Commerce Bancshares Q3 EPS beats, helped by loan growth

Commerce Bancshares

Tue 11:08

Overview
US regional bank's Q3 revenue slightly missed, but adjusted EPS beat analyst expectations
Net income for Q3 beat analyst expectations
Company repurchased about 1.9 mln shares during the quarter

Outlook
Company did not provide specific guidance for future quarters or the full year

Result Drivers
LOAN GROWTH - Co said broad-based loan growth, led by commercial and wealth segments, supported results
FEE INCOME - Trust, bank card and deposit fees increased, contributing to higher non-interest income
CREDIT QUALITY - Co said excellent credit quality continued, with low net loan charge-offs

Company press release: ID:nBw61tYs9a

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Slight Miss*
$494.34 mln
$497.59 mln (6 Analysts)
Q3 EPS
Beat
$1.08
$1.07 (9 Analysts)
Q3 Net Income
Beat
$154.99 mln
$152.05 mln (7 Analysts)
Q3 Net Interest Income
 
$308.88 mln
 
Q3 Credit Loss Provision
 
$10.03 mln
 
*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 8 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the banks peer group is "buy."
Wall Street's median 12-month price target for Commerce Bancshares, Inc. is $63.00, about 14.3% above its October 19 closing price of $55.11
The stock recently traded at 12 times the next 12-month earnings vs. a P/E of 14 three months ago

Reuters Recommended Reads
Oct 19 - Fifth Third Bancorp Q3 net interest income jumps on Comerica acquisition
Oct 19 - Zions Bancorp Q3 EPS rises 20% on improved credit quality
Oct 19 - ServisFirst Bancshares Q3 profit jumps on loan growth, wider interest margin 

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)