Diamond Hill Capital Management LLC Investment Advisor Buys New Shares in KeyCorp $KEY

Diamond Hill Capital Management LLC Investment Advisor purchased a new stake in KeyCorp (NYSE:KEY) during the 2nd quarter, according to its most recent filing with the Securities and Exchange Commission. The fund purchased 3,567,222 shares of the financial services provider’s stock, valued at approximately $82,224,000.

Several other institutional investors and hedge funds have also recently added to or reduced their stakes in the business. Brighton Jones LLC acquired a new stake in shares of KeyCorp in the fourth quarter valued at about $476,000. Woodline Partners LP raised its holdings in KeyCorp by 41.4% during the first quarter. Woodline Partners LP now owns 84,156 shares of the financial services provider’s stock worth $1,346,000 after acquiring an additional 24,627 shares in the last quarter. EverSource Wealth Advisors LLC boosted its position in KeyCorp by 58.0% during the second quarter. EverSource Wealth Advisors LLC now owns 5,148 shares of the financial services provider’s stock valued at $90,000 after purchasing an additional 1,890 shares during the last quarter. Cresset Asset Management LLC grew its stake in KeyCorp by 6.5% in the second quarter. Cresset Asset Management LLC now owns 15,097 shares of the financial services provider’s stock valued at $263,000 after purchasing an additional 926 shares in the last quarter. Finally, Federated Hermes Inc. bought a new position in KeyCorp in the second quarter valued at approximately $186,000. 79.69% of the stock is owned by institutional investors.

KeyCorp Stock Performance

NYSE:KEY opened at $23.30 on Monday. KeyCorp has a 1-year low of $16.47 and a 1-year high of $24.07. The company has a current ratio of 0.84, a quick ratio of 0.83 and a debt-to-equity ratio of 0.63. The stock has a market cap of $24.87 billion, a P/E ratio of 13.55, a PEG ratio of 0.76 and a beta of 1.03. The stock has a 50 day simple moving average of $22.89 and a 200 day simple moving average of $21.76.

KeyCorp (NYSE:KEY) last released its quarterly earnings results on Tuesday, July 21st. The financial services provider reported $0.44 EPS for the quarter, beating the consensus estimate of $0.42 by $0.02. The business had revenue of $1.96 billion for the quarter, compared to the consensus estimate of $1.97 billion. KeyCorp had a net margin of 17.83% and a return on equity of 11.23%. KeyCorp’s revenue was up 6.7% compared to the same quarter last year. During the same period in the prior year, the company posted $0.35 earnings per share. Research analysts anticipate that KeyCorp will post 1.83 earnings per share for the current year.

KeyCorp declared that its Board of Directors has initiated a stock buyback plan on Wednesday, May 13th that allows the company to repurchase $3.00 billion in outstanding shares. This repurchase authorization allows the financial services provider to buy up to 13% of its stock through open market purchases. Stock repurchase plans are often an indication that the company’s board believes its stock is undervalued.

KeyCorp Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, September 15th. Stockholders of record on Tuesday, September 1st will be given a dividend of $0.205 per share. This represents a $0.82 dividend on an annualized basis and a dividend yield of 3.5%. The ex-dividend date is Tuesday, September 1st. KeyCorp’s dividend payout ratio is presently 47.67%.

Analysts Set New Price Targets

Several research analysts have weighed in on the company. Susquehanna boosted their price target on KeyCorp from $300.00 to $415.00 and gave the stock a “positive” rating in a research report on Monday, May 18th. Wall Street Zen cut shares of KeyCorp from a “hold” rating to a “sell” rating in a research note on Saturday, May 9th. Robert W. Baird boosted their target price on shares of KeyCorp from $22.00 to $23.00 and gave the stock a “neutral” rating in a report on Wednesday, July 22nd. Royal Bank Of Canada upped their price target on shares of KeyCorp from $24.00 to $25.00 and gave the stock an “outperform” rating in a research report on Wednesday, July 22nd. Finally, Wells Fargo & Company lifted their price objective on shares of KeyCorp from $24.00 to $27.00 and gave the company an “overweight” rating in a research report on Monday, July 6th. One equities research analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating and seven have issued a Hold rating to the company’s stock. According to MarketBeat.com, KeyCorp currently has a consensus rating of “Moderate Buy” and a consensus target price of $49.14.

About KeyCorp

KeyCorp is a bank holding company headquartered in Cleveland, Ohio, that operates through its primary banking subsidiary, KeyBank. It provides a broad range of banking and financial services to individual consumers, small businesses, middle-market companies and large corporations. KeyBank’s offerings span traditional deposit and lending products as well as more specialized financial solutions designed for commercial and institutional clients.

The company’s product and service mix includes retail banking products such as checking and savings accounts, consumer and residential mortgage lending, and auto financing.