Fact based stock research
KeyCorp (NYSE:KEY)

US4932671088

How to read the free ranks

For every stock, we judge its performance against its peers and rank it on a scale of 1 to 100. The higher the rank, the better the stock performs than its peers. And, we do this for six investment strategies:
Value - shows how good of a value the stock is. Green is "inexpensive"; red is "expensive".

Growth - shows a company's growth potential. Green is "high growth" expected; red is "tough times ahead".

Safety - relates to the amount of debt a company has. Green is low debt level; red is high debt level.

Combined Financial - this isn't an average of the first three ranks but rather a consolidated view across several financial indicators. Green = good; red = tread carefully.

(NEW) Sentiment - quantifies professional analyst ratings and holdings as well as market pulse. Green = positive sentiment; red = skepticism (Only available to Premium Subscribers).

(NEW) 360° View - the ultimate rating with all financial and non-financial indicators.

KeyCorp stock research in summary

key.com

ANALYSIS: With an Obermatt Combined Rank of 80 (better than 80% compared with investment alternatives), KeyCorp (Regional Banks, USA) shares have much better financial characteristics than comparable stocks. Shares of KeyCorp are a good value (attractively priced) with a consolidated Value Rank of 78 (better than 78% of alternatives), show above-average growth (Growth Rank of 97) but are riskily financed (Safety Rank of 9), which means above-average debt burdens. ...read more

RECOMMENDATION: A Combined Rank of 80, is a strong buy recommendation based on KeyCorp's financial characteristics. As the company KeyCorp's key financial metrics exhibit excellent performance in two areas, such as good value (Obermatt Value Rank of 78) and above-average growth (Obermatt Growth Rank of 97), it could be argued that the risk-taking in financing (Obermatt Safety Rank of only 9) indicates that the company is optimistic about the future and sees debt as an opportunity to boost returns. More debt means more shareholder returns if everything goes well. However, higher debt burdens are risky when interest rates rise or the business deteriorates in a crisis. If you believe the company's future is market-typical or even better, this could be an argument for a share purchase. Obermatt Premium subscribers can further check the stock’s Sentiment Ranks, which also flow into the Obermatt 360° View for investors. ...read more

Latest Obermatt Ranks


360° View^new
Sentiment Rank^new
Value Rank	78
Growth Rank	97
Safety Rank	9
Combined Rank	80

Country	USA
Industry	Regional Banks
Index	Dividends USA, Diversity USA, D.J. US Banks, S&P 500
Size class	XX-Large

This stock has achievements: Top 10 Stock.

14-Nov-2024. Stock data may be delayed. Log in or sign up to get the most recent research.

Further information

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Analysts rarely agree on a stock’s future. So, who do you believe? Obermatt translates those collective views into a single Sentiment Rank. That plus the financial ranks give you the ultimate 360° View. Sign up to access them.

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Review the performance ranks of the individual metrics that form each investment strategy.

Research History: KeyCorp

RESEARCH HISTORY	2021	2022	2023	2024
VALUE
VALUE	79	55	76	78
GROWTH
GROWTH	62	71	11	97
SAFETY
SAFETY	5	9	1	9
SENTIMENT
SENTIMENT	n/a	8	4	^new
360° VIEW
360° VIEW	n/a	27	6	^new

Most recent update of the stock research: 14-Nov-2024. Financial reporting date used for calculating ranks: 30-Jun-2024. Stock research history is based on the Obermatt Method. The higher the rank, the better KeyCorp is in the corresponding investment strategy.
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Combined financial peformance in Detail

RESEARCH HISTORY	2021	2022	2023	2024
VALUE
VALUE	79	55	76	78
GROWTH
GROWTH	62	71	11	97
SAFETY
SAFETY	5	9	1	9
COMBINED
COMBINED	63	37	10	80

Last update of combined financial performance: 14-Nov-2024. Stock analysis on combined financial performance: The higher the rank of KeyCorp the better the performance.

Value Metrics in Detail

ANALYSIS: With an Obermatt Value Rank of 78 (better than 78% compared with alternatives) for 2024, KeyCorp shares are significantly less expensive than comparable stocks. The Value Rank is based on consolidating four value indicators, where half the indicators are below and half above average for KeyCorp. Price-to-Sales (P/S) is 87, which means that the stock price compared with what market professionals expect for future sales is lower than for 87% of comparable companies, indicating a good value concerning KeyCorp's revenue size. The same is valid for dividend yields with a Dividend Yield rank of 91, which means that dividends are expected to be higher than for 91% of comparable investments. On the other hand, the Price-to-Book Capital ratio (also referred to as market-to-book ratio) is less favorable than for 63% of alternatives (only 37% of peers have an even higher ratio). The same is valid for the Price-to-Profit (or Price / Earnings, P/E) ratio, which is higher than for 57% of comparable companies, making the stock more expensive compared with the company's expected profit levels. ...read more

RECOMMENDATION: The overall picture with a consolidated Value Rank of 78, is a buy recommendation based on KeyCorp's stock price compared with the company's operational size and dividend yields. This is a somewhat surprising picture, because it means that profits are low while dividends are high. One interpretation could be that profits are expected to increase, justifying the high dividend payments. But it could also mean that the company desperately keeps the high dividends to avoid a collapsing share price. This would be a rather dangerous constellation. We recommend further analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks, including the 360° View, before making an investment decision, which is especially important in this case, as the financial indicators are inconclusive. ...read more

VALUE METRICS	2021	2022	2023	2024
PRICE VS. REVENUES (P/S)
PRICE VS. REVENUES (P/S)	85	60	97	87
PRICE VS. PROFITS (P/E)
PRICE VS. PROFITS (P/E)	85	50	41	43
PRICE VS. CAPITAL (Market-to-Book)
PRICE VS. CAPITAL (Market-to-Book)	40	26	31	37
DIVIDEND YIELD
DIVIDEND YIELD	83	95	98	91
CONSOLIDATED RANK: VALUE
CONSOLIDATED RANK: VALUE	79	55	76	78

Last update of Value Rank: 14-Nov-2024. Stock analysis on value ratios: The higher the rank, the lower the value ratio of KeyCorp; except for dividend yield where the rank is higher, the higher the yield.

Growth Metrics in Detail

ANALYSIS: With an Obermatt Growth Rank of 97 (better than 97% compared with alternatives) for 2024, KeyCorp shows one of the highest growth dynamics in its industry. Investors also speak of high momentum. The Growth Rank is based on consolidating four value indicators, with all but one indicator above average for KeyCorp. Sales Growth has a rank of 95 which means that currently, professionals expect the company to grow more than 95% of its competitors. Both Profit Growth, with a rank of 58, and Stock Returns, with a rank of 83, are also above average. But Capital Growth only has a rank of 49, which means that, currently, professionals expect the company to grow its invested capital less than 51% of its competitors. ...read more

RECOMMENDATION: The overall picture with a consolidated Growth Rank of 97, is a buy recommendation for growth and momentum investors. That may be a good sign if the company is already well positioned and doesn't require more investments at this time. They may focus on growing the top (revenues) and bottom (profits) lines, recently rewarded with above-average stock returns for shareholders. But it may also be a sign of danger as the company is falling back with capital investment activities concerning competition. This requires further analysis of corporate communications. While momentum is a popular investment factor, the value aspect might be the more important one, in the longer term. We recommend analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks to arrive at a 360° View of the stock purchase case. ...read more

GROWTH METRICS	2021	2022	2023	2024
REVENUE GROWTH
REVENUE GROWTH	68	34	80	95
PROFIT GROWTH
PROFIT GROWTH	69	76	8	58
CAPITAL GROWTH
CAPITAL GROWTH	n/a	46	7	49
STOCK RETURNS
STOCK RETURNS	54	87	21	83
CONSOLIDATED RANK: GROWTH
CONSOLIDATED RANK: GROWTH	62	71	11	97

Last update of Growth Rank: 14-Nov-2024. Stock analysis on growth metrics: The higher the rank, the higher the growth and returns of KeyCorp.

Safety Metrics in Detail

ANALYSIS: With an Obermatt Safety Rank of 9 (better than 9% compared with alternatives), the company KeyCorp has much riskier financing practices than comparable other companies, which means that their overall debt burden is significantly above the industry average. This doesn't mean that the business of KeyCorp is also risky, it only means that the company is on the riskier side in respect to bankruptcy in case things turn sour, assuming that public reporting is correct. The Safety Rank is based on consolidating three financing indicators, with just one indicator above average for KeyCorp and the other two below average. Refinancing is at 69, meaning the portion of the debt about to be refinanced is below average. It has less debt in the refinancing stage than 69% of its competitors. But Leverage is high with a rank of 8, meaning the company has an above-average debt-to-equity ratio. It has more debt than 92% of its competitors. Liquidity is also on the riskier side with a rank of 21, meaning the company generates less profit to service its debt than 79% of its competitors. ...read more

RECOMMENDATION: With a consolidated Safety Rank of 9 (worse than 91% compared with alternatives), KeyCorp has a financing structure that is significantly riskier than that of its competitors. A good Refinancing Rank means that the problems of the company may not be around the corner. But high Leverage is only good if things go well, and low Liquidity is a signal for caution. The financing signals for KeyCorp are on the riskier side, requiring the company's future to be on the safer side. Investors may want to look at Growth and Sentiment ranks before making an investment decision. In the long-term, investors may have a debt challenge with KeyCorp and should also compare Obermatt’s Value, Growth, and Sentiment Ranks before making a decision. ...read more

SAFETY METRICS	2021	2022	2023	2024
LEVERAGE
LEVERAGE	3	10	1	8
REFINANCING
REFINANCING	49	62	56	69
LIQUIDITY
LIQUIDITY	3	11	13	21
CONSOLIDATED RANK: SAFETY
CONSOLIDATED RANK: SAFETY	5	9	1	9

Last update of Safety Rank: 14-Nov-2024. Stock analysis on safety metrics: The higher the rank, the lower the leverage of KeyCorp and the more cash is available to service its debt.

Sentiment Metrics in Detail

SENTIMENT	2021	2022	2023	2024
ANALYST OPINIONS
ANALYST OPINIONS	n/a	25	63	^new
OPINIONS CHANGE
OPINIONS CHANGE	n/a	7	24	^new
PRO HOLDINGS
PRO HOLDINGS	n/a	48	6	^new
MARKET PULSE
MARKET PULSE	n/a	36	3	^new
CONSOLIDATED RANK: SENTIMENT
CONSOLIDATED RANK: SENTIMENT	n/a	8	4	^new

Last update of Sentiment Rank: 14-Nov-2024. Stock analysis on sentiment metrics: The higher the rank, the more positive the sentiment for KeyCorp.
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