DA Davidson Issues Pessimistic Forecast for KeyCorp Earnings

KeyCorp (NYSE:KEY) – Equities research analysts at DA Davidson dropped their Q1 2025 earnings per share estimates for KeyCorp in a research note issued on Wednesday, April 2nd. DA Davidson analyst P. Winter now forecasts that the financial services provider will post earnings per share of $0.32 for the quarter, down from their previous forecast of $0.34. DA Davidson currently has a “Buy” rating and a $21.00 target price on the stock. The consensus estimate for KeyCorp’s current full-year earnings is $1.50 per share. DA Davidson also issued estimates for KeyCorp’s FY2025 earnings at $1.49 EPS and FY2026 earnings at $1.74 EPS.

A number of other equities research analysts have also recently commented on the stock. Truist Financial reduced their target price on shares of KeyCorp from $19.00 to $18.00 and set a “hold” rating for the company in a research report on Friday, March 21st. Stephens reiterated an “overweight” rating and issued a $20.00 price objective on shares of KeyCorp in a report on Wednesday, January 22nd. Royal Bank of Canada restated an “outperform” rating and set a $18.00 target price on shares of KeyCorp in a report on Wednesday, January 22nd. Morgan Stanley cut their price target on KeyCorp from $22.00 to $20.00 and set an “equal weight” rating for the company in a report on Thursday, March 13th. Finally, Wells Fargo & Company reduced their price objective on KeyCorp from $22.00 to $20.00 and set an “overweight” rating on the stock in a research report on Friday, March 28th. Eight investment analysts have rated the stock with a hold rating and eleven have given a buy rating to the company’s stock. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $19.31.

KeyCorp Trading Down 4.7 %

Shares of KEY stock opened at $13.45 on Thursday. KeyCorp has a fifty-two week low of $12.73 and a fifty-two week high of $20.04. The company has a debt-to-equity ratio of 0.77, a quick ratio of 0.84 and a current ratio of 0.85. The stock’s fifty day moving average is $16.67 and its two-hundred day moving average is $17.36. The firm has a market capitalization of $14.74 billion, a P/E ratio of -44.83, a PEG ratio of 0.65 and a beta of 1.06.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the company. Principal Financial Group Inc. raised its holdings in shares of KeyCorp by 3.4% in the 4th quarter. Principal Financial Group Inc. now owns 1,117,238 shares of the financial services provider’s stock valued at $19,149,000 after buying an additional 36,424 shares during the period. Truist Financial Corp increased its stake in KeyCorp by 27.1% during the fourth quarter. Truist Financial Corp now owns 95,856 shares of the financial services provider’s stock worth $1,643,000 after purchasing an additional 20,424 shares during the period. Avanza Fonder AB acquired a new stake in shares of KeyCorp during the fourth quarter worth about $1,618,000. Teachers Retirement System of The State of Kentucky lifted its position in shares of KeyCorp by 1,974.1% during the third quarter. Teachers Retirement System of The State of Kentucky now owns 1,541,680 shares of the financial services provider’s stock worth $25,823,000 after purchasing an additional 1,467,351 shares in the last quarter. Finally, Proficio Capital Partners LLC purchased a new position in shares of KeyCorp in the fourth quarter valued at approximately $1,519,000. 79.69% of the stock is currently owned by institutional investors and hedge funds.

Insider Activity at KeyCorp

In related news, Director Of Nova Scotia Bank bought 50,000 shares of the company’s stock in a transaction that occurred on Wednesday, February 5th. The stock was purchased at an average price of $17.85 per share, for a total transaction of $892,500.00. Following the acquisition, the director now owns 162,983,726 shares of the company’s stock, valued at approximately $2,909,259,509.10. This trade represents a 0.03 % increase in their ownership of the stock. The acquisition was disclosed in a filing with the SEC, which is available at this hyperlink. 0.61% of the stock is owned by insiders.

KeyCorp announced that its board has initiated a share buyback program on Thursday, March 13th that allows the company to buyback $1.00 billion in outstanding shares. This buyback authorization allows the financial services provider to purchase up to 6% of its stock through open market purchases. Stock buyback programs are often an indication that the company’s leadership believes its shares are undervalued.

KeyCorp Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Friday, March 14th. Investors of record on Tuesday, March 4th were given a dividend of $0.205 per share. This represents a $0.82 dividend on an annualized basis and a dividend yield of 6.10%. The ex-dividend date of this dividend was Tuesday, March 4th. KeyCorp’s payout ratio is -273.33%.

KeyCorp Company Profile

KeyCorp operates as the holding company for KeyBank National Association that provides various retail and commercial banking products and services in the United States. It operates in two segments, Consumer Bank and Commercial Bank. The company offers various deposits, investment products and services; commercial leasing, investment management, consumer finance; and personal finance and financial wellness, student loan refinancing, mortgage and home equity, lending, credit card, treasury, business advisory, wealth management, asset management, cash management, portfolio management, and trust and related services to individuals and small and medium-sized businesses.