KeyCorp is a midsize U.S. regional bank. The firm has the largest relative exposure to investment banking-related fees among the regional banks under our coverage, is investing in a unique digitally focused retail business (Laurel Road), and has an odd geographic mix, as Ohio, New York, and Washington state are its three largest deposit markets.
KeyCorp's valuation is not demanding. As long as the bank can avoid a dilutive capital raise or some other complete disaster, there should be upside in the name.
There are few positive catalysts left for the banks. Funding costs are running higher, net interest income has likely peaked, higher regulatory scrutiny is likely, and a recession still isn't out of the question.
|
Metric
|
KEY
|
PNC
|
WFC
|
|---|---|---|---|
Price/Earnings (Normalized) | 13.85 | 11.71 | 11.69 |
Price/Book Value | 1.12 | 1.22 | 1.31 |
Price/Sales | 2.21 | 3.00 | 2.69 |
Price/Cash Flow | 4.91 | 8.52 | 7.86 |
|
Metric
|
KEY
|
PNC
|
WFC
|
|---|---|---|---|
Quick Ratio | — | — | — |
Current Ratio | — | — | — |
Interest Coverage | — | — | — |
|
Metric
|
KEY
|
PNC
|
WFC
|
|---|---|---|---|
Return on Assets (Normalized) | 0.71% | 1.05% | 1.00% |
Return on Equity (Normalized) | 11.64% | 12.86% | 11.72% |
Return on Invested Capital (Normalized) | — | — | — |
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1-Day Chart
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Name
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Price
|
Morningstar Rating for Stocks
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