KeyCorp's Valuation Dilemma: Drifting Momentum and Earnings Growth Amid Interest Rate Risks and Regional Bank Balance Sheets.

Wednesday, Dec 3, 2025 2:32 pm ET1min read

KeyCorp's stock has drifted in the past 3 months despite healthy annual revenue and earnings growth. The 1-year total shareholder return of 2.19% is modest, and momentum has cooled recently. The current share price of $18.28 still leaves room for sentiment to swing if credit quality or loan growth surprises in upcoming quarters. The valuation case leans positive and revolves around shifting earnings drivers, with an anticipated shift from net interest income headwinds to tailwinds and improved deposit costs dynamics.

KeyCorp's Valuation Dilemma: Drifting Momentum and Earnings Growth Amid Interest Rate Risks and Regional Bank Balance Sheets.

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