7. KeyCorp
Shares of KeyCorp of Cleveland closed at $8.81 Friday, returning 16% year-to-date, following a 12% decline last year.
The shares trade just below tangible book value, and for 10.2 times the consensus 2013 EPS estimate of 86 cents. The consensus 2012 EPS estimate is 85 cents.
Based on a quarterly payout of five cents, the shares have a dividend yield of 2.27%.
For the 12-month period ended June 30, the company's ROA was 1.06%, while its ROE was 8.46%.
The consensus among analysts is for KeyCorp to report third-quarter earnings of 21 cents a share, down from 24 cents the previous quarter, and 22 cents a year earlier. KeyCorp is well-positioned in the wake of the Federal Reserve's latest move to push long-term rates even lower, as the company has already felt the bulk of its pain from asset repricing. The company's second-quarter net interest margin narrowed to 3.06%, from 3.16% the previous quarter, and 3.19% a year earlier. Credit Suisse analyst Craig Siegenthaler has a neutral rating on KeyCorp, with a $9 price target, saying last month that "We look for 3Q12 and 4Q12 EPS to beat market expectations, and believe investors will increase EPS estimates for 2013/2014" before the end of the year. Siegenthaler expects KeyCorp's core net interest margin (NIM) "to experience the largest improvement in the industry given (1) significant debt retirement and refi activity since June, (2) significant CD repricing in 3Q12," and the acquisition of $725 million in Key-branded credit card assets from Elan Financial Services, taking on about 400,000 consumer and business accounts.
KEY data by YChartsInterested in more on KeyCorp? See TheStreet Ratings' report card for this stock.
Select the service that is right for you!
COMPARE ALL SERVICESAction Alerts PLUS
TRY IT FREEJim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
Product Features:
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Dividend Stock Advisor
TRY IT FREENew! $49.95/yr
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
Product Features:
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Stocks Under $10
TRY IT FREEDavid Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.
Product Features:
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts
- Weekly roundups
Real Money
TRY IT FREE24/7 market commentary from Jim Cramer and 20+ veteran Wall Street gurus. Get access to the latest trading ideas on stocks, options, and ETFs as well as a real-time forum to see the pros exchanging their investment ideas.
Product Features:
- Jim Cramer + 20 Wall Street pros
- Intraday commentary & news
- Real-time trading forum
- Actionable trade ideas
Real Money Pro
TRY IT FREEAll of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
Product Features:
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Options Profits
TRY IT FREEOur options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
Product Features:
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV
