Commerce Bancshares Inc. (NASDAQ:CBSH) Senior Vice President Patricia R. Kellerhals has sold 2,000 shares of the company's common stock, according to a recent SEC filing. The transaction, which took place on September 16, 2024, was executed at an average price of $62.228 per share, resulting in a total value of $124,456.
The sale has adjusted Kellerhals' direct holdings in the company to a total of 23,381 shares of Commerce Bancshares Inc. common stock. The transaction details were made public through a Form 4 filing with the Securities and Exchange Commission, dated September 17, 2024.
Investors often look to insider buying and selling as a potential indicator of a company's future performance. In this case, the sale by a high-ranking executive might be of interest to current and potential shareholders of Commerce Bancshares Inc., a Missouri-based financial institution known for its state commercial banking operations.
Commerce Bancshares Inc. has not released any official statement regarding this transaction, and it remains one of the many routine filings that occur within publicly traded companies. Shareholders and prospective investors are encouraged to consider the context of the sale within the broader scope of the company's performance and market activities.
For those monitoring insider transactions, it's worth noting that the details reported in SEC filings provide a snapshot of executives' stock dealings, which can vary widely in nature and motivation. As always, individual investment decisions should be made based on comprehensive analysis and due diligence.
In other recent news, Commerce Bancshares Inc. reported a significant increase in earnings and revenue for the second quarter of 2024, exceeding analyst expectations. The company announced earnings of $1.07 per share, surpassing the analyst estimate of $0.94, and reported strong revenue of $414.49 million, which exceeded the consensus estimate of $403.85 million. This represents an improvement from the $0.97 per share reported in the same quarter last year and a substantial increase from the $0.86 per share in the first quarter of 2024.
Net income for the second quarter reached $139.6 million, up from $127.8 million in the second quarter of 2023. The robust quarterly performance was attributed to an expanding net interest margin, solid fee income, and well-controlled expenses. The bank's net interest margin expanded by 22 basis points this quarter, with increases in trust fees and deposit account fees of 10.6% and 11.9%, respectively, compared to the same period last year.
These recent developments indicate that Commerce Bancshares maintained strong capital and liquidity levels, with excellent credit quality across its loan portfolio. The bank also made a significant community investment by contributing $5.0 million to the Commerce Bancshares Foundation during the quarter. Average loan balances saw a modest increase of 0.6% compared to the prior quarter, totaling $17.2 billion, while total average available for sale debt securities decreased by $695.1 million from the prior quarter to $8.8 billion at fair value.
InvestingPro Insights
Commerce Bancshares Inc. (NASDAQ:CBSH) has recently been highlighted for its robust shareholder yield, a significant factor for investors seeking income-generating stocks. According to InvestingPro Tips, the company has not only maintained its dividend payments for an impressive 54 consecutive years but has also raised its dividend for the last 10 consecutive years, showcasing a strong commitment to returning value to its shareholders.
In terms of performance, Commerce Bancshares has demonstrated strong returns, particularly over the last three months, with a price total return of 16.98%. This is complemented by a year-to-date price total return of 18.24%, indicating a solid upward trend in the stock's performance.
InvestingPro Data metrics reveal a market capitalization of $8.04 billion, with a P/E ratio of 16.91, which adjusts slightly to 16.6 for the last twelve months as of Q2 2024. Additionally, the company has shown a steady revenue growth of 3.65% over the same period.
For potential investors and current shareholders looking to delve deeper into the financial health and future prospects of Commerce Bancshares, additional InvestingPro Tips can be found at https://www.investing.com/pro/CBSH, which include insights on analysts' earnings revisions and profitability predictions for the year. With 7 analysts having revised their earnings upwards for the upcoming period, and a prediction of profitability for the year, these factors may provide further confidence in the company's financial trajectory.
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