Paragon Capital Management Ltd Makes New $240,000 Investment in KeyCorp $KEY

Key Points

• Paragon Capital Management Ltd made a new investment of approximately $240,000 in KeyCorp by acquiring 13,798 shares during the second quarter.
• KeyCorp reported a 20.6% increase in revenue year-over-year, posting earnings of $0.35 EPS that surpassed analysts' expectations.
• The firm announced a quarterly dividend of $0.205 per share, resulting in an annualized yield of 4.3%, despite a very high payout ratio.

Paragon Capital Management Ltd acquired a new position in shares of KeyCorp (NYSE:KEY - Free Report) in the second quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund acquired 13,798 shares of the financial services provider's stock, valued at approximately $240,000.

A number of other hedge funds and other institutional investors have also recently added to or reduced their stakes in the stock. Patton Fund Management Inc. bought a new position in KeyCorp during the second quarter worth $261,000. CX Institutional lifted its holdings in shares of KeyCorp by 26.4% during the second quarter. CX Institutional now owns 13,257 shares of the financial services provider's stock worth $231,000 after buying an additional 2,768 shares in the last quarter. Register Financial Advisors LLC acquired a new stake in shares of KeyCorp during the second quarter worth $527,000. Dakota Wealth Management lifted its holdings in shares of KeyCorp by 2.2% during the second quarter. Dakota Wealth Management now owns 27,374 shares of the financial services provider's stock worth $477,000 after buying an additional 586 shares in the last quarter. Finally, Perigon Wealth Management LLC lifted its holdings in shares of KeyCorp by 5.8% during the second quarter. Perigon Wealth Management LLC now owns 19,125 shares of the financial services provider's stock worth $333,000 after buying an additional 1,047 shares in the last quarter. 79.69% of the stock is owned by institutional investors.

KeyCorp Stock Up 0.4%

KEY stock opened at $18.89 on Friday. The company has a market cap of $20.71 billion, a PE ratio of -269.79, a price-to-earnings-growth ratio of 0.66 and a beta of 1.15. The business has a 50-day simple moving average of $18.58 and a 200 day simple moving average of $16.85. KeyCorp has a 52 week low of $12.73 and a 52 week high of $20.04. The company has a quick ratio of 0.83, a current ratio of 0.84 and a debt-to-equity ratio of 0.71.

KeyCorp (NYSE:KEY - Get Free Report) last posted its quarterly earnings results on Tuesday, July 22nd. The financial services provider reported $0.35 EPS for the quarter, beating analysts' consensus estimates of $0.34 by $0.01. The business had revenue of $1.84 billion during the quarter, compared to the consensus estimate of $1.81 billion. KeyCorp had a return on equity of 9.65% and a net margin of 1.49%.KeyCorp's revenue for the quarter was up 20.6% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.25 earnings per share. Sell-side analysts anticipate that KeyCorp will post 1.5 EPS for the current fiscal year.

KeyCorp Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Monday, September 15th. Shareholders of record on Tuesday, September 2nd were paid a dividend of $0.205 per share. The ex-dividend date of this dividend was Tuesday, September 2nd. This represents a $0.82 annualized dividend and a yield of 4.3%. KeyCorp's payout ratio is presently -1,171.43%.

Analyst Upgrades and Downgrades

A number of equities research analysts have recently weighed in on KEY shares. Bank of America lifted their target price on KeyCorp from $18.00 to $20.00 and gave the stock a "buy" rating in a report on Monday, June 16th. Citigroup reissued a "neutral" rating and set a $20.00 target price (up previously from $19.00) on shares of KeyCorp in a report on Thursday, July 24th. Robert W. Baird downgraded KeyCorp from an "outperform" rating to a "neutral" rating and set a $18.00 target price for the company. in a report on Wednesday, July 2nd. DA Davidson lifted their target price on KeyCorp from $19.00 to $21.00 and gave the stock a "buy" rating in a report on Wednesday, July 23rd. Finally, Baird R W downgraded KeyCorp from a "strong-buy" rating to a "hold" rating in a report on Wednesday, July 2nd. Ten equities research analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the company. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average price target of $19.58.

Insiders Place Their Bets

In other KeyCorp news, insider Andrew J. Paine III sold 44,953 shares of the business's stock in a transaction dated Tuesday, September 9th. The stock was sold at an average price of $19.29, for a total transaction of $867,143.37. Following the completion of the transaction, the insider owned 245,044 shares of the company's stock, valued at approximately $4,726,898.76. The trade was a 15.50% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Christopher M. Gorman sold 112,149 shares of the business's stock in a transaction dated Wednesday, July 23rd. The stock was sold at an average price of $18.86, for a total value of $2,115,130.14. Following the transaction, the chief executive officer directly owned 619,895 shares of the company's stock, valued at approximately $11,691,219.70. The trade was a 15.32% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 174,102 shares of company stock valued at $3,299,664. 0.52% of the stock is currently owned by corporate insiders.

KeyCorp Profile

KeyCorp operates as the holding company for KeyBank National Association that provides various retail and commercial banking products and services in the United States. It operates in two segments, Consumer Bank and Commercial Bank. The company offers various deposits, investment products and services; commercial leasing, investment management, consumer finance; and personal finance and financial wellness, student loan refinancing, mortgage and home equity, lending, credit card, treasury, business advisory, wealth management, asset management, cash management, portfolio management, and trust and related services to individuals and small and medium-sized businesses.

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