| 2020 | 2021 | 2022 | 2023 (projected) | Share Based Compensation | 101 M | 104 M | 120 M | 110.79 M | Net Cash Flow from Operations | 1.67 B | 1.15 B | 4.47 B | 4.82 B |
Another strong showing for KeyCorp
 | By Aina Ster | Macroaxis Story |
KeyCorp holds an average rating of 'Hold' from 15 analysts. Our investment recommendation tool can cross-verify the current analyst consensus on KeyCorp and analyze the company's potential for growth in the current economic cycle.
Detailed assessment
KeyCorp, a standout in the Banks-Regional industry, continues to show strong performance that makes it a promising investment opportunity. The company's robust earnings per share (EPS) are a testament to its financial strength. The EPS estimate for the next year is an impressive 1.52, suggesting that the company is expected to maintain its profitability. KeyCorp's net income applicable to common shares also underscores its solid performance, with a substantial $1.8 billion reported. However, investors should also consider the risks associated with investing in KeyCorp. The company has a Jensen Alpha of -0.14, indicating that the stock has underperformed when adjusting for the risk taken. Furthermore, the company's mean deviation stands at 2.93, which could signify potential volatility in its stock price. Despite these risks, the company's high book value of 12.64 per share and the Wall Street target price of 12.29 signal confidence in its intrinsic value and future performance. Lastly, while the company's quarterly earnings growth has experienced a loss of 0.34, this should be seen in the context of the broader economic climate. The quarterly revenue growth has also experienced a slight decrease of 0.024. However, these figures do not detract from the overall promising investment opportunity that KeyCorp presents. The company's dividend yield of 0.0766 also offers an additional income stream for investors. In conclusion, KeyCorp's robust performance and strong financials make it a promising investment opportunity.Macroaxis uses a strict editorial review process to publish stories and blog posts. Our publishers support our company and may receive a small commission when the partner links or references are utilized. Commissions do not affect the opinions or evaluations of our editorial team. The information our editors and media partners deliver is confidential and licensed for your sole use as a Macroaxis user. We reserve all rights to the content of this article, and therefore copying or distributing this story in whole or in part is strictly prohibited.
Reviewed by Ellen Johnson
KeyCorp (NYSE: KEY), a leading player in the Financial Services sector, specifically in the Regional Banks concentration, has been demonstrating a robust performance that cannot be overlooked by savvy investors. The company has a healthy operating margin of 32.79% and a return on equity of 11.98%. With a net income from continuing operations standing at $1.9 billion and a gross profit of $6.7 billion, KeyCorp's financial health is impressive. The company has shown a significant change to net income, with a notable increase of $12.7 billion. Furthermore, with a market capitalization of $11.1 billion and a promising possible upside price of $16.11, KeyCorp continues to offer a compelling investment opportunity. Despite one analyst suggesting a strong sell, five others recommend a strong buy, indicating a positive outlook for the company. KeyCorp's Enterprise Value over EBITDA is relatively stable at present, compared to the previous year. In 2022, KeyCorp reported an Enterprise Value over EBITDA of 17.20. The Free Cash Flow per Share is projected to increase to 5.13 in 2023, while the Net Income Per Employee is expected to slightly exceed $85.8K in the same year.
In today's trading environment, many traders prioritize capital preservation over market returns. However, KeyCorp could be an exception to this trend. We will delve into why the upcoming year could be significantly beneficial for KeyCorp shareholders. In this article, I will also discuss various factors influencing KeyCorp's products and services and explain their potential impact on KeyCorp investors.The performance of KeyCorp in the marketplace will significantly impact your decision to invest in its stock. Revenue growth, profitability, competitive positioning, management quality, and industry trends can influence KeyCorp's stock prices. When investing in KeyCorp, there are several factors to consider and potential outcomes to expect. As a company performs well, its stock price may increase, allowing investors to benefit from price appreciation. However, KeyCorp Stock can experience significant price fluctuations due to market conditions, economic factors, industry trends, or company-specific news. This is why investing in stocks such as KeyCorp carries risks, including the potential for capital loss. Stock prices can decline, and investors may incur losses if they sell shares at a lower price than their initial investment.
And What about dividends?
A dividend is the distribution of a portion of KeyCorp earnings, decided and managed by the company's board of directors and paid to a class of its shareholders. Note, announcements of dividend payouts are generally accompanied by a proportional increase or decrease in a company's stock price. KeyCorp dividend payments follow a chronological order of events, and the associated dates are important to determine the shareholders who qualify for receiving the dividend payment. KeyCorp one year expected dividend income is about USD0.55 per share.
Dividends Paid is likely to rise to about (865.5 M) in 2024. Dividend Yield is likely to drop to 0.05 in 2024. | Last Reported | Projected for Next Year | ||
| Dividends Paid | -911 M | -865.5 M | |
| Dividend Yield | 0.07 | 0.05 | |
| Dividend Payout Ratio | 0.94 | 0.53 | |
| Dividend Paid And Capex Coverage Ratio | 2.76 | 2.38 |
Investing in dividend-paying stocks, such as KeyCorp is one of the few strategies that are good for long-term investment. Ex-dividend dates are significant because investors in KeyCorp must own a stock before its ex-dividend date to receive its next dividend.
This type of analysis is very useful when you want to generate a past dividend schedule and payout information for KeyCorp. Then that information in the form of graph and calendar can be used to fully explain how Du Pont dividends can provide a real clue to its valuation.How important is KeyCorp's Liquidity
KeyCorp financial leverage refers to using borrowed capital as a funding source to finance KeyCorp ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. KeyCorp financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Financial leverage can amplify the potential profits to KeyCorp's owners, but it also increases the potential losses and risk of financial distress, including bankruptcy, if the firm cannot cover its debt costs. The degree of KeyCorp's financial leverage can be measured in several ways, including by ratios such as the debt-to-equity ratio (total debt / total equity), equity multiplier (total assets / total equity), or the debt ratio (total debt / total assets). Please check the breakdown between KeyCorp's total debt and its cash.
What do experts say about KeyCorp?
Stock analysis is a method for investors and traders to make buying and selling decisions. By studying and evaluating past and current data, investors and traders attempt to gain an edge in the markets by making informed decisions.
Analysis ConsensusWhat is driving KeyCorp Investor Appetite?
The concept of asset utilization usually refers to the revenue earned for every dollar of assets a company currently reports. The current return on assets of KeyCorp suggests not a very effective usage of assets in July.
KeyCorp, a significant player in the Banks-Regional industry, continues to display robust performance, making it a promising investment opportunity. Despite the challenging market environment, the company has maintained a strong operating margin of 0.33%. With a market capitalization of 11.11 billion, KeyCorp's shares are largely owned by institutions, accounting for 83.76% of the total shares. The company has a healthy book value of 12.641, and a Price to Book ratio of 1.48X, indicating that the market recognizes the underlying assets' value.KeyCorp's net asset stands at a significant 189.81 billion, providing a solid foundation for the company's operations. The firm's earnings stability is reflected in its PE Ratio of 6.7118 and diluted EPS of 1.7. Moreover, the company's five-year return stands at 3.74%, demonstrating its ability to deliver consistent returns over time. Despite a quarterly revenue growth of -0.024, indicating a slight decline, KeyCorp's retained earnings of 15.62 billion and gross profit of 6.74 billion show a strong financial position. With a target price of 12.29 and a typical day price of 11.6, KeyCorp has a potential upside of 6.7, making it an attractive option for investors seeking growth. Despite a probability of bankruptcy of 47.78%, the firm's solid financials and robust performance make it a promising investment. .
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