSE
  • Founded: 1849
  • Industry: regional banks
  • Sector: banks
  • Market Cap: US$9.160b
  • Shares outstanding: 149.36m
  • Website: Click here

Number of Employees


Location

  • Comerica Incorporated
  • Comerica Bank Tower
  • 1717 Main Street
  • Dallas
  • Texas
  • 75201
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CMANYSE (New York Stock Exchange)YesCommon StockUSUSDJan 1969
CA3DB (Deutsche Boerse AG)YesCommon StockDEEURJan 1969
0I1PLSE (London Stock Exchange)YesCommon StockGBUSDJan 1969

Biography

Comerica Incorporated, through its subsidiaries, provides various financial products and services. It operates through three segments: Business Bank, Retail Bank, and Wealth Management. The Business Bank s ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/17 23:36
End of Day Share Price2019/08/16 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.