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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.

While we acknowledge the potential of CBSH to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than CBSH and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: 40 Most Popular Stocks Among Hedge Funds Heading into 2026 and 13 Best Defensive Dividend Stocks for 2026.

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

Dr. Inan Dogan

Dr. Ian Dogan

Co-Founder and Research Director at Insider Monkey

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.

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This prediction might not be bold at all:

A few years from now, you’ll wish you’d owned this stock.

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Dr. Inan Dogan

Dr. Ian Dogan

Co-Founder and Research Director at Insider Monkey

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