Comerica Incorporated CMA has mentioned changes to its second-quarter 2025 outlook for loans and deposits at the Morgan Stanley US Financials, Payments & CRE Conference.
Quarter to date through May 31, 2025, the bank’s average deposits are down $0.6 billion compared with the first quarter. CMA has seen the largest declines in middle market, retail & corporate banking.
Thus, the quarter-to-date deposit trends are expected to pressure the previous second-quarter average deposit guidance. Earlier, the bank had said that it expects second-quarter 2025 average deposits to be relatively flat from the average deposits of $61.9 billion recorded in the first quarter.
The bank’s quarter-to-date average loans through May 31, 2025, are up $200 million from the previous quarter. Growth in corporate banking & private banking has been partially offset by declines in equity fund services & national dealer services.
Now, the bank expects its average loan balances to outperform the previous guidance.
Earlier, CMA had estimated its second-quarter 2025 average loans to be slightly lower than the first-quarter balance of $50.2 billion.
Comerica’s Other Key Guidance Ranges Are Unchanged
For the second quarter, net interest income (NII) is projected to be relatively flat from the $575 million recorded in the first quarter. For 2025, NII is anticipated to increase 5-7% from the 2024 reported figure.
In second-quarter 2025, non-interest income is expected to register stronger growth from the $254 million registered in the first quarter. Non-interest income in 2025 is projected to increase 2% year over year.
For the to-be-reported quarter, non-interest expenses are projected to be slightly higher than the $584 million reported in the prior quarter. For 2025, non-interest expenses are likely to rise 2-3% from those reported in 2024.
Comerica’s Price Performance & Zacks Rank
So far this year, CMA shares have lost 7% compared with the industry’s 2.7% decline.
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Currently, Comerica carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Second-Quarter 2025 Outlook for CMA’s Competitors
Bank of America BAC expects investment banking (IB) fees to decline more than 20% year over year in the second quarter as tariff-related headwinds continue to hamper deal-making sentiments. In the first quarter, IB fees of $1.52 billion declined 3% as the plunge in equity underwriting income was more than offset by higher advisory revenues and debt underwriting income.
Meanwhile, driven by heightened market volatility and a rise in client activity, Bank of America projects trading revenues to grow in the mid-to-high single-digit range in the quarter.
Like Bank of America, JPMorgan JPM anticipates markets revenues to grow in the mid-to-high single-digits range on a year-over-year basis in the second quarter. This is likely to be driven by a significant rise in market volatility and higher client activity. Additionally, JPMorgan’s IB fees are expected to be down in the mid-teens range.
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