DON'T BUY
SLF vs. TD vs. CM

All of the interest sensitives have been under pressure the last couple of months with rates rising.

He favours TD. Tightly regulated oligopoly, and a levered play on the growth of the Canadian, and increasingly US, economy. Surplus of excess capital. 10x earnings. Dominant personal and commercial banking franchise. Good-sized banking presence in the US. Shares are at a discount to average. Close to 5% yield, growing at 8% compound over 10 years.

Valuation and yield of SLF are similar to TD. But TD's competitive position in its industry is more advantageous than SLF.

Compared to CM, TD is more of a scale player with a stronger franchise on both sides of the border on its core banking business.

banks
COMMENT

Has had a lot of issues over the years, but he thinks things have improved. At the end of the day, all the banks are starting to show increasing loan losses. 

banks
WEAK BUY

Canadian banks are reasonably priced, but still headwinds on loan losses. He likes the one with the best balance sheet, TD. He also likes CM, with its outsized dividend yield and low valuation. BMO is OK.

For the heavy lifting in your portfolio, he'd look instead at insurance companies with similar yields and more growth over the next 1-2 years.

banks
BUY

Cheap. 1.4-1.6x book value. Trades around 10x earnings. A great business. Tough time recently, partly due to what's happened with US banks. Higher rates increased costs, loan losses went up. Will be substantially higher 1-2 years from now. Yield is almost 6%.

banks
DON'T BUY
BNS vs. CIBC

CIBC has outperformed BNS year to date. Which stock is less bad (negative)? Do you want to hold any banks? He prefers insurance though he owns TD. Every banks has been down for a while. That said, these two banks have gone sideways since November. He prefers BMO, Royal or insurance.

banks
DON'T BUY

Likes Canadian banks as a group, well capitalized. She doesn't own CM, as its domestic nature makes it more sensitive to mortgage market volatility. She favours TD and RY, with exposure to US growth. 

banks
HOLD
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research

Around 65% of CBIC's loans have exposure to real estate, with 55% consumer and 10% commercial. CIBC's higher exposure to real estate does make it relatively riskier, and it is one of the smaller banks. Still, its valuation of less than 8X earnings reflects some, or even all, of this risk. We would still be comfortable owning the stock, but until recession fears go away or rates peak it may not do much.
Unlock Premium - Try 5i Free

banks
DON'T BUY

There'll be little disparity among the big banks though CM depends more on Canadian mortgages. Long-term, the big banks will pay you 10-15% returns annually, though they haven't been giving that in recent years. He prefers RY because of its slightly higher ROE and is more diversified.

banks
HOLD

Seen as most troubled Canadian bank. Regulatory scrutiny on balance sheet. Among the highest dividends. Prefers RY and TD for the stronger balance sheets. May have more downside, but don't be afraid of it. 

banks
premium

This is a Panic-proof Portfolio opinion which is available only for Premium members

Curated by Michael O'Reilly since 2020.
1550+ opinions with 4.81 rating (one of the best performing expert).

TOP PICK
Stockchase Research Editor: Michael O'Reilly

Trading at only 1.1x book and 11x earnings, we reiterate this Canadian banking powerhouse as a TOP PICK.  Cash reserves are remaining stable, despite retiring debt and buying back shares.  It pays a great dividend, backed by a payout ratio under 65% of cash flow.  We continue to recommend a stop at $51, looking to achieve $69 -- upside of 18%.  Yield 5.8%   

(Analysts’ price target is $63.76)
banks
HOLD

You can hold it for income. Dividend is safe for sure. Less foreign exposure, so this will benefit them in the short term. Canadian assets continue to grow. Best quarterly results of all the banks. Mortgage book and credit cards could come under pressure. He prefers other banks, based on history with CM. Pretty compelling yield of 6.2%.

banks
BUY

A good entry point. Pays a safe 6% dividend yield. Price to book is closer to 1x among its peers. Yes, their mortgage exposure is larger than its peers, but it won't hurt CM long-term.

banks
premium

This is a Panic-proof Portfolio opinion which is available only for Premium members

Curated by Michael O'Reilly since 2020.
1550+ opinions with 4.81 rating (one of the best performing expert).

PAST TOP PICK
(A Top Pick Jan 26/23, Down 1.1%)Stockchase Research Editor: Michael O'Reilly

Our PAST TOP PICK with CM is progressing well.  To remain disciplined, we recommend trailing up the stop (from $48) to $51 at this time.

banks
RISKY

Has more Canadian housing exposure, so in an economic downturn, they could get hit more than their peers. But that would be a buying opportunity. Likes managers. More upside than Royal Bank, but more downside in the short-term. Volatile in the short term.

banks
STRONG BUY

Still likes it. Very discounted with what's happening in the financial world, especially in the US. An opportunity for long-term investors, around 8x earnings, yield 5.9%. 

banks
Showing 1 to 15 of 1,048 entries

Canadian Imperial Bank of Commerce (CIBC)(CM-T) Rating

Ranking : 5 out of 5

Bullish - Buy Signals / Votes : 13

Neutral - Hold Signals / Votes : 5

Bearish - Sell Signals / Votes : 10

Total Signals / Votes : 28

Stockchase rating for Canadian Imperial Bank of Commerce (CIBC) is calculated according to the stock experts' signals. A high score means experts mostly recommend to buy the stock while a low score means experts mostly recommend to sell the stock.

Canadian Imperial Bank of Commerce (CIBC)(CM-T) Frequently Asked Questions

What is Canadian Imperial Bank of Commerce (CIBC) stock symbol?

Canadian Imperial Bank of Commerce (CIBC) is a Canadian stock, trading under the symbol CM-T on the Toronto Stock Exchange (CM-CT). It is usually referred to as TSX:CM or CM-T

Is Canadian Imperial Bank of Commerce (CIBC) a buy or a sell?

In the last year, 28 stock analysts published opinions about CM-T. 13 analysts recommended to BUY the stock. 10 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Canadian Imperial Bank of Commerce (CIBC).

Is Canadian Imperial Bank of Commerce (CIBC) a good investment or a top pick?

Canadian Imperial Bank of Commerce (CIBC) was recommended as a Top Pick by on . Read the latest stock experts ratings for Canadian Imperial Bank of Commerce (CIBC).

Why is Canadian Imperial Bank of Commerce (CIBC) stock dropping?

Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.

Is Canadian Imperial Bank of Commerce (CIBC) worth watching?

28 stock analysts on Stockchase covered Canadian Imperial Bank of Commerce (CIBC) In the last year. It is a trending stock that is worth watching.

What is Canadian Imperial Bank of Commerce (CIBC) stock price?

On 2023-10-02, Canadian Imperial Bank of Commerce (CIBC) (CM-T) stock closed at a price of $51.46.