Comerica Earnings: Here is What You Need to Know

Comerica Bank Earnings ReportFrom Dallas, Comerica Incorporated (CMA) reported early Tuesday  its quarterly earnings of $144 million and an earnings per share of 73 cents, which shattered estimated EPS of 64 cents and was a 7 cent increase over the first quarter of 2012. In response, the stock lurched early Tuesday north of $31.60 per share before settling back down to be up about two-thirds of a point at $31 per share.

Cmpared to the second quarter of 2011, CMA posted a huge growth spurt, with net quarterly income of $144 million being 50 percent higher than in the same period of 2011 ($96 million) and the EPS of 73 cents being 38 percent better year-over-year. Commercial loans increased by 5 percent ($1.2 billion) over the previous quarter and has grown for eight consecutive quarters – resulting in a 20-percent increase year-over-year. Overall loans were up 2 percent ($959 million) over the previous quarter.

CEO Ralph W. Babb Jr. said, “Our second quarter results reflect our focus on the bottom line in this slow growing national economy. Loans continued to grow … (d)eposits continued to grow, credit quality remained solid, and we maintained our tight control of expenses. Our capital position remains a source of strength to support our future growth. We repurchased 2.9 million shares under our share repurchase program in the second quarter of 2012. In April, our Board of Directors increased the quarterly cash dividend 50 percent, to 15 cents per share. The combined share buyback and dividend returned 81 percent of second quarter net income to shareholders. Our consistent, conservative, relationship-focused approach to banking is making a positive difference for us and our customers.”

This news can be seen as a positive step to hedge funds like John Murphy’s Alydar Capital and Glenn Russell Dubin’s Highbridge Capital Management, both of which were new investors in CMA stock during the first quarter of 2012 while other funds were jettisoning some of their positions. Alydar had invested nearly $74 million in Comerica during Q1, while Highbridge jumped in with a nearly $24 million investment. Alydar was the top hedge-fund investor in Comerica in March, while Highbridge was No. 4. The funds between them, John Brennan’s Sirios Capital Management and Cliff Asness’s AQR Capital Management, had sold offr large portions of their stakes – Sirios shed 34 percent of its stake in Q1 while AQR dumped 43 percent.

blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

The 8 Best Halloween Decorating Ideas to Spook Up Your House

10 Marvel Women that Should Get a Movie Right Now

The 20 Best Remixes of Popular Songs that Will Make You Forget the Originals

7 Most Expensive Cities in the World

5 Least Expensive Cities in the World

10 Celebrities Who Believe In Scientology

10 High Margin Food Products to Build a Business Around

The 10 Most Expensive Clothing Stores in the United States to Get Decked Out At

The 5 Biggest Kickstarter Scams That Swindled Backers’ Donations

The 10 Most Expensive Boarding Schools In the World

50 Crazy Facts About Japan You Won’t Believe

Top 10 Least Expensive Hybrid Cars to Save the Planet With

The 10 Biggest ‘Gate’ Controversies in History

The 10 States with the Highest Nursing Shortages Leaving Their Hospitals Depleted

The 10 Best Value Investment Blogs that Every Investor Must Read

The 6 Cheapest Boarding Schools in Europe 2015

The 5 Most Expensive Cars To Insure in the World

The 10 Most Common Genetically Modified Foods

10 Self-Made Billionaires Who Came From Nothing

The 10 Most Expensive Cities to Live in North America

The 13 Most Expensive Headphones in the World to Represent

The Top 20 Wealthiest Soccer Teams in 2014

4 BuzzWorthy Cannabis Stocks And Some Smoking Derivative Plays

The 10 Healthiest Fast Food Chains in America to Dine At

The 5 Most Expensive Cat Food Brands You Can Spoil Your Kitty With

The 6 Best eCommerce Platforms for Small Businesses

The 10 Worst Mistakes an Entrepreneur Can Make

The 5 Most OP Characters in League of Legends to Carry Games and Crush Foes With

The 5 Best Foods to Eat Before Running that Will Help You Pound the Pavement

10 Glaring Plot Holes in The Walking Dead that a Zombie-Filled Bus Could Drive Through

The 5 Biggest Celebrity Stoners Who Love Their Reefer

The 10 Most Overrated Movies Of All Time by Out-of-Touch Critics

Top 6 Least Expensive Cruise Destinations For 2015 that Will Take You to Paradise

10 States with Lowest Substance Abuse Rates in America

The 14 Most Watched TV Finales Ever

The 10 Best Selling Role Playing Games of All Time for PC

10 Most Influential Papers In Economics

Top 8 Biggest Charities in the US

10 Worst Celebrity Career Moves Ever

Top 10 Best Paid Tennis Stars in the World

Top 6 Cities For The Ultra Rich to Live in Comfort

10 Cities with High Demand for Nurses

6 of the Worst Greeting Card Messages Ever Crafted

How to Make Money in ArcheAge and Build Your Empire

10 Foods To Eat To Lower Cholesterol Levels

The 10 Most Hated Television Characters of All Time

The 30 Worst Halloween Costume Ideas Ever Brought to Horrible Life

10 Vocational Skills in Demand Today with Jobs Waiting to be Filled

10 Best Places to Visit in Central and South America

The 10 Greatest Empires in History Which Nearly Conquered the World

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!