KeyCorp (KEY) AI Stock Analysis

• Market Cap: $20.52B
• Dividend Yield: 4.38%
• Average Volume (3M): 25.85M
• Price to Earnings (P/E): 1663.6
• Beta (1Y): 1.45
• Revenue Growth: -12.30%
• EPS Growth: -108.78%
• Country: US
• Employees: 16,989
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.35
• Shares Outstanding: 1,096,515,900
• 10 Day Avg. Volume: 31,471,800
• 30 Day Avg. Volume: 25,851,256
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.70
• Enterprise Value/Revenue: 3.80
• Enterprise Value/Gross Profit: 7.66
• Enterprise Value/Ebitda: 205.10
• 1Y Price Target: $20.11
• Price Target Upside: 7.48% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 14

• Rating: 71 Outperform
• Price Target: $21.50 ▲(14.91% Upside)

KeyCorp's overall stock score is driven by strong technical analysis and positive earnings call sentiment, indicating a bullish outlook. Financial performance shows growth, but profitability concerns and valuation issues slightly dampen the score. The company's strategic initiatives in commercial banking and fintech provide additional growth potential.

Positive Factors

Revenue Growth

The significant revenue growth of 21% year-over-year indicates strong market demand and effective business strategies, supporting long-term financial stability.

Commercial Loan Growth

Meeting the commercial loan growth target reflects robust lending capabilities and enhances KeyCorp's competitive position in the banking sector.

Investment Banking Success

Strong performance in investment banking demonstrates KeyCorp's ability to generate substantial non-interest income, diversifying revenue streams and reducing reliance on traditional banking.

Negative Factors

Increased Expenses

Rising expenses, particularly in personnel and technology, could pressure profit margins if not matched by proportional revenue growth, impacting long-term profitability.

Potential Deposit Competition

Increased competition for deposits may lead to higher interest costs, affecting net interest margins and potentially constraining future profitability.

Historical Volatility

Fluctuations in profits and equity levels suggest potential instability, which could affect investor confidence and the company's ability to sustain growth.

KeyCorp Business Overview & Revenue Model

Company Description

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; and personal finance and financial wellness, student loan refinancing, mortgage and home equity, lending, credit card, treasury, business advisory, wealth management, asset management, investment, cash management, portfolio management, and trust and related services to individuals and small and medium-sized businesses. It also provides a suite of banking and capital market products, such as syndicated finance, debt and equity capital market products, commercial payments, equipment finance, commercial mortgage banking, derivatives, foreign exchange, financial advisory, and public finance, as well as commercial mortgage loans comprising consumer, energy, healthcare, industrial, public sector, real estate, and technology loans for middle market clients. In addition, the company offers community development financing, securities underwriting, brokerage, and investment banking services. As of December 31, 2021, it operated through a network of approximately 999 branches and 1,317 ATMs in 15 states, as well as additional offices, online and mobile banking capabilities, and a telephone banking call center. KeyCorp was founded in 1849 and is headquartered in Cleveland, Ohio.

How the Company Makes Money

KeyCorp generates revenue through multiple streams, primarily from net interest income and non-interest income. Net interest income is derived from the difference between the interest earned on loans and securities and the interest paid on deposits and other borrowings. The company offers various loan products, including personal loans, mortgages, and commercial loans, which constitute a significant portion of its revenue. Additionally, KeyCorp earns non-interest income through fees for services such as wealth management, investment banking, and deposit account services. KeyCorp also engages in mortgage banking and capital markets activities, contributing to its earnings. Strategic partnerships with fintech companies and other financial institutions enhance its product offerings and customer reach, further driving revenue growth.

KeyCorp Financial Statement Overview

Summary

KeyCorp's financial health is stable with signs of recovery in revenue and profit margins. The balance sheet shows moderate leverage and improved ROE, while cash flow metrics highlight effective cash management. However, historical volatility in profits and equity levels requires attention.

Income Statement

The Income Statement shows mixed results. There is a slight revenue growth of 0.66% from 2024 to TTM (Trailing-Twelve-Months), but revenue has declined from its peak in 2023. Gross Profit Margin stands at 47% in the TTM, indicating efficiency in generating profit from sales. However, the company is facing challenges with profitability as seen in the negative EBIT and EBITDA margins, though net income has improved from a loss in 2024 to a small profit in TTM.

Balance Sheet

The Balance Sheet is relatively strong with a Debt-to-Equity ratio of 0.78, suggesting moderate leverage. The Equity Ratio is 10.08%, indicating a decent portion of assets are financed by equity. Return on Equity (ROE) has improved to 0.13% in the TTM, showing a recovery in profitability. However, the overall equity base has fluctuated, which could pose a risk if not stabilized.

Cash Flow

Cash Flow metrics show some positive trends. The Operating Cash Flow to Net Income Ratio is 6.6 in the TTM, indicating strong cash generation relative to profits. Free Cash Flow has decreased compared to 2024, but remains positive. The Free Cash Flow to Net Income Ratio is 4.08, signifying good cash flow management despite lower earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	9.19B	9.05B	10.23B	7.91B	7.33B	7.14B
Gross Profit	4.55B	4.06B	5.73B	6.52B	7.46B	5.47B
EBITDA	170.00M	-233.00M	1.31B	2.50B	3.29B	1.67B
Net Income	176.00M	-161.00M	967.00M	1.92B	2.63B	1.34B
Balance Sheet
Total Assets	185.50B	187.17B	188.28B	189.81B	186.35B	170.34B
Cash, Cash Equivalents and Short-Term Investments	21.62B	22.51B	48.94B	42.44B	57.29B	44.84B
Total Debt	14.84B	14.25B	22.64B	28.77B	12.80B	14.69B
Total Liabilities	166.01B	168.99B	173.64B	176.36B	168.92B	152.35B
Stockholders Equity	19.48B	18.18B	14.64B	13.45B	17.42B	17.98B
Cash Flow
Free Cash Flow	1.54B	599.00M	2.76B	4.36B	1.09B	1.61B
Operating Cash Flow	1.62B	664.00M	2.90B	4.47B	1.15B	1.67B
Investing Cash Flow	3.48B	2.50B	1.42B	-10.93B	-15.07B	-24.72B
Financing Cash Flow	-4.66B	-2.36B	-4.27B	6.44B	13.74B	23.41B

KeyCorp Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 18.71
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KEY, the sentiment is Neutral. The current price of 18.71 is below the 20-day moving average (MA) of 18.90, above the 50-day MA of 18.33, and above the 200-day MA of 16.68, indicating a neutral trend. The MACD of 0.21 indicates Positive momentum. The RSI at 51.16 is Neutral, neither overbought nor oversold. The STOCH value of 26.02 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for KEY.

KeyCorp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WTFC	79 Outperform	8.97B	12.55	10.24%	1.46%	4.74%	10.10%
HBAN	78 Outperform	25.71B	12.98	10.08%	3.53%	6.06%	28.03%
RF	77 Outperform	24.03B	12.38	11.13%	3.77%	2.94%	20.85%
FITB	76 Outperform	30.39B	14.00	11.06%	3.22%	1.90%	2.87%
CFG	73 Outperform	22.55B	15.59	6.31%	3.21%	-3.68%	25.31%
KEY	71 Outperform	$20.52B	1,663.64	1.02%	4.38%	-12.30%	-108.78%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

KeyCorp Corporate Events

KeyCorp to Present at Morgan Stanley Conference

KeyCorp announced its participation in the Morgan Stanley U.S. Financials Conference on June 11, 2025, where it will review its performance, strategy, and outlook. The company has been expanding its commercial banking operations, emphasizing growth in commercial payments and middle-market services, which are supported by a robust fintech ecosystem. This strategic focus is expected to enhance KeyCorp’s market positioning and provide significant growth opportunities.