KeyCorp (KEY) Downgraded by Zacks Investment Research to Hold

KeyCorp (NYSE:KEY) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a research note issued on Tuesday.

According to Zacks, “KeyCorp’s shares have outperformed the industry over the past six months. Also, the company has an impressive earnings surprise history, not lagging the Zacks Consensus Estimate in three of the trailing four quarters. The company’s fourth-quarter 2017 results benefited from higher revenues and stable expenses. The bank remains well positioned for revenue growth, given a rising rate environment and improving loan and deposit balances. Improving credit quality and enhanced capital deployment activities are the other positives. Also, corporate tax rate cut will aid profitability to some extent. However, persistently increasing expenses owing to investments in franchise and acquisitions are likely to hurt bottom-line growth. Further, the company's significant exposure toward risky loan portfolios remains a major cause of concern.”

KEY has been the topic of several other research reports. DA Davidson lifted their price target on shares of KeyCorp to $26.00 and gave the stock a “buy” rating in a research note on Friday, January 19th. Morgan Stanley reiterated an “overweight” rating and set a $23.00 price target on shares of KeyCorp in a research note on Thursday, December 14th. ValuEngine upgraded shares of KeyCorp from a “hold” rating to a “buy” rating in a research note on Friday, December 1st. Keefe, Bruyette & Woods reiterated a “buy” rating and set a $21.50 price target on shares of KeyCorp in a research note on Thursday, December 14th. Finally, Sandler O’Neill restated a “hold” rating and set a $21.50 target price on shares of KeyCorp in a research note on Friday, January 19th. Two analysts have rated the stock with a sell rating, six have assigned a hold rating and eighteen have assigned a buy rating to the company. The company presently has a consensus rating of “Buy” and a consensus target price of $22.07.

Shares of KeyCorp (KEY) traded down $0.12 during trading on Tuesday, hitting $20.47. 4,577,782 shares of the stock traded hands, compared to its average volume of 10,629,839. The stock has a market cap of $21,798.62, a PE ratio of 18.28, a PEG ratio of 1.52 and a beta of 1.04. KeyCorp has a 1-year low of $16.28 and a 1-year high of $22.22. The company has a quick ratio of 0.88, a current ratio of 0.89 and a debt-to-equity ratio of 1.02.

KeyCorp (NYSE:KEY) last issued its quarterly earnings results on Thursday, January 18th. The financial services provider reported $0.36 earnings per share for the quarter, hitting the Thomson Reuters’ consensus estimate of $0.36. The business had revenue of $1.59 billion for the quarter, compared to analysts’ expectations of $1.58 billion. KeyCorp had a net margin of 18.06% and a return on equity of 10.66%. During the same quarter last year, the company posted $0.31 EPS. equities research analysts expect that KeyCorp will post 1.67 EPS for the current fiscal year.

In other KeyCorp news, insider Craig A. Buffie sold 11,819 shares of KeyCorp stock in a transaction on Monday, January 22nd. The shares were sold at an average price of $21.21, for a total value of $250,680.99. Following the sale, the insider now directly owns 51,791 shares in the company, valued at approximately $1,098,487.11. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, Director Elizabeth R. Gile purchased 1,374 shares of KeyCorp stock in a transaction on Wednesday, November 22nd. The stock was bought at an average price of $18.23 per share, for a total transaction of $25,048.02. Following the completion of the acquisition, the director now owns 24,989 shares in the company, valued at approximately $455,549.47. The disclosure for this purchase can be found here. Insiders own 0.65% of the company’s stock.

Hedge funds and other institutional investors have recently made changes to their positions in the business. Meeder Asset Management Inc. increased its holdings in KeyCorp by 78.0% in the 3rd quarter. Meeder Asset Management Inc. now owns 56,046 shares of the financial services provider’s stock valued at $1,055,000 after acquiring an additional 24,554 shares during the last quarter. Schwab Charles Investment Management Inc. increased its holdings in KeyCorp by 2.0% in the 3rd quarter. Schwab Charles Investment Management Inc. now owns 3,575,887 shares of the financial services provider’s stock valued at $67,299,000 after acquiring an additional 71,018 shares during the last quarter. New England Research & Management Inc. increased its holdings in KeyCorp by 12.8% in the 4th quarter. New England Research & Management Inc. now owns 50,845 shares of the financial services provider’s stock valued at $1,026,000 after acquiring an additional 5,750 shares during the last quarter. Toronto Dominion Bank increased its holdings in KeyCorp by 11.1% in the 3rd quarter. Toronto Dominion Bank now owns 428,912 shares of the financial services provider’s stock valued at $8,071,000 after acquiring an additional 42,971 shares during the last quarter. Finally, Commerzbank Aktiengesellschaft FI bought a new stake in KeyCorp in the 3rd quarter valued at $268,000. Institutional investors own 82.19% of the company’s stock.

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About KeyCorp

KeyCorp is a bank holding company. The Company is a bank-based financial services company. The Company operates through its subsidiary, KeyBank National Association (KeyBank), which is engaged in providing banking services. Through KeyBank and other subsidiaries, it provides a range of retail and commercial banking, commercial leasing, investment management, consumer finance, and investment banking products and services to individual, corporate and institutional clients.

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