NYSE$CMA

Comerica Inc · Q3 2021 earnings

Q3 2021 earnings · · Investor relations

Briefing

Generated earnings of $1.90 per share and an ROE of 13.53 percent.

Comerica reported a net income of $262 million, or $1.90 per share, for the third quarter of 2021. Solid loan growth in several business lines was overshadowed by headwinds from PPP loan forgiveness and reduced auto dealer loans due to supply constraints. The company continued to drive strong deposit growth, robust fee income, and excellent credit quality.

  • Earnings per share were $1.90 and ROE was 13.53 percent.
  • Solid loan growth in a number of business lines was overshadowed by headwinds from PPP loan forgiveness and reduced auto dealer loans due to supply constraints.
  • Strong deposit growth, robust fee income, and excellent credit quality were continued.
  • Over 3 million shares were repurchased, reducing share count by over 2 percent.

Headline financials

Total Revenue

$755M

Previous: $710M+6.3%
EPS (adj)

$1.90

Previous: $1.44+31.9%
Efficiency Ratio

61.6%

Previous: 62.8%-1.9%
Net Interest Margin

2.2%

Previous: 2.3%-4.3%
CET1 Capital Ratio

10.2%

Previous: 10.3%-0.5%
Net Income

$262M

Previous: $211M+24.2%
Operating Income

$597M

Previous: $582M+2.6%
Gross Profit

$713M

Previous: $705M+1.1%
Cash & Equivalents

$23.6B

Previous: $11.1B+111.7%
Total Assets

$94.5B

Previous: $83.6B+13.0%
Stock-Based Comp

$7M

Previous: $6M+16.7%

Revenue & EPS history

Comerica · Revenue · Quarterly

$755M

Q3 2021+6.3%vs Q3 2020
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Forward guidance

This outlook is based on management expectations for continued economic growth.

Tailwinds

  • Non-PPP portfolio to have growth in general Middle Market and several other business lines, partly offset by a decline in Mortgage Banker Finance.
  • Deposits to remain strong.
  • Strong credit quality continues.
  • Growth in several customer-related fee categories
  • Income tax expense for full-year 2021 to be between 22 and 23 percent of pre-tax income, excluding discrete items.

Headwinds

  • This growth is expected to be more than offset by forgiveness of the bulk of PPP loans.
  • Non-PPP portfolio to have lower loan fees from elevated levels mostly offset by loan growth; this is expected to be more than offset by lower PPP-related income.
  • More than offset by lower commercial loan fees and warrant and BOLI income.
  • Increases in seasonal expenses and technology investments
  • Offset by lower compensation expense from elevated level.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 15 quarterly earnings reports

Historical avg

-0.3%

Avg return

Earnings day

-1.9%

Avg return

5 days after

+0.0%

Avg return

30 days after

52%

36 / 69 earnings

Positive

+7.7%

Q3 2016

Best reaction

-12.9%

Q3 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026
Q4 2025+2.0%+3.3%
Q3 2025+1.4%+3.7%+6.0%
Q2 2025+4.6%+6.7%+8.8%
Q1 2025-4.4%+0.3%+5.6%
Q4 2024-5.6%-5.3%-1.3%
Q3 2024-1.0%-1.0%+10.1%
Q2 2024-9.3%-8.9%-0.1%
Q1 2024+3.5%+5.7%+9.4%
Q4 2023+2.6%+0.3%-8.8%
Q3 2023-7.8%-7.8%+8.9%
Q2 2023-2.1%+1.0%-10.8%
Q1 2023-7.1%-13.5%-18.6%
Q4 2022+4.8%+7.9%+10.5%
Q3 2022-12.9%-9.5%-6.2%
Q2 2022+1.9%+1.5%+9.2%
Q1 2022-8.1%-6.9%-18.9%
Q4 2021-6.0%-9.0%-3.7%
Q3 2021+3.1%
Q2 2021+2.2%
Q1 2021-0.3%
Q4 2020-1.0%
Q3 2020+2.9%
Q2 2020+5.0%
Q1 2020+2.8%
Q4 2019-3.4%
Q3 2019-3.6%
Q2 2019-3.4%
Q1 2019+0.4%
Q4 2018+7.6%
Q3 2018+1.9%
Q2 2018+3.4%
Q1 2018-2.9%
Q4 2017+1.8%
Q3 2017+1.6%
Q2 2017-2.7%
Q1 2017+1.6%
Q4 2016-4.1%
Q3 2016+7.7%
Q2 2016+3.4%
Q1 2016+6.0%
Q4 2015-5.7%
Q3 2015-1.8%
Q2 2015-4.7%
Q1 2015-1.0%
Q4 2014-1.3%
Q3 2014-1.4%
Q2 2014+0.7%
Q1 2014-0.0%
Q4 2013+4.4%
Q3 2013+3.0%
Q2 2013-1.2%
Q1 2013+0.8%
Q4 2012+5.1%
Q4 2011+2.0%
Q3 2012-4.5%
Q2 2012+2.6%
Q1 2012+1.4%
Q3 2011-0.1%
Q2 2011-2.4%
Q1 2010+0.2%
Q1 2011+0.5%
Q1 2009-1.9%
Q4 2010-1.9%
Q4 2009-1.9%
Q4 2008-1.9%
Q3 2010+0.5%
Q3 2009+0.5%
Q2 2010+1.6%
Q2 2009+1.6%

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