Commerce Bancshares (CBSH) came out with quarterly earnings of $0.86 per share, beating the Zacks Consensus Estimate of $0.80 per share. This compares to earnings of $0.90 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 7.50%. A quarter ago, it was expected that this bank holding company would post earnings of $0.82 per share when it actually produced earnings of $0.84, delivering a surprise of 2.44%.Over the last four quarter ...

Investors are always looking for stocks that are poised to beat at earnings season and Commerce Bancshares, Inc. (CBSH) may be one such company. The firm has earnings coming up pretty soon, and events are shaping up quite nicely for their report.That is because Commerce Bancshares is seeing favorable earnings estimate revision activity as of late, which is generally a precursor to an earnings beat. After all, analysts raising estimates right before earnings — with the most up-to-date information possible — ...

Have you been searching for a stock that might be well-positioned to maintain its earnings-beat streak in its upcoming report? It is worth considering Commerce Bancshares (CBSH) , which belongs to the Zacks Banks - Midwest industry.This bank holding company has an established record of topping earnings estimates, especially when looking at the previous two reports. The company boasts an average surprise for the past two quarters of 2.34%.For the last reported quarter, Commerce came out with earnings of $0.8 ...

Wall Street analysts forecast that Commerce Bancshares (CBSH) will report quarterly earnings of $0.80 per share in its upcoming release, pointing to a year-over-year decline of 11.1%. It is anticipated that revenues will amount to $385.9 million, exhibiting a decline of 0.9% compared to the year-ago quarter.The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timefra ...

The market expects Commerce Bancshares (CBSH) to deliver a year-over-year decline in earnings on lower revenues when it reports results for the quarter ended March 2024. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.The earnings report, which is expected to be released on April 16, 2024, might help the stock move higher if these key numbers ...

Commerce Bancshares, Inc. (CBSH) is well-positioned for top-line growth, supported by decent loan demand and efforts to improve fee income.  Supported by a solid balance sheet and earnings strength, its capital distributions seem sustainable.Analysts also seem optimistic regarding the company’s earnings growth potential. Over the past 60 days, the Zacks Consensus Estimate for CBSH’s earnings has been revised 2.9% and 1.8% upward for 2024 and 2025, respectively. The stock currently carries a Zacks Rank #2 (B ...

Commerce Bancshares, Inc (CBSH) is well-placed for revenue growth on the back of steady loan demand and strong fee income. Higher interest rates and a strong balance sheet position will continue to support its financials. However, elevated expenses and weak asset quality pose major near-term concerns.Commerce Bancshares is expanding organically. The company’s revenues witnessed a five-year (2018-2023) compound annual growth rate (CAGR) of 3.5% despite recording a decline in 2020. The upside was primarily dr ...

Loan Portfolio - Total loans increased to $17.2 billion at December 31, 2023, up from $16.3 billion in 2022, representing a growth of 5.5%[17] - Business real estate loans totaled $3.7 billion, comprising 21.6% of the total loan portfolio, with non-accrual loans at less than 0.1%[23] - Personal real estate loans reached $3.0 billion, accounting for 17.6% of the total loan portfolio, with 39% being adjustable rate loans[24] - Consumer loans totaled $2.1 billion, with a net increase of $18.6 million year-over-year, and net charge-offs increased to $6.2 million in 2023 from $3.8 million in 2022[26] - Net loan charge-offs for the company totaled $31.1 million in 2023, a 62.8% increase from $19.1 million in 2022, with consumer credit card loans experiencing a charge-off rate of 3.40%[29] - Non-accrual loans decreased to $7.3 million at year-end 2023, down from $8.3 million in 2022, with a low non-performing assets to total loans ratio of 0.04%[33] - Total potential problem loans decreased to $216.4 million in 2023 from $259.7 million in 2022, indicating improved loan quality[67] - Owner-occupied real estate loans totaled $1.18 billion, representing 31.6% of total loans, while total real estate business loans reached $3.72 billion, accounting for 21.6% of total loans[69] - The Company has loan commitments totaling $14.5 billion, including approximately $5.4 billion in unused, approved credit card lines[116] Investment Securities - The investment securities portfolio decreased by 20.6% to $10.9 billion in 2023, with a tax equivalent yield of 2.29%[41] - The available for sale portfolio included $3.9 billion of agency mortgage-backed securities at year-end 2023[42] - The company expects approximately $1.8 billion in maturities and pay downs of investment securities during 2024[41] - The Company recognized a net unrealized loss of $1.2 billion in its available for sale debt securities portfolio as of December 31, 2023, due to rising interest rates[147] - Investment securities totaled $12,366,334 thousand, generating $282,738 thousand in interest income, with an average rate of 2.29%[206] Liquidity and Funding - The Company has developed a variety of liquidity sources, including a portfolio of liquid investments and a diversified customer deposit base, to manage liquidity risk effectively[49] - As of December 31, 2023, resale agreements totaled $450.0 million, with $325.0 million maturing in Q1 2024 and $125.0 million in Q1 2025, backed by collateral valued at $479.0 million[50] - Total pledged securities increased to $7.47 billion in 2023 from $4.74 billion in 2022, while unpledged and available for pledging decreased to $2.21 billion from $6.55 billion[51] - The Company issued $1.2 billion in short-term brokered certificates of deposit during Q2 2023, all maturing by December 31, 2023, as a reliable liquidity source[52] - Federal funds purchased amounted to $261.3 million at year-end 2023, with approved lines of credit totaling $4.0 billion[53] - The Company maintains a loan to deposit ratio lower than the industry average, contributing to its strong liquidity position[49] - The Company has no significant long-term debt, which enhances its future borrowing capacity and liquidity options[54] Income and Expenses - Net interest income for the year ended December 31, 2023, was $998.1 million, an increase from $942.2 million in 2022, representing a growth of 5.9%[129] - Non-interest income for 2023 was $573.0 million, up from $546.5 million in 2022, marking an increase of 4.8%[129] - The Company reported a pre-tax income of $619.7 million for 2023, compared to $632.4 million in 2022, a decrease of 2.0%[129] - The Company’s non-interest expense increased by $12.8 million, or 8.8%, mainly due to higher salaries and benefits expense[106] - Total non-interest expense increased to $930,982, up 9.7% from $848,777 in 2022[199] Credit Losses - The allowance for credit losses on loans is deemed adequate to cover expected losses in the loan portfolio as of December 31, 2023[30] - The provision for credit losses in the Consumer segment totaled $27.5 million, reflecting a $9.6 million increase over the prior year, mainly from higher consumer credit card and personal loan net charge-offs[103] - Provision for credit losses increased to $35.5 million in 2023 from $28.1 million in 2022, reflecting a rise of 26.5%[129] - The Company’s provision for credit losses on unfunded lending commitments was a benefit of $7.9 million in 2023, compared to a provision of $8.9 million in 2022[161] Market and Economic Conditions - The Company operates primarily in the U.S. and is exposed to economic downturns in its concentrated markets, which could materially affect its financial condition[165] - Changes in federal monetary policy could materially affect the Company's business, particularly regarding loan demand and interest rates[171] - The Federal Reserve raised the benchmark interest rate from nearly zero at the start of 2022 to between 5.25% and 5.50% by the end of July 2023, impacting the Company's interest margins and liquidity[178] - The Company is subject to both interest rate and liquidity risk, which are monitored monthly by its Asset-Liability Management Committee[174] Regulatory and Compliance - The SEC proposed a rule in March 2022 requiring public issuers, including the Company, to expand climate-related disclosures significantly[173] - The Company faces potential sanctions and penalties for non-compliance with laws and regulations, which could adversely affect its financial condition[170] - The FASB issued ASU 2023-06 in October 2023, modifying disclosure requirements, but the adoption is not expected to significantly affect the Company's financial statements[180] - The FASB also issued ASU 2023-09 in December 2023, requiring additional disclosures regarding income tax reconciliations, effective January 1, 2025[181] Shareholder Returns - Cash dividends paid per share increased by 7.1% in 2023 compared to 2022, with a 5.1% increase in the first quarter 2024 cash dividend[119] - The Company purchased 1.4 million shares in 2023 under its treasury stock buyback program, with 1.8 million shares remaining available for purchase[92] Technology and Growth Initiatives - The Company invested significantly in technology to enhance data security and prevent cyber attacks, which remain a growing risk[151] - The company’s new product development initiatives are expected to drive future growth, with a focus on expanding market presence[207] - The overall market expansion strategy includes potential mergers and acquisitions to enhance competitive positioning[207]

Series A lead investor, SixThirty names Commerce Bank CFO Chuck Kim to their PayGround board seat GILBERT, Ariz., Feb. 6, 2024 /PRNewswire/ -- PayGround, a healthcare fintech payments platform, today announced the addition of Chuck Kim, Executive Vice President and Chief Financial Officer of Commerce Bancshares, Inc., to its Board of Directors. Commerce Bank enjoys a leadership position in healthcare banking, payments and financial solutions. PayGround's Series A lead investor, SixThirty, appointed Kim to a ...

KANSAS CITY, Mo.--(BUSINESS WIRE)--Commerce Bancshares, Inc. (NASDAQ: CBSH) announced today that its Board of Directors declared a quarterly dividend of $0.27 per share on the Company's common stock, which compares to the prior dividend of $0.257 as adjusted for the 5% stock dividend that was paid on December 19, 2023. This represents an increase in the quarterly dividend per share of 5% and marks the 56th consecutive year that the Company has increased its regular cash dividend per share. The dividend is p ...