Healthcare of Ontario Pension Plan Trust Fund Reduces Stake in Canadian Imperial Bank of Commerce

The Healthcare of Ontario Pension Plan Trust Fund has reduced its investment in Canadian Imperial Bank of Commerce (NYSE:CM) by 14.4% during the third quarter of this year. According to their latest filing with the Securities and Exchange Commission, the fund now holds 7,990,237 shares of the bank after selling 1,339,228 shares throughout the quarter. This stock represents about 1.2% of the Healthcare of Ontario Pension Plan Trust Fund's investment portfolio, making it the 13th largest position in their holdings. As of the last reporting period, the fund's investment in Canadian Imperial Bank of Commerce was valued at approximately $490,107,000, accounting for 0.85% ownership of the bank’s stock.

Institutional Changes in CM Holdings

Several other institutional investors have also adjusted their positions in Canadian Imperial Bank of Commerce. For instance, Toronto Dominion Bank increased its stake in the bank by 17.9% in the second quarter, acquiring an additional 3,942,894 shares to reach a total of 25,941,777 shares worth about $1,233,272,000. Similarly, Cetera Advisors LLC initiated a new position in the bank worth around $1,278,000 during the first quarter. Additionally, Legal & General Group Plc raised their ownership by 3.3% in the second quarter, totaling 7,213,860 shares valued at approximately $342,946,000 after a purchase of 228,130 shares. Ritholtz Wealth Management increased their holdings significantly by 140.6% in the third quarter, now owning 14,308 shares valued at $878,000. Meanwhile, CIBC Asset Management Inc. lifted their position by 3.4% in the same quarter, acquiring an additional 375,837 shares for a total of 11,352,605 shares valued at $696,659,000. Overall, institutional investors control approximately 49.88% of the company's stock.

Current Performance of Canadian Imperial Bank of Commerce

On the stock market, Canadian Imperial Bank of Commerce shares opened at $64.74. The bank’s fifty-day moving average stands at $62.58, while the 200-day moving average is at $55.27. Over the past year, the stock has fluctuated, reaching a low of $37.97 and a high of $65.89. The company's market capitalization is currently about $61.15 billion, with a price-to-earnings ratio of 12.72 and a price-to-earnings-growth ratio of 1.71. Additionally, it has a low debt-to-equity ratio of 0.14 and both current and quick ratios of 1.05.

Recent Earnings Report and Dividends

Recently, Canadian Imperial Bank of Commerce announced its quarterly earnings, reporting $1.93 earnings per share for the quarter, surpassing analysts’ expectations of $1.74 by $0.19. The bank achieved a net margin of 10.66% and a return on equity of 13.50%, with total revenues of $6.60 billion for the quarter, also exceeding the consensus estimate of $6.28 billion. This represented a revenue increase of 12.9% compared to the same quarter the previous year. Analysts predict that Canadian Imperial Bank of Commerce will record an earnings per share of 5.27 for the current fiscal year. Furthermore, the bank recently declared a quarterly dividend, which was distributed on October 28th, amounting to $0.652 per share. The annualized dividend totals $2.61, yielding about 4.03%. The bank's current dividend payout ratio stands at 52.46%.

Analyst Ratings and Market Outlook

Canadian Imperial Bank of Commerce has attracted attention from analysts, with different firms issuing ratings and price target adjustments. BMO Capital Markets raised its price target from $77.00 to $81.00 while maintaining an “outperform” rating. Desjardins modified their rating from “hold” to “moderate buy.” Similarly, Cormark also upgraded its recommendation from “hold” to “moderate buy.” Conversely, StockNews.com downgraded the stock from “hold” to “sell.” Overall, two analysts have rated the stock as sell, one as hold, and six as buy, leading to a consensus rating of “Hold” with an average price target of $81.00.

Overview of Canadian Imperial Bank of Commerce

Canadian Imperial Bank of Commerce operates as a diversified financial institution, providing a range of financial services and products to personal, business, public sector, and institutional clients both in Canada and internationally. Its operations are divided into various segments, including Canadian Personal and Business Banking, Canadian Commercial Banking and Wealth Management, U.S. retail and commercial banking, and global markets.

Healthcare, Pension, Bank, Investment, Shares