|Bid||79.20 x 1000|
|Ask||79.25 x 1000|
|Day's range||78.99 - 79.76|
|52-week range||73.20 - 87.62|
|Beta (5Y monthly)||N/A|
|PE ratio (TTM)||9.03|
|Forward dividend & yield||4.37 (5.44%)|
|Ex-dividend date||25 Dec 2019|
|1y target est||98.31|
(Bloomberg) -- Canadian Imperial Bank of Commerce shuffled its top management ranks, cut jobs and took a restructuring charge as Chief Executive Officer Victor Dodig works to control costs.Canada’s fifth-largest lender by assets recorded a C$339 million ($255 million) charge in its fiscal first quarter to cover severance from staff reductions, as the pace of expense growth accelerated for a sixth straight quarter. CIBC also named new managers including the head of its largest division, Canadian personal and business banking, where the main product line -- mortgages -- lagged behind rivals in the past year.The moves are part of Dodig’s efforts to reshape the Toronto-based bank while improving efficiencies. CIBC follows Bank of Montreal and Toronto-Dominion Bank in taking restructuring charges in recent quarters, as tighter margins, rising provisions and a more challenging operating environment damp revenue growth and spur Canadian lenders to cut costs to increase earnings.The job cuts will affect almost 5% of CIBC’s employees, Chief Financial Officer Hratch Panossian said on a conference call Wednesday. Based on the bank’s 45,083 full-time positions in the first quarter, the reductions equate to about 2,200 employees, the biggest cut in two decades.The reductions come as non-interest expenses soared 11% to C$3.07 billion -- the highest in more than 14 years -- with the bank citing higher performance-based compensation, the restructuring and “continued investments to fuel future growth” for the jump.The restructuring charge, which totaled C$250 million after taxes, “supports an enterprise-wide program to accelerate delivery of our priorities, including improving our efficiency,” Dodig said on the call. “We’re not taking these decisions lightly, but the restructuring will help us repurpose our cost structure as we simplify, reinvest in and position our bank to further strengthen our relationships with our clients.”Expense PushDodig’s expense push is showing some progress, with the bank’s adjusted efficiency ratio -- a measure of what it costs to produce a dollar of revenue -- improving to 55% in the three months through Jan. 31 from 56% in the fourth quarter. In December, Dodig changed his efficiency target to what he said was a more “realistic” range of 53.5% to 54% for 2022, from an earlier goal of 52%.The bank’s shares were little changed at C$106.13 at 9:36 a.m. in Toronto. They’ve dropped 1.6% this year, compared with a 0.7% increase in the S&P/TSX Commercial Banks Index.CIBC also reworked its management ranks, with Chief Risk Officer Laura Dottori-Attanasio becoming senior executive vice president of Canadian personal and business banking, the company’s largest division. She replaces Christina Kramer, who was named senior executive vice president of technology, infrastructure and innovation.Shawn Beber was appointed chief risk officer, and Harry Culham, CIBC’s capital markets head, was given added responsibilities for the Caribbean, the bank’s CIBC Mellon custodial banking partnership and direct-to-consumer businesses including Simplii Financial. The moves are effective March 2, CIBC said.CIBC’s quarterly results beat analysts’ estimates, with a 2.5% increase in net income led by surging capital-markets earnings and gains from the company’s Canadian banking and wealth management divisions. The bank also raised its dividend.“Overall we have a positive view” on results, RBC Capital Markets analyst Darko Mihelic wrote in a note to clients. “Better results versus our forecast were largely capital markets driven and all other major segments were relatively in line with our forecast.”(Updates with details on cuts in fourth paragraph, shares in seventh.)To contact the reporter on this story: Doug Alexander in Toronto at email@example.comTo contact the editors responsible for this story: Michael J. Moore at firstname.lastname@example.org, ;Derek Decloet at email@example.com, Daniel Taub, Steve DicksonFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Canadian Imperial Bank (CM) delivered earnings and revenue surprises of 9.38% and 2.88%, respectively, for the quarter ended January 2020. Do the numbers hold clues to what lies ahead for the stock?
Canadian Imperial Bank (CM) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
(Bloomberg) -- Oil rose for a third session, the longest winning streak since early January, after the World Heath Organization rekindled optimism that the coronavirus outbreak could be abating.Futures gained 0.5% in New York on Thursday to the highest level in nearly two weeks. The WHO said the spike in coronavirus diagnoses doesn’t necessarily reflect a sudden surge in new infections. Hubei province, the outbreak’s epicenter, revised its method for counting infections. A top WHO official said many of the added cases date back days and weeks.“The market is getting more comfortable that we’ve hit the bottom,” said Rebecca Babin, a senior equity trader at CIBC Private Wealth Management. “Oil markets have discounted the worst case and could show more resilience as long as cases outside of China are not spiking.”Oil prices recovered this week on the back of optimism that the spread of the deadly coronavirus outbreak could easing. The International Energy Agency on Thursday said oil demand will drop this quarter for the first time in over a decade, citing the viral outbreak’s impact on economic activity and travel in China.West Texas Intermediate crude for March delivery rose 25 cents to settle at $51.42 a barrel on the New York Mercantile Exchange.Brent for April settlement climbed 55 cents to end the session at $56.34 a barrel on the ICE Futures Europe exchange, putting its premium over WTI for the same month at $4.68.The market’s structure also continued to signal strength. Brent’s front-month contract traded at a 4-cent discount to its second-month contract, the smallest discount since the contracts traded in backwardation at the end of January.Meanwhile, Saudi Arabia and Kuwait authorized the restart of oil production at the Wafra field from Sunday, more than four years after they halted output at the shared deposit.Kuwait and Saudi Arabia have said a resumption would be unlikely to add significant amounts of oil to the market within the duration of the Organization of Petroleum Exporting Countries’ production cuts deal, which runs until the end of March.(A previous version was corrected to say demand will drop in fourth paragraph.)To contact the reporter on this story: Jackie Davalos in New York at firstname.lastname@example.orgTo contact the editors responsible for this story: David Marino at email@example.com, Jessica Summers, Joe CarrollFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
(Bloomberg) -- Oil is off to the worst start to a year since 1991, tumbling 16% in January on concern that the spread of coronavirus will curb demand for transportation fuels.Futures fell 1.1% in New York on Friday, capping the worst month since May as investors were rattled by the fear of demand destruction after the World Health Organization declared the outbreak a global health emergency. The U.S. Centers for Disease Control and Prevention called the virus an unprecedented public health threat.“People are looking at the continued rise in cases and how that’s impacting jet fuel and has made those demand fears worse,” Leo Mariani, energy analyst at KeyBanc Capital Markets Inc. “It’s going to take the virus not being a persistent event and for global demand to show signs of improvement in order to stabilize.”China, the world’s second largest economy and key driver of oil demand, resorted to unprecedented measures to slow the outbreak, including extending the Lunar New Year holiday and a lock-down in the country’s major cities and provinces. At least two-thirds of China’s economy will stay shut next week, as residents are being told not to return to work or school, or to avoid congregating in public places.The plunge in oil prices has prompted a push led by Saudi Arabia for the Organization of Petroleum Exporting Countries and its allies to hold an emergency session in February, with Russia signaling for the first time on Friday it was open to holding the meeting earlier.The coalition is considering a proposal to deepen current production curbs by about 500,000 barrels a day, though there’s no consensus on the idea yet, according to consultant Energy Aspects Ltd. As the oil producer group and its partners, a 23-nation coalition known as OPEC+, have already made steep cutbacks recently, analysts have been skeptical on how much more they’re willing to do.“This virus is requiring more out of the group as the demand picture gets weaker,” said Rebecca Babin, a senior equity trader at CIBC Private Wealth Management.West Texas Intermediate crude for March delivery fell 58 cents to settle at $51.56 a barrel on the New York Mercantile Exchange, after sliding as much as 2.2% during the session.Brent for March delivery, which expired Friday, lost 13 cents to $58.16 a barrel on the London-based ICE Futures Europe exchange, and sank 12% in January. The more active April contract slid 71 cents to $56.62 a barrel. April Brent was $4.94 a barrel above WTI for the same month.In addition to the drop in outright prices, the market’s structure showed further signs of the market malaise. April Brent’s premium over May contracts falling by about more than one-third to just 20 cents a barrel. The December 2020-December 2021 spread, a closely watched indicator of the market’s strength, shrank 70 cents a barrel, the lowest since the end of October. On Jan. 6, it closed at $4.05.\--With assistance from James Thornhill, Saket Sundria, Ann Koh and Grant Smith.To contact the reporter on this story: Jackie Davalos in New York at firstname.lastname@example.orgTo contact the editors responsible for this story: James Herron at email@example.com, David Marino, Carlos CaminadaFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Victor Dodig, chief executive of Canada's fifth-largest bank, told staff on Thursday that CIBC needs to challenge itself to be "a more efficient bank by focusing on continuous improvement and keeping a careful eye on costs," according to a memo seen by Reuters. A CIBC spokesman declined to comment. CIBC has improved its efficiency ratio, which measures non-interest expenses as a percentage of revenue, to 55.5% in 2019 from 60.4% in 2015.
CIBC Innovation Banking is pleased to announce an $8 million debt financing with Aquatic Informatics Inc., a leader in water data management and analytics. The capital will be used by the company to support growth, including strategic acquisitions.
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CIBC Innovation Banking is pleased to announce it has closed a $7.5 million growth capital financing with Montreal-based Otodata Wireless Network Inc. ("Otodata"). This capital will be used to support the company’s product diversification and growth across North America.
CIBC Innovation Banking is pleased to announce a $2.5 million growth capital financing for Vancouver-based ePACT Network Ltd. The debt capital complements a recent Series A equity raise co-led by Disruption Ventures and Yaletown Partners.
Toronto-Dominion (TD) and Canadian Imperial Bank of Commerce (CM) will likely incur restructuring charges in fiscal 2020 to drive earnings growth, while other Canadian banks might not.
Canadian Imperial Bank of Commerce (TSE:CM) shareholders (or potential shareholders) will be happy to see that the...
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