BTG Pactual Asset Management US LLC Takes Position in Canadian Imperial Bank of Commerce $CM

Key Points

• BTG Pactual Asset Management US acquired 19,997 CIBC shares worth approximately $2.3 million during the second quarter. Institutional investors collectively own 49.88% of the bank.
• CIBC reported strong quarterly results, including earnings of $1.96 per share versus the $1.80 consensus estimate, while adjusted third-quarter EPS rose 26% year over year to $2.73. The bank also declared a $1.07 quarterly dividend, representing an annualized yield of about 3.7%.
• Despite the earnings strength, CIBC faces pressure from a C$269 million charge tied to the sale of CIBC Caribbean Bank and a decline in its CET1 capital ratio to 13.4%. Analysts maintain a “Moderate Buy” consensus with an average price target of $167.

BTG Pactual Asset Management US LLC bought a new position in shares of Canadian Imperial Bank of Commerce (NYSE:CM - Free Report) TSE: CM during the second quarter, according to its most recent filing with the SEC. The fund bought 19,997 shares of the bank's stock, valued at approximately $2,300,000.

Several other institutional investors also recently added to or reduced their stakes in the stock. Two Sigma Securities LLC grew its holdings in Canadian Imperial Bank of Commerce by 4.0% during the second quarter. Two Sigma Securities LLC now owns 5,134 shares of the bank's stock valued at $590,000 after purchasing an additional 196 shares during the period. Hsbc Holdings PLC bought a new stake in shares of Canadian Imperial Bank of Commerce in the second quarter valued at $799,000. Wellington Management Group LLP purchased a new position in shares of Canadian Imperial Bank of Commerce during the 2nd quarter valued at $9,509,000. Beacon Pointe Advisors LLC bought a new position in shares of Canadian Imperial Bank of Commerce during the 2nd quarter worth $214,000. Finally, United Capital Financial Advisors LLC bought a new position in shares of Canadian Imperial Bank of Commerce during the 2nd quarter worth $474,000. Institutional investors own 49.88% of the company's stock.

Trending Headlines about Canadian Imperial Bank of Commerce

Here are the key news stories impacting Canadian Imperial Bank of Commerce this week:

• Positive Sentiment: Adjusted third-quarter earnings per share rose 26% year over year to $2.73, marking CIBC’s ninth consecutive quarter of double-digit EPS growth. Adjusted net income increased to C$2.648 billion on revenue of C$8.368 billion, while return on equity reached 16.8%. CIBC Notches a Ninth Straight Quarter of Double-Digit Growth
• Positive Sentiment: Profit exceeded analyst expectations, supported by growth in domestic retail banking, capital markets and CIBC’s U.S. operations. Reported quarterly earnings reached C$2.41 billion, up from C$2.1 billion a year earlier. CIBC Beats Profit Forecast on Growth in Domestic Banking
• Positive Sentiment: CIBC declared a quarterly dividend of C$1.07 per share, payable October 28 to shareholders of record September 28. The dividend supports an annualized yield of approximately 3.7% and may appeal to income-focused investors.
• Neutral Sentiment: Analysts’ recent price targets remain above the current trading range, with targets of C$144, C$157 and C$167. However, these targets predate the latest earnings reaction and may not yet reflect investor concerns about capital and one-time costs.
• Negative Sentiment: The quarter included C$269 million in charges related to the announced sale of CIBC Caribbean Bank. The bank’s CET1 capital ratio also declined to 13.4% from 13.6%, partly because of the charge, a minority investment closing and share repurchases. Those factors offset the operating-profit beat and contributed to the weaker market response. CIBC Slides After Earnings as Sale Charge and Capital Ratio Dip Offset a Profit Beat

Analyst Upgrades and Downgrades

Several research firms recently commented on CM. Jefferies Financial Group reaffirmed a "hold" rating on shares of Canadian Imperial Bank of Commerce in a report on Thursday, May 28th. Royal Bank Of Canada restated an "outperform" rating on shares of Canadian Imperial Bank of Commerce in a research report on Friday. Keefe, Bruyette & Woods assumed coverage on Canadian Imperial Bank of Commerce in a report on Friday, August 21st. They issued a "market perform" rating for the company. TD Securities reiterated a "buy" rating on shares of Canadian Imperial Bank of Commerce in a research report on Wednesday, August 12th. Finally, Raymond James Financial reissued a "market perform" rating on shares of Canadian Imperial Bank of Commerce in a report on Tuesday, May 12th. One analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating and five have issued a Hold rating to the company's stock. According to MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $167.00.

Canadian Imperial Bank of Commerce Stock Performance

Canadian Imperial Bank of Commerce stock opened at $114.46 on Monday. The firm's 50 day simple moving average is $117.46 and its 200 day simple moving average is $109.08. The company has a current ratio of 1.05, a quick ratio of 1.05 and a debt-to-equity ratio of 0.11. The firm has a market capitalization of $104.48 billion, a PE ratio of 15.28, a price-to-earnings-growth ratio of 1.19 and a beta of 1.01. Canadian Imperial Bank of Commerce has a 1-year low of $76.10 and a 1-year high of $124.86.

Canadian Imperial Bank of Commerce (NYSE:CM - Get Free Report) TSE: CM last announced its quarterly earnings results on Thursday, August 27th. The bank reported $1.96 EPS for the quarter, beating the consensus estimate of $1.80 by $0.16. The firm had revenue of $5.97 billion during the quarter, compared to the consensus estimate of $5.74 billion. Canadian Imperial Bank of Commerce had a net margin of 16.09% and a return on equity of 17.02%. As a group, analysts expect that Canadian Imperial Bank of Commerce will post 7.41 earnings per share for the current fiscal year.

Canadian Imperial Bank of Commerce Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 28th. Investors of record on Monday, September 28th will be paid a dividend of $1.07 per share. The ex-dividend date of this dividend is Monday, September 28th. This represents a $4.28 annualized dividend and a yield of 3.7%. Canadian Imperial Bank of Commerce's dividend payout ratio (DPR) is currently 41.39%.

About Canadian Imperial Bank of Commerce

Canadian Imperial Bank of Commerce NYSE: CM, commonly known as CIBC, is a major Canadian financial institution headquartered in Toronto. Formed in 1961 through the merger of the Canadian Bank of Commerce and the Imperial Bank of Canada, CIBC is one of Canada's largest banks and provides a broad range of banking and financial services to retail, small business, commercial and institutional clients.

CIBC's activities span personal and business banking, wealth management, capital markets and corporate banking.

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