Latest news with #CanadianImperialBankofCommerce
Yahoo
4 days ago
- Business
- Yahoo
Canadian Imperial's Q2 Earnings Rise on Higher Revenues, Provisions Up
Canadian Imperial Bank of Commerce CM announced second-quarter fiscal 2025 (ended April 30) results last week. Adjusted earnings per share of C$2.05 increased 17% from the prior-year benefited from growth in revenues and a rise in loans and deposit balances. However, higher expenses and a jump in provisions were the undermining considering non-recurring items, net income was C$2 billion ($1.41 billion), reflecting a 15% year-over-year growth. Total revenues were C$7.02 billion ($4.94 billion), up 14% year over year. The rise was driven by higher net interest income and non-interest interest income (NII) came in at C$3.79 billion ($2.67 billion), up 15%. Non-interest income increased 12% to C$3.23 billion ($2.27 billion).Non-interest expenses totaled C$3.82 billion ($2.69 billion), rising 9% year over adjusted efficiency ratio was 54.2% at the end of the reported quarter, down from 56.4% in the prior-year quarter. A decline in the efficiency ratio indicates an improvement in for credit losses was C$605 million ($425.7 million), up 18% from the prior-year of April 30, 2025, total assets were C$1.09 trillion ($774.2 billion), up almost 1% from the prior quarter. Net loans and acceptances increased marginally to C$571.6 billion ($413.6 billion), while deposits increased slightly to C$784.6 billion ($567.7 billion). As of April 30, 2025, the Common Equity Tier 1 ratio was 13.4% compared with 13.1% in the prior-year quarter. The Tier 1 capital ratio was 15.2% compared with 14.7% in the prior-year period. The total capital ratio was 17.8%, up from 17%.Adjusted return on common shareholders' equity was 13.9% at the end of the fiscal second quarter, up from the prior year's 13.4%. Given high interest rates and decent loan demand, Canadian Imperial is likely to witness an improvement in revenues. However, a challenging operating backdrop and steadily increasing expenses remain near-term concerns. Canadian Imperial Bank of Commerce price-consensus-eps-surprise-chart | Canadian Imperial Bank of Commerce Quote Currently, CM carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Toronto-Dominion Bank's TD second-quarter fiscal 2025 (ended April 30) adjusted net income of C$3.6 billion ($2.63 billion) fell 4.3% year over year. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)Higher provisions for credit losses and expenses acted as undermining factors. Also, lower loan balances were another negative. Nonetheless, growth in NII and non-interest income was positive for TD. Deutsche Bank DB reported first-quarter 2025 earnings attributable to its shareholders of €1.78 billion ($2.01 billion), up 39.2% year over results were aided by a rise in revenues and lower expenses. However, higher provision for credit losses was a spoilsport. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Deutsche Bank Aktiengesellschaft (DB) : Free Stock Analysis Report Toronto Dominion Bank (The) (TD) : Free Stock Analysis Report Canadian Imperial Bank of Commerce (CM) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
30-05-2025
- Business
- Yahoo
Canadian Imperial Bank of Commerce (CM) Q2 2025 Earnings Call Highlights: Strong Financial ...
Net Income: $2 billion, up 17% from the prior year. Earnings Per Share (EPS): $2.05, up 17% from the prior year. Pre-Provision Pretax Earnings: Up 19%. Return on Equity (ROE): 13.9%, up 50 basis points year-over-year. CET1 Ratio: 13.4%. Share Repurchases: 6 million common shares during the quarter. Revenue Growth: Up 14% driven by strong trading activity, expanding margins, volume growth, and higher fee income. Operating Leverage: 430 basis points. Provisions for Credit Losses: $605 million, up 18% from a year ago. Net Interest Income (NII): Up 16% excluding trading. Non-Interest Income: $3.2 billion, up 12% from the prior year. Expenses: Grew 6% excluding performance-based compensation. Liquidity Coverage Ratio (LCR): 131%. US Commercial Banking and Wealth Management Net Income: USD 125 million, up 58% from the prior year. Capital Markets Revenue: $1.5 billion, up 32% year-over-year. Warning! GuruFocus has detected 8 Warning Signs with CM. Release Date: May 29, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Canadian Imperial Bank of Commerce (NYSE:CM) reported strong financial results for Q2 2025, with net income of $2 billion and earnings per share of $2.05, both up 17% from the prior year. The bank achieved a return on equity of 13.9%, an increase of 50 basis points year-over-year, and maintained a healthy CET1 ratio of 13.4%. Canadian Imperial Bank of Commerce (NYSE:CM) demonstrated broad-based growth across all operating units, with pre-provision pretax earnings up 19% and revenues up 14%. The bank's strategic focus on client relationships and digital banking capabilities has resulted in higher Net Promoter Scores and increased client engagement. Canadian Imperial Bank of Commerce (NYSE:CM) continues to invest in technology, including AI, which has saved an estimated 200,000 hours for team members and is expected to enhance operational efficiency. Total provisions for credit losses increased by 18% from a year ago, reflecting higher performing provisions due to macroeconomic uncertainties. The bank's US segment experienced a decline in net interest margin by 6 basis points from the prior quarter, driven by normalization of loan margins. Transaction-related fees were down 15%, mainly due to the revenue-neutral impact of benchmark reform and lower card and FX fees. Expenses grew by 6%, driven by investments in strategic initiatives and higher compensation costs, which could pressure future profitability if not managed effectively. The bank faces ongoing challenges from trade policy uncertainties and macroeconomic volatility, which could impact future growth and financial performance. Q: The performing PCL you put through in the quarter looks lighter than the peer group. Could you elaborate on your assumptions, particularly regarding Canadian GDP growth and employment? A: Frank Guse, Chief Risk Officer: Our performing allowance considers several elements, including scenario weighting and expert credit judgment. We have reflected some uncertainty through our expert credit judgment, so changes in forward-looking indicators may not directly translate into changes in our allowances. Q: CIBC showed progress in the Capital Markets segment. Was there any significant deal driving this, and how does CIBC's investment banking team compare to peers? A: Harry Culham, Group Head - Capital Markets: We are seeing strong growth across all our capital markets businesses, both in North America and globally. Our strategy focuses on building deep client relationships rather than being all things to all people, which has resulted in consistent performance. Q: Can you discuss the momentum from cost-cutting initiatives and the outlook for operating leverage? A: Robert Sedran, CFO: We have an always-on approach to efficiency, focusing on both large and small opportunities. We plan for annual operating leverage and aim to moderate both revenue and expense growth, allowing us to adjust based on the revenue environment. Q: How do you view the current stress on Canadian consumers and businesses, and what gives you confidence in your impaired PCL guidance? A: Frank Guse, Chief Risk Officer: We are confident in our credit quality, supported by thorough portfolio assessments. Delinquency rates have come down, providing comfort in our guidance. We continue to monitor macroeconomic developments closely. Q: What are your thoughts on the deployment of capital, including CET1 ratio targets and buybacks? A: Victor Dodig, CEO: We maintain a four-pronged approach to capital deployment, focusing on dividends, organic growth, buybacks, and tuck-in M&A. We aim to keep our CET1 ratio 75 to 100 basis points above the regulatory minimum, ensuring flexibility for strategic initiatives. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
Yahoo
28-05-2025
- Business
- Yahoo
3 TSX Dividend Stocks Yielding Up To 9.3%
As the Canadian market navigates potential changes in U.S. tax policies and fluctuating bond yields, investors are increasingly focused on stable income sources like dividend stocks. In this environment, selecting stocks with strong dividend yields can provide a reliable income stream while potentially offering some insulation from broader market volatility. Name Dividend Yield Dividend Rating Canadian Imperial Bank of Commerce (TSX:CM) 4.10% ★★★★★☆ Olympia Financial Group (TSX:OLY) 6.69% ★★★★★☆ IGM Financial (TSX:IGM) 5.03% ★★★★★☆ Russel Metals (TSX:RUS) 4.08% ★★★★★☆ Royal Bank of Canada (TSX:RY) 3.33% ★★★★★☆ Atrium Mortgage Investment (TSX:AI) 9.76% ★★★★★☆ Power Corporation of Canada (TSX:POW) 4.82% ★★★★★☆ National Bank of Canada (TSX:NA) 3.52% ★★★★★☆ Acadian Timber (TSX:ADN) 6.48% ★★★★★☆ Sun Life Financial (TSX:SLF) 3.96% ★★★★★☆ Click here to see the full list of 27 stocks from our Top TSX Dividend Stocks screener. We're going to check out a few of the best picks from our screener tool. Simply Wall St Dividend Rating: ★★★★★☆ Overview: Canadian Imperial Bank of Commerce is a diversified financial institution offering a range of financial products and services to personal, business, public sector, and institutional clients in Canada, the United States, and internationally, with a market cap of CA$88.29 billion. Operations: Canadian Imperial Bank of Commerce generates revenue from several segments, including Canadian Personal and Business Banking (CA$8.97 billion), Capital Markets (CA$6.12 billion), Canadian Commercial Banking and Wealth Management (CA$5.69 billion), and U.S. Commercial Banking and Wealth Management (CA$2.37 billion). Dividend Yield: 4.1% Canadian Imperial Bank of Commerce offers a stable dividend with a yield of 4.1%, supported by a low payout ratio of 47.5%, indicating sustainability. The bank's dividends have been reliable and steadily increasing over the past decade, though its yield falls short compared to the top Canadian dividend payers. Recent developments include the launch of CIBC AI, enhancing productivity, and innovative financial products like the CIBC Adapta Mastercard, reflecting strategic growth initiatives that may bolster future earnings capacity. Delve into the full analysis dividend report here for a deeper understanding of Canadian Imperial Bank of Commerce. Our expertly prepared valuation report Canadian Imperial Bank of Commerce implies its share price may be lower than expected. Simply Wall St Dividend Rating: ★★★★★☆ Overview: Power Corporation of Canada is an international management and holding company offering financial services across North America, Europe, and Asia with a market cap of CA$32.45 billion. Operations: Power Corporation of Canada's revenue segments include CA$3.56 billion from IGM, CA$31.02 billion from Lifeco, and CA$2.39 billion from Alternative Asset Investment Platforms. Dividend Yield: 4.8% Power Corporation of Canada provides a reliable dividend, currently yielding 4.82%, with a sustainable payout ratio of 53.4%. The dividend is well covered by cash flows, evidenced by a cash payout ratio of 35.2%. Recent affirmations confirm the quarterly dividend at CAD 0.6125 per share, payable August 1, 2025. Despite being below the top tier of Canadian dividend payers, the company's dividends have shown stability and growth over the past decade, supported by strategic share buybacks totaling CAD 68 million recently completed. Navigate through the intricacies of Power Corporation of Canada with our comprehensive dividend report here. Upon reviewing our latest valuation report, Power Corporation of Canada's share price might be too pessimistic. Simply Wall St Dividend Rating: ★★★★☆☆ Overview: Alphamin Resources Corp., along with its subsidiaries, is involved in the production and sale of tin concentrate, with a market cap of approximately CA$1.23 billion. Operations: Alphamin Resources Corp.'s revenue is primarily derived from the production and sale of tin from its Bisie Tin Mine, generating approximately $539.16 million. Dividend Yield: 9.4% Alphamin Resources' dividend yield of 9.36% is among the top 25% in Canada, yet its track record is unstable with recent volatility. Despite a reasonable cash payout ratio of 63.3%, dividends were not declared for fiscal year 2024 due to operational disruptions and security concerns at its Bisie tin mine. Earnings have grown significantly, but the company's going concern doubts and reduced production guidance highlight risks for dividend sustainability amidst ongoing geopolitical challenges in the DRC. Get an in-depth perspective on Alphamin Resources' performance by reading our dividend report here. The valuation report we've compiled suggests that Alphamin Resources' current price could be quite moderate. Discover the full array of 27 Top TSX Dividend Stocks right here. Shareholder in one or more of these companies? Ensure you're never caught off-guard by adding your portfolio in Simply Wall St for timely alerts on significant stock developments. Enhance your investing ability with the Simply Wall St app and enjoy free access to essential market intelligence spanning every continent. Explore high-performing small cap companies that haven't yet garnered significant analyst attention. Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management. Find companies with promising cash flow potential yet trading below their fair value. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include TSX:CM TSX:POW and TSXV:AFM. This article was originally published by Simply Wall St. Have feedback on this article? Concerned about the content? with us directly. Alternatively, email editorial-team@ Sign in to access your portfolio
Reuters
22-04-2025
- Business
- Reuters
Barrick Gold said to seek buyers for its last mine in Canada, Bloomberg News reports
April 22 (Reuters) - Canada's Barrick Gold ( opens new tab is looking to sell its last mine in the country in a push to capitalize on record gold prices and a renewed interest in North American mining operations, Bloomberg News reported on Tuesday, citing people familiar with the matter. Earlier on Tuesday, the gold miner said it will exit the Donlin gold Project in Alaska by selling its 50% stake to billionaire John Paulson and NovaGold Resources ( opens new tab for up to $1.1 billion. Barrick began a process in April to sell its Hemlo gold mine in Ontario, Canada, and retained Canadian Imperial Bank of Commerce to find buyers and solicit bids, the report said. Barrick Gold and Canadian Imperial Bank of Commerce did not immediately respond to Reuters' requests for comment.
Yahoo
22-04-2025
- Business
- Yahoo
Barrick Gold said to seek buyers for its last mine in Canada, Bloomberg News reports
(Reuters) -Canada's Barrick Gold is looking to sell its last mine in the country in a push to capitalize on record gold prices and a renewed interest in North American mining operations, Bloomberg News reported on Tuesday, citing people familiar with the matter. Earlier on Tuesday, the gold miner said it will exit the Donlin gold Project in Alaska by selling its 50% stake to billionaire John Paulson and NovaGold Resources for up to $1.1 billion. Barrick began a process in April to sell its Hemlo gold mine in Ontario, Canada, and retained Canadian Imperial Bank of Commerce to find buyers and solicit bids, the report said. Barrick Gold and Canadian Imperial Bank of Commerce did not immediately respond to Reuters' requests for comment. Sign in to access your portfolio
