KeyCorp (NYSE:KEY) Shares Gap Up on Strong Earnings

KeyCorp (NYSE:KEY) gapped up before the market opened on Thursday following a better than expected earnings announcement. The stock had previously closed at $14.07, but opened at $14.50. KeyCorp shares last traded at $14.32, with a volume of 2,583,115 shares.

The financial services provider reported $0.33 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.32 by $0.01. KeyCorp had a negative net margin of 2.52% and a positive return on equity of 8.73%. During the same quarter in the previous year, the business posted $0.20 earnings per share.

KeyCorp announced that its Board of Directors has approved a share buyback plan on Thursday, March 13th that permits the company to buyback $1.00 billion in outstanding shares. This buyback authorization permits the financial services provider to repurchase up to 6% of its shares through open market purchases. Shares buyback plans are typically a sign that the company’s management believes its stock is undervalued.

Wall Street Analysts Forecast Growth

A number of equities research analysts have weighed in on the stock. Baird R W raised shares of KeyCorp from a “hold” rating to a “strong-buy” rating in a report on Monday, April 7th. Truist Financial lowered their target price on 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 target price on shares of KeyCorp in a report on Wednesday, January 22nd. JPMorgan Chase & Co. dropped their price target on shares of KeyCorp from $18.50 to $16.50 and set a “neutral” rating on the stock in a research report on Thursday, April 3rd. Finally, Wells Fargo & Company reissued an “overweight” rating on shares of KeyCorp in a research note on Thursday. Seven analysts have rated the stock with a hold rating, eleven have given a buy rating and one has issued a strong buy rating to the company. According to MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $19.31.

Insider Buying and Selling at KeyCorp

In related news, Director Of Nova Scotia Bank bought 50,000 shares of the business’s stock in a transaction that occurred on Wednesday, February 5th. The shares were bought at an average price of $17.85 per share, with a total value of $892,500.00. Following the completion of the transaction, the director now directly owns 162,983,726 shares in the company, valued at approximately $2,909,259,509.10. This represents a 0.03 % increase in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Insiders own 0.61% of the company’s stock.

Hedge Funds Weigh In On KeyCorp

Large investors have recently bought and sold shares of the stock. TCTC Holdings LLC raised its holdings in shares of KeyCorp by 38.6% in the fourth quarter. TCTC Holdings LLC now owns 2,195 shares of the financial services provider’s stock valued at $38,000 after purchasing an additional 611 shares during the last quarter. Signaturefd LLC increased its stake in KeyCorp by 16.0% in the 4th quarter. Signaturefd LLC now owns 4,453 shares of the financial services provider’s stock valued at $76,000 after buying an additional 614 shares during the last quarter. Modera Wealth Management LLC increased its stake in KeyCorp by 3.9% in the 4th quarter. Modera Wealth Management LLC now owns 16,521 shares of the financial services provider’s stock valued at $283,000 after buying an additional 627 shares during the last quarter. Integrated Wealth Concepts LLC boosted its stake in shares of KeyCorp by 2.6% in the 4th quarter. Integrated Wealth Concepts LLC now owns 24,679 shares of the financial services provider’s stock worth $423,000 after buying an additional 631 shares during the last quarter. Finally, Ballentine Partners LLC boosted its stake in shares of KeyCorp by 5.7% in the 4th quarter. Ballentine Partners LLC now owns 12,855 shares of the financial services provider’s stock worth $220,000 after buying an additional 692 shares during the last quarter. 79.69% of the stock is currently owned by institutional investors.

KeyCorp Trading Up 1.6 %

The firm has a fifty day moving average price of $15.88 and a 200-day moving average price of $17.16. The company has a market capitalization of $15.66 billion, a P/E ratio of -47.58, a price-to-earnings-growth ratio of 0.65 and a beta of 1.06. The company has a debt-to-equity ratio of 0.77, a current ratio of 0.85 and a quick ratio of 0.84.

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.