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Mixed Views on KeyCorp (KEY) Amid Constructive Outlook on the Large-Cap Banking

KeyCorp (NYSE:KEY) is among the 15 Undervalued Momentum Stocks That Are Taking Off.

In a recent note, JPMorgan analysts shared their constructive macro view on the large-cap banking space. With that supportive backdrop, the firm lifted its price target on KeyCorp (NYSE:KEY) to $24.50 from $22 on February 9, while maintaining a Neutral rating, according to The Fly. The firm revised its sector targets to reflect expectations for two rate cuts, with long-term yields likely to remain elevated amid continued inflation concerns.

JPMorgan believes that the broader banking environment remains constructive. In their view, a favorable regulatory stance and rising consolidation activity are expected to underpin the sector, while ongoing sector rotation and stable economic conditions are also expected to provide additional support. The firm also expects bank stocks to hold up on steady fundamentals.

Another analyst with a slightly more bullish view is Evercore ISI’s John Pancari. In his note from the first week of February, Pancari not only maintained an Outperform rating on KeyCorp (NYSE:KEY) but also raised the price target to $26 from $25 after revising his estimates following Q4 results.

KeyCorp (NYSE:KEY) stock is up 8% so far in 2026, after delivering a 20% return in 2025. At $22.2, it trades approximately 5% below its 52-week high, with a consensus median price target of $24, implying an additional 8%-9% upside.

KeyCorp (NYSE:KEY) is the parent holding company for KeyBank National Association, its principal subsidiary. Through KeyBank and certain other subsidiaries, the company provides a wide range of retail and commercial banking, commercial leasing, investment management, investment banking, and other financial services to individual, corporate, and institutional clients.

While we acknowledge the risk and potential of KEY as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than KEY and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT:  12 Best Software Infrastructure Stocks to Buy According to Hedge Funds and Cathie Wood’s Stock Portfolio: Top 10 Stocks to Buy.

Disclosure: None. This article is originally published at Insider Monkey.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

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