Comerica Shares Gain 6% on Q4 Beat

Comerica (NYSE:CMA) shares gained nearly 6% on Thursday following the company’s reported Q4 results, with EPS of $2.58, coming in better than the Street estimate of $2.55.

Quarterly results were solid as stronger loan growth and solid margin expansion helped drive improved spread revenues. Fees were stable, while expense growth was acceptable. Credit metrics remained relatively benign with a modestly higher provision.

According to the analyst at RBC Capital, the 2023 outlook is consistent with their expectations and suggests a steady operating environment for Comerica. Credit and funding remain general investor concerns, but both look solid for Comerica. The analysts adjusted their price target to $83 from $85, while maintaining their Outperform rating.