Diamond Hill Capital Management LLC Investment Advisor Invests $82.22 Million in KeyCorp $KEY

Diamond Hill Capital Management LLC Investment Advisor acquired a new stake in shares of KeyCorp (NYSE:KEY) in the second quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor acquired 3,567,222 shares of the financial services provider’s stock, valued at approximately $82,224,000. Diamond Hill Capital Management LLC Investment Advisor owned about 0.33% of KeyCorp as of its most recent filing with the Securities & Exchange Commission.

A number of other institutional investors have also added to or reduced their stakes in KEY. M&T Bank Corp boosted its stake in KeyCorp by 5,317.0% during the fourth quarter. M&T Bank Corp now owns 1,350,519 shares of the financial services provider’s stock worth $27,875,000 after buying an additional 1,325,588 shares in the last quarter. Jefferies Financial Group Inc. raised its position in KeyCorp by 62.1% in the fourth quarter. Jefferies Financial Group Inc. now owns 220,523 shares of the financial services provider’s stock worth $4,552,000 after purchasing an additional 84,497 shares in the last quarter. Bank of New York Mellon Corp raised its position in KeyCorp by 14.8% in the fourth quarter. Bank of New York Mellon Corp now owns 5,602,637 shares of the financial services provider’s stock worth $115,638,000 after purchasing an additional 721,421 shares in the last quarter. North Reef Capital Management LP bought a new position in KeyCorp during the first quarter worth about $253,632,000. Finally, Mattson Financial Services LLC lifted its stake in KeyCorp by 298.1% during the fourth quarter. Mattson Financial Services LLC now owns 75,771 shares of the financial services provider’s stock worth $1,564,000 after purchasing an additional 56,736 shares during the period. 79.69% of the stock is owned by institutional investors and hedge funds.

KeyCorp Price Performance

Shares of KEY stock opened at $23.30 on Monday. The firm has a market capitalization of $24.87 billion, a price-to-earnings ratio of 13.55, a PEG ratio of 0.76 and a beta of 1.03. 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 firm’s 50 day moving average is $22.89 and its 200-day moving average is $21.76. KeyCorp has a 1 year low of $16.47 and a 1 year high of $24.07.

KeyCorp (NYSE:KEY) last released its 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 company had revenue of $1.96 billion during the quarter, compared to analysts’ expectations of $1.97 billion. KeyCorp had a return on equity of 11.23% and a net margin of 17.83%.The business’s revenue for the quarter was up 6.7% on a year-over-year basis. During the same period last year, the firm earned $0.35 EPS. Sell-side analysts forecast that KeyCorp will post 1.83 EPS for the current fiscal year.

KeyCorp Announces Dividend

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

KeyCorp declared that its board has authorized a stock repurchase program on Wednesday, May 13th that permits the company to buyback $3.00 billion in shares. This buyback authorization permits the financial services provider to repurchase up to 13% of its shares through open market purchases. Shares buyback programs are usually a sign that the company’s board of directors believes its shares are undervalued.

Analyst Ratings Changes

KEY has been the topic of several analyst reports. UBS Group upped their price objective on KeyCorp from $25.00 to $27.00 and gave the company a “buy” rating in a research note on Tuesday, July 7th. TD Cowen restated a “buy” rating and set a $68.00 target price on shares of KeyCorp in a research report on Tuesday, June 23rd. JPMorgan Chase & Co. upped their target price on shares of KeyCorp from $22.50 to $24.50 and gave the stock a “neutral” rating in a report on Monday, July 6th. Keefe, Bruyette & Woods increased their target price on shares of KeyCorp from $25.00 to $26.00 and gave the stock an “outperform” rating in a research report on Wednesday, July 22nd. Finally, Evercore reissued an “outperform” rating on shares of KeyCorp in a report on Tuesday, April 21st. One research analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating and seven have assigned a Hold rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $49.14.

KeyCorp Company Profile

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.