Comerica (NYSE: CMA) reported better-than-expected first-quarter 2025 earnings on Monday, with solid profitability and stable credit metrics helping to offset a slight revenue miss. However, shares fell more than 3% intraday, as investor caution continues to weigh on sentiment amid ongoing macroeconomic uncertainty.
The Dallas-based regional bank posted adjusted earnings per share of $1.25, ahead of the $1.16 consensus estimate. Total revenue came in at $829 million—just under the $831.13 million forecast—but marked a 5.7% increase compared to the $784 million reported in the year-ago quarter.
Net interest income remained stable sequentially at $575 million, rising by 4.9% year-over-year. Net interest margin expanded to 3.18%, up from 3.06% in Q4 and 2.80% a year earlier, driven by higher noninterest-bearing deposit balances and strategic pricing discipline.
Noninterest expenses declined by $3 million quarter-over-quarter to $584 million, reflecting Comerica’s continued cost management efforts. Credit quality remained strong, with net charge-offs of $26 million, or 0.21% of average loans.
The bank’s common equity tier 1 capital ratio improved to an estimated 12.05%, well above its 10% internal target.
Comerica (NYSE: CMA) shares are down more than 17% year-to-date. Meanwhile, the stock has a consensus Hold rating and an average price target of $65.26, which implies about 27% potential upside from the current stock price.
David Kirakosyan is a seasoned financial journalist with nearly a decade of hands-on experience in covering the U.S. stock markets. Since 2016, he has written thousands of equity news articles, detailed market analyses, and investment insights for trusted platforms like Benzinga, Investing.com, and StreetInsider. David holds a Master of Science in Finance and is a Level 2 CFA® candidate, reflecting his deep commitment to financial expertise and ethical standards. His reporting combines real-world market experience with a strong academic foundation, helping readers make informed decisions backed by reliable information. Read Full Bio
