Why Comerica (CMA) Is Retreating Today

Dallas-based regional bank Comerica (CMA) is sliding 5% today after the company reported weaker-than-expected fourth-quarter results this morning.

CMA’s Q4 Miss

The bank stated that its revenue had climbed 5% versus the same period a year earlier to $825 million. However, that figure was below analysts’ average estimate of $838 million. Moreover, the firm generated earnings per share, excluding certain items, of $1.20, below the mean outlook of $1.28.

A customer walking into a bank branch, expressing the convenience of consumer banking services.

On a positive note, its net interest income jumped $41 million in Q4 versus Q3 to $575 million. On the other hand, its nonperforming assets climbed by $58 million in Q4 compared with Q3 to $308 million. Analysts, on average, had expected the latter figure to come in at only $250.4 million.

“As expected, loans were pressured by paydowns in Commercial Real Estate, but we saw promising signals across other businesses that support our outlook for growth in 2025. Although some uncertainty remains, we believe customer sentiment is generally more optimistic about the future of the economy and plans for increased investment in their businesses.” CEO Curtis Farmer said in a statement.

The Recent Price Action of CMA Stock

In the last month, the shares are flat, and they have risen 1.5% in the last three months.

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