
KeyCorp (KEY) Stock Forecast & Price Target
KeyCorp (KEY) Analyst Ratings
Bulls say
KeyCorp's solid financial performance is underscored by a 3.7% quarter-over-quarter increase in net interest income, reaching $1.193 billion, supported by a positive trend in average loans and an improvement in net interest margin. Investment banking revenues exhibited robust growth as well, with an approximately 19% increase year-to-date, totaling $353 million, bolstered by increased capital markets activity and a rising M&A pipeline. Additionally, the bank's tangible common equity (TCE) ratio strengthened to 8.06%, and the CET1 ratio climbed to 10.3%, indicating a solid capital position that enhances its financial stability and growth prospects.
Bears say
KeyCorp's overall financial performance has shown signs of weakness, notably reflected in declining revenues from key areas such as Consumer, Commercial Real Estate (CRE), and lease financing, contributing to an overall decrease in earnings. Additionally, while the common equity tier 1 (CET1) ratio remains relatively strong at 11.7%, a projected slowdown in loan growth, revised down to 4.2%, raises concerns about sustained profitability. Furthermore, the anticipation of a recession in 2026 could exacerbate challenges, leading to lower earnings, increased credit losses, and further stagnation in loan growth, underscoring a negative outlook for the company's stock.
This aggregate rating is based on analysts' research of KeyCorp and is not a guaranteed prediction by Public.com or investment advice.
KeyCorp (KEY) Analyst Forecast & Price Prediction
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