Comerica Becomes a $157 Million Top Holding as Shares Surge 41% Year Over Year

Core Insights - HoldCo Asset Management has established a new position in Comerica, acquiring 2.29 million shares valued at $156.94 million, making it the largest holding in the fund's portfolio [2][6] - Comerica's shares have increased by 41% over the past year, significantly outperforming the S&P 500, which rose by about 16% during the same period [3][8] - The new position in Comerica accounts for 16.56% of HoldCo's 13F assets under management [3][6] Company Overview - Comerica is a leading regional financial institution with a diversified business model that includes commercial banking, retail banking, and wealth management [5][7] - The company serves a wide range of clients, including small and middle-market businesses, multinational corporations, government entities, and individual consumers [7] - As of the latest report, Comerica's market capitalization is $11.11 billion, with a revenue of $3.34 billion and a net income of $717 million for the trailing twelve months [4] Financial Performance - In the latest quarter, Comerica reported a net income of $176 million, or $1.35 per share, which is a decrease from $184 million a year ago [9] - The bank's net interest income remained stable at $574 million, with average deposits rising to $62.7 billion [9] - Comerica's common equity tier 1 ratio is at 11.9%, exceeding management's long-term target, and the bank executed $150 million in share repurchases during the quarter [9] Market Position - Comerica's performance is notable within the regional banking sector, as the S&P Regional Banks Select Industry Index is up about 9% over the past year, still 18% below 2022 highs [8] - The fund's top holdings are concentrated around regional banks, indicating a strategic overweight in this sector rather than a one-off investment in Comerica [10]