Morgan Stanley Lowers Commerce Bancshares (CBSH) Target as Bank Sector Bar Rises

Commerce Bancshares, Inc. (NASDAQ:CBSH) is included among the Dividend Kings List: Top 15 Stocks.

On March 2, Morgan Stanley analyst Manan Gosalia lowered the firm’s price recommendation on Commerce Bancshares, Inc. (NASDAQ:CBSH) to $65 from $67. The analyst reiterated an Equal Weight rating on the shares. In a research note, the firm said it is lifting price targets by a median of 8% across the midcap banks group. Gosalia noted that after the sector’s recent outperformance, “the bar is higher from here.” Even so, the firm still sees supportive trends for the group, including loan growth, improving net interest margins, and continued capital returns.

Earlier in February, Commerce Bancshares said its Board of Directors approved a quarterly dividend of $0.275 per share on the company’s common stock. The payout compares with the prior dividend of $0.262, adjusted for the 5% stock dividend that was paid in December. The change represents a 5% increase in the quarterly dividend per share. The move also extends the company’s long record of dividend growth. Commerce Bancshares has now increased its regular cash dividend for 58 consecutive years.

Commerce Bancshares, Inc. (NASDAQ:CBSH) operates as a regional bank holding company with $32.9 billion in assets. Through its subsidiaries, it provides banking services, payment solutions, wealth management, and securities brokerage. Its main subsidiary, Commerce Bank, has been serving individuals and businesses for more than 160 years, focusing on relationship-based banking and personalized financial services.

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