Comerica (NYSE:CMA) reported its Q1 results, with EPS of $1.37 coming in slightly below the Street estimate of $1.38. Shares closed around 5% lower today.

Fundamental trends were favorable with solid loan growth, a higher margin, and strong credit quality. Noninterest income was softer, though management is optimistic activity can improve later in the year.

Management mostly reiterated the outlook, which was driven by loan growth and margin expectations. While management has taken steps to moderate asset sensitivity, the company remains highly levered to increases in short-term rates.

Analysts at RBC Capital provided their views on the company, expecting further upside to management’s outlook from additional rate increases, which currently assumes the 25 bps March rate increase and another 50 bps in May.