Zacks Research Has Pessimistic Outlook of CBSH Q2 Earnings

Key Points

• Zacks Research trimmed its Q2 2027 EPS estimate for Commerce Bancshares (NASDAQ:CBSH) to $1.08 from $1.09 and maintained a Hold rating, signaling a cautious outlook ahead of earnings.
• Other analysts remain mostly neutral on the stock, with the consensus rating at Hold and an average price target of $59.16; several firms have also recently cut their targets.
• Commerce Bancshares recently reported better-than-expected EPS of $0.96, while revenue came in slightly below estimates, and the company announced a $0.275 quarterly dividend for a 2.2% annualized yield.

Commerce Bancshares, Inc. (NASDAQ:CBSH - Free Report) - Equities researchers at Zacks Research dropped their Q2 2027 EPS estimates for shares of Commerce Bancshares in a note issued to investors on Tuesday, May 12th. Zacks Research analyst Team now expects that the financial services provider will post earnings per share of $1.08 for the quarter, down from their prior forecast of $1.09. Zacks Research currently has a "Hold" rating on the stock. The consensus estimate for Commerce Bancshares' current full-year earnings is $4.10 per share. Zacks Research also issued estimates for Commerce Bancshares' Q4 2027 earnings at $1.14 EPS and FY2028 earnings at $4.96 EPS.

Other equities research analysts have also recently issued research reports about the stock. Weiss Ratings reaffirmed a "hold (c)" rating on shares of Commerce Bancshares in a research note on Friday, March 27th. Morgan Stanley dropped their price objective on shares of Commerce Bancshares from $67.00 to $65.00 and set an "equal weight" rating on the stock in a research note on Monday, March 2nd. Wells Fargo & Company dropped their price objective on shares of Commerce Bancshares from $60.00 to $53.00 and set an "equal weight" rating on the stock in a research note on Monday, March 30th. Wall Street Zen raised shares of Commerce Bancshares from a "strong sell" rating to a "sell" rating in a research note on Saturday, April 25th. Finally, Hovde Group decreased their target price on Commerce Bancshares from $63.00 to $60.00 and set an "outperform" rating on the stock in a research report on Wednesday, April 22nd. One analyst has rated the stock with a Buy rating and eight have given a Hold rating to the stock. Based on data from MarketBeat, Commerce Bancshares currently has an average rating of "Hold" and a consensus target price of $59.16.

Commerce Bancshares Price Performance

Shares of NASDAQ CBSH opened at $51.14 on Wednesday. The stock has a market capitalization of $7.46 billion, a price-to-earnings ratio of 12.26, a PEG ratio of 3.48 and a beta of 0.61. Commerce Bancshares has a 12 month low of $46.99 and a 12 month high of $63.19. The firm's 50 day simple moving average is $50.10 and its 200-day simple moving average is $51.68.

Commerce Bancshares (NASDAQ:CBSH - Get Free Report) last issued its quarterly earnings data on Tuesday, April 21st. The financial services provider reported $0.96 EPS for the quarter, topping analysts' consensus estimates of $0.94 by $0.02. The business had revenue of $475.69 million for the quarter, compared to analysts' expectations of $481.94 million. Commerce Bancshares had a net margin of 26.37% and a return on equity of 14.78%. The business's revenue was up 11.1% on a year-over-year basis. During the same quarter last year, the company earned $0.98 EPS.

Commerce Bancshares Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, June 23rd. Shareholders of record on Friday, June 5th will be issued a $0.275 dividend. The ex-dividend date is Friday, June 5th. This represents a $1.10 dividend on an annualized basis and a yield of 2.2%. Commerce Bancshares's dividend payout ratio (DPR) is presently 26.38%.

Insider Buying and Selling at Commerce Bancshares

In other Commerce Bancshares news, SVP Margaret M. Rowe sold 861 shares of the firm's stock in a transaction on Thursday, March 5th. The stock was sold at an average price of $51.69, for a total value of $44,505.09. Following the transaction, the senior vice president owned 5,742 shares in the company, valued at approximately $296,803.98. This trade represents a 13.04% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, SVP Kim L. Jakovich sold 949 shares of the firm's stock in a transaction on Thursday, March 5th. The shares were sold at an average price of $51.45, for a total value of $48,826.05. Following the completion of the transaction, the senior vice president owned 12,741 shares in the company, valued at $655,524.45. The trade was a 6.93% decrease in their position. The disclosure for this sale is available in the SEC filing. 1.80% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Daytona Street Capital LLC purchased a new position in Commerce Bancshares in the 4th quarter valued at $25,000. Danske Bank A S purchased a new position in Commerce Bancshares in the 3rd quarter valued at $25,000. Geneos Wealth Management Inc. increased its stake in shares of Commerce Bancshares by 85.4% in the 1st quarter. Geneos Wealth Management Inc. now owns 469 shares of the financial services provider's stock worth $29,000 after acquiring an additional 216 shares during the last quarter. Quent Capital LLC acquired a new stake in shares of Commerce Bancshares in the 3rd quarter worth $31,000. Finally, Root Financial Partners LLC increased its stake in shares of Commerce Bancshares by 104.9% in the 1st quarter. Root Financial Partners LLC now owns 623 shares of the financial services provider's stock worth $31,000 after acquiring an additional 319 shares during the last quarter. Hedge funds and other institutional investors own 70.26% of the company's stock.

Commerce Bancshares Company Profile

Commerce Bancshares, Inc is a bank holding company primarily engaged in providing a broad range of banking and financial services across the Midwest. Through its principal subsidiary, Commerce Bank, the company offers commercial and consumer banking, treasury management, trust and wealth advisory, and mortgage lending. Its diversified product suite includes deposit and loan products, cash management solutions, capital markets services, and private banking designed to meet the needs of individuals, small businesses, and large corporations.

The company's commercial banking group delivers tailored credit facilities, equipment and inventory financing, asset-based lending, and merchant services.

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