Comerica: Deposit Pressures Reflected After A Mixed Q4 (Rating Upgrade)
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Comerica's Q4 results show mixed performance with weak deposit growth but strong pricing actions. The bank's shares have gained 15% but are affected by declining deposits and loss of a government contract, leading to a 'hold' rating.
January 27, 2025 | 1:15 pm
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Comerica's Q4 results reveal weak deposit growth but strong pricing actions, aiding margin expansion. Despite a 15% share gain, declining deposits and a lost government contract lead to a 'hold' rating.
Comerica's Q4 results show a mixed performance with weak deposit growth but strong pricing actions. The bank's shares have gained 15% but are affected by declining deposits and the loss of a government contract, leading to a 'hold' rating. The shift from brokered to core deposits aids margin expansion, and the bank benefits from falling rates. However, loan demand remains tepid.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100