TD Cowen Initiates Coverage on KeyCorp (NYSE:KEY)

Key Points

• TD Cowen initiated coverage of KeyCorp with a “buy” rating and a $23 price target, implying roughly 16% upside from the stock’s $19.78 price.
• KeyCorp’s shares fell 0.2% in Thursday trading. The company recently reported quarterly EPS of $0.44, beating expectations of $0.42, while revenue rose 6.7% year over year to $1.96 billion.
• Analyst sentiment is broadly positive, with a consensus “Moderate Buy” rating; institutional investors own approximately 79.7% of KeyCorp’s outstanding shares.

Analysts at TD Cowen began coverage on shares of KeyCorp (NYSE:KEY - Get Free Report) in a report released on Thursday, MarketBeat reports. The firm set a "buy" rating and a $23.00 price target on the financial services provider's stock. TD Cowen's price objective points to a potential upside of 16.26% from the company's current price.

A number of other brokerages have also recently weighed in on KEY. Robert W. Baird increased their target price on shares of KeyCorp from $22.00 to $23.00 and gave the stock a "neutral" rating in a report on Wednesday, July 22nd. Stephens reissued an "overweight" rating and set a $26.00 target price on shares of KeyCorp in a report on Tuesday, September 15th. DA Davidson reissued a "buy" rating and set a $28.00 target price on shares of KeyCorp in a report on Wednesday, July 22nd. Jefferies Financial Group dropped their target price on shares of KeyCorp from $24.00 to $22.00 and set a "hold" rating on the stock in a report on Thursday, September 24th. Finally, Wells Fargo & Company increased their target price on shares of KeyCorp from $24.00 to $27.00 and gave the stock an "overweight" rating in a report on Monday, July 6th. One research analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating and seven have issued a Hold rating to the company's stock. Based on data from MarketBeat, KeyCorp presently has a consensus rating of "Moderate Buy" and a consensus price target of $46.33.

KeyCorp Stock Down 0.2%

KEY traded down $0.05 during trading on Thursday, hitting $19.78. The company had a trading volume of 408,061 shares, compared to its average volume of 13,440,635. The company has a market cap of $21.11 billion, a PE ratio of 11.52, a P/E/G ratio of 0.76 and a beta of 1.08. The business has a 50-day moving average of $21.66 and a 200-day moving average of $21.81. The company has a debt-to-equity ratio of 0.63, a current ratio of 0.84 and a quick ratio of 0.83. KeyCorp has a 1-year low of $16.47 and a 1-year high of $24.07.

KeyCorp (NYSE:KEY - Get Free Report) last posted its quarterly earnings results on Tuesday, July 21st. The financial services provider reported $0.44 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.42 by $0.02. The firm had revenue of $1.96 billion for the quarter, compared to analysts' expectations of $1.97 billion. KeyCorp had a net margin of 17.83% and a return on equity of 11.23%. The firm's quarterly revenue was up 6.7% on a year-over-year basis. During the same period in the prior year, the company posted $0.35 earnings per share. As a group, analysts forecast that KeyCorp will post 1.83 earnings per share for the current year.

Hedge Funds Weigh In On KeyCorp

Several institutional investors have recently modified their holdings of the company. QRG Capital Management Inc. bought a new position in shares of KeyCorp during the second quarter worth about $5,781,000. Envestnet Portfolio Solutions Inc. bought a new position in shares of KeyCorp during the second quarter worth about $11,996,000. Andra AP fonden grew its position in shares of KeyCorp by 86.0% during the second quarter. Andra AP fonden now owns 192,539 shares of the financial services provider's stock worth $4,438,000 after acquiring an additional 89,000 shares during the last quarter. State Street Corp grew its position in KeyCorp by 9.0% in the 2nd quarter. State Street Corp now owns 51,368,660 shares of the financial services provider's stock valued at $1,184,048,000 after buying an additional 4,238,225 shares in the last quarter. Finally, Core Capital Management & Research inc. bought a new position in KeyCorp in the 2nd quarter valued at about $164,000. Institutional investors own 79.69% of the company's stock.

KeyCorp Company Profile

KeyCorp NYSE: KEY is a financial services company headquartered in Cleveland, Ohio, and the parent company of KeyBank National Association. Through KeyBank, the company provides banking and financial services to individuals, families, businesses, institutions and government entities.

KeyBank's offerings include consumer and business deposit accounts, residential and commercial lending, mortgage and home equity products, credit cards, payments services, treasury management, wealth management and investment services.