KeyCorp (NYSE:KEY) to Repurchase $1.00 billion in Outstanding Stock

KeyCorp (NYSE:KEY) announced that its Board of Directors has initiated a stock buyback program on Thursday, March 13th, RTT News reports. The company plans to repurchase $1.00 billion in shares. This repurchase authorization permits the financial services provider to reacquire up to 6% of its shares through open market purchases. Shares repurchase programs are typically an indication that the company’s board of directors believes its shares are undervalued.

KeyCorp Stock Down 2.2 %

NYSE:KEY traded down $0.34 during trading hours on Thursday, reaching $15.15. The company’s stock had a trading volume of 11,731,420 shares, compared to its average volume of 11,932,220. The stock has a 50 day moving average price of $17.22 and a two-hundred day moving average price of $17.44. The company has a debt-to-equity ratio of 0.77, a quick ratio of 0.84 and a current ratio of 0.85. The company has a market capitalization of $16.74 billion, a P/E ratio of -50.48, a price-to-earnings-growth ratio of 0.65 and a beta of 1.26. KeyCorp has a 12 month low of $13.11 and a 12 month high of $20.04.

KeyCorp Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, March 14th. Investors of record on Tuesday, March 4th will be paid a dividend of $0.205 per share. This represents a $0.82 dividend on an annualized basis and a dividend yield of 5.41%. The ex-dividend date of this dividend is Tuesday, March 4th. KeyCorp’s dividend payout ratio (DPR) is currently -273.33%.

Wall Street Analysts Forecast Growth

A number of research analysts have recently commented on the company. Wells Fargo & Company upped their target price on KeyCorp from $20.00 to $22.00 and gave the company an “overweight” rating in a research note on Friday, November 15th. Piper Sandler upped their price objective on KeyCorp from $19.00 to $22.00 and gave the company an “overweight” rating in a research report on Tuesday, December 3rd. Truist Financial initiated coverage on KeyCorp in a research report on Tuesday, January 7th. They set a “hold” rating and a $19.00 target price for the company. Morgan Stanley lowered their target price on shares of KeyCorp from $22.00 to $20.00 and set an “equal weight” rating for the company in a research note on Thursday. Finally, Citigroup raised shares of KeyCorp from a “neutral” rating to a “buy” rating and set a $20.00 price target on the stock in a research note on Monday. Eight investment analysts have rated the stock with a hold rating and eleven have assigned a buy rating to the company’s stock. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $19.64.

Insider Activity at KeyCorp

In other news, Director Of Nova Scotia Bank bought 50,000 shares of the firm’s stock in a transaction that occurred on Wednesday, February 5th. The stock was bought at an average price of $17.85 per share, with a total value of $892,500.00. Following the completion of the transaction, the director now directly owns 162,983,726 shares of the company’s stock, valued at approximately $2,909,259,509.10. The trade was a 0.03 % increase in their position. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. 0.61% of the stock is owned by corporate insiders.

About KeyCorp

KeyCorp operates as the holding company for KeyBank National Association that provides various retail and commercial banking products and services in the United States. It operates in two segments, Consumer Bank and Commercial Bank. The company offers various deposits, investment products and services; commercial leasing, investment management, consumer finance; and personal finance and financial wellness, student loan refinancing, mortgage and home equity, lending, credit card, treasury, business advisory, wealth management, asset management, cash management, portfolio management, and trust and related services to individuals and small and medium-sized businesses.