tiprankstipranks
CIBC Earnings Preview: Here’s What to Expect
Market News

CIBC Earnings Preview: Here’s What to Expect

Canadian Imperial Bank of Commerce (CM), Canada’s fifth-largest bank, will report its Q2 financial results on May 27 before the opening bell. Over the past year, the bank stock has gained approximately 50% and is currently trading close to C$137.00. Let’s have a look at what analysts are expecting, as solid earnings could propel CIBC stock higher.

Analysts expect CIBC to report adjusted earnings of C$3.01 per share in the second quarter of 2021, representing a growth of 220% from the prior-year quarter (C$0.94 per share). The estimated revenue is C$4.76 billion, indicating an increase of 36.4% from the first quarter of 2020 (C$3.49 billion). (See Canadian Imperial Bank of Commerce stock analysis on TipRanks)

CIBC beat EPS estimates in the past quarter and is likely to top estimates again this quarter. Bank of Montreal (BMO), the first bank to have reported its Q2 results to date, beat profit estimates. The other big Canadian banks are also expected to post an earnings beat.

Several analysts have raised their Q2 earnings estimates for the six largest banks in Canada on the back of better credit conditions.

A few days ago, Scotiabank analyst Meny Grauman maintained a Buy rating on CM and raised its price target to $156.00 (from $144.00), for 14% upside potential. Grauman anticipates that Canadian banks will post strong financial results thanks to a solid economic recovery.

The rest of the Street is bullish on CM with a Strong Buy consensus rating based on 10 Buys and 2 Holds. The average analyst price target of C$137.38 implies 0.4% upside potential from current levels.

TipRanks’ Smart Score

CM scores a “Perfect 10” on TipRanks’ Smart Score rating system, indicating that the stock has strong potential to outperform the overall market.

Related News:
BMO Q2 Profit Nearly Doubles on Lower Provisions, Beat Estimates
TD Bank Earnings Preview: Here’s What to Expect
CIBC Celebrates 10th Global Accessibility Awareness Day

Trending

Name
Price
Price Change
S&P 500
Dow Jones
Nasdaq 100
Bitcoin

Popular Articles