CBSH

Find your next quality investment with Simply Wall St's easy and powerful screener, trusted by over 7 million individual investors worldwide. Commerce Bancshares stock has delivered a 50.2% return over the past three years, yet the valuation signals are split, with the Excess Returns intrinsic value estimate suggesting upside while earnings-based multiples lean expensive and the overall value score is weak. A 50.2% gain over three years may encourage investors to focus on past returns, but it also raises the bar for what counts as a good entry point today. Future cash flow from core banking operations can support the intrinsic value case, while any pressure on credit quality or funding costs may weigh on what investors are willing to pay. Commerce Bancshares only scores 2 out of 6 on broader valuation checks, which points to a stock that does not look like a straightforward bargain on standard metrics. The stock's next move may depend on whether the intrinsic value view or the earnings multiple view ends up being closer to how Commerce Bancshares is ultimately priced. Find out why Commerce Bancshares' 3.0% return over the last year is lagging behind its peers. The Excess Returns model looks at how much value Commerce Bancshares can create above its cost of equity. On this framework, the estimated intrinsic value comes out at $80.81 per share. For Commerce Bancshares, the key inputs are a Book Value of $30.23 per share and a Stable EPS estimate of $4.72 per share, both grounded in analyst expectations for future return on equity. The model uses an Average Return on Equity of 14.19% and a Cost of Equity of $2.67 per share, which yields an Excess Return of $2.05 per share and a Stable Book Value of $33.28 per share. The current share price sits about 26.3% below the Excess Returns estimate, which presents the stock as undervalued on this intrinsic value lens. On these Excess Returns assumptions, Commerce Bancshares stock appears undervalued relative to the model’s $80.81 per share intrinsic value estimate. Our Excess Returns analysis suggests Commerce Bancshares is undervalued by 26.3%. Track this in your watchlist or portfolio, or discover 50 more high quality undervalued stocks. Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for Commerce Bancshares. The P/E ratio is a useful way to compare Commerce Bancshares to other banks that also generate relatively steady earnings. Commerce Bancshares currently trades on a P/E of about 14.8x, which is higher than the broader Banks industry average of 12.0x and above the peer group average of 12.7x. The Fair P/E Ratio for Commerce Bancshares is estimated at 12.8x based on its profile within the sector. That sits below the current 14.8x multiple, which means the stock trades at a premium to what this framework suggests as a more neutral level. This gap indicates investors are currently paying more for each dollar of earnings compared with both the tailored fair ratio and sector benchmarks. On this P/E yardstick, Commerce Bancshares stock appears overvalued relative to both peers and its own Fair P/E estimate. See what the numbers say about this price — find out in our valuation breakdown. Simply Wall St Narratives pick up where the Commerce Bancshares valuation puzzle leaves off by explaining which paths for growth, margins and earnings would need to occur for the stock to be worth materially more or less than today's price, and they sit on the company’s Community page. Each one links its number to a specific view on where Commerce Bancshares' growth, profitability and risks could go next, which you can revisit as fresh information arrives. Share your own narrative on Commerce Bancshares' stock to present a clear, number-driven case on where its growth, margins, and execution go from here, and see how your view stacks up as new results arrive. Add your voice to the Simply Wall St community and help shape how other investors think about the trade-off between its intrinsic value signals and earnings multiples. Do you think there's more to the story for Commerce Bancshares? Head over to our Community to see what others are saying! Commerce Bancshares offers a split message. The Excess Returns intrinsic value estimate points to undervaluation, while the P/E and other checks flag the stock as overvalued on earnings and leave the broader valuation picture looking weak. That gap largely reflects different views on future cash flows and capital needs versus what the market is currently willing to pay for its earnings profile. The key question from here is whether Commerce Bancshares can deliver the level and quality of earnings that would eventually pull the market multiple closer to the intrinsic value signal rather than the other way around. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include CBSH. Have feedback on this article? Concerned about the content? Get in touch with us directly. 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Shares of Commerce Bancshares Inc. CBSH gained 1.7% following the release of its second-quarter 2026 results. Second-quarter earnings of $1.10 per share surpassed the Zacks Consensus Estimate of $1.04. The bottom line reflected a rise of 1% from the prior-year quarter.Results primarily benefited from higher net interest income (NII) and a rise in non-interest income. The sequential rise in loan balances acted as a tailwind. However, higher expenses and provisions hurt the results to some extent.Net income attributable to Commerce Bancshares was $159.8 million, up 4.8% year over year. Our estimate for the metric was $145.2 million. Total revenues were $498.9 million, up 11.9% year over year. The top line outpaced the Zacks Consensus Estimate of $488 million.NII was $315.1 million, rising 12.5% from the year-ago quarter. Net yield on interest-earning assets was 3.77%, increasing 7 basis points (bps) year over year. Our estimates for NII and net yield on interest-earning assets were $302.8 million and 3.62%, respectively.Non-interest income was $183.8 million, up 11% year over year. The rise was mainly driven by higher trust fees, deposit account charges and other fees, consumer brokerage services fees, and bank card transaction fees. Our estimate for non-interest income was $176.5 million.Non-interest expenses increased 21.5% year over year to $297.1 million. The rise was due to an increase in all cost components. We had projected expenses of $287.9 million.Investment securities gains were $12.8 million, significantly up from the prior-year quarter.The efficiency ratio increased to 58.40% from 54.77% in the year-ago quarter. A rise in the efficiency ratio indicates a deterioration in profitability. As of June 30, 2026, net loans were $20.64 billion, up 1.9% from March 31, 2026. Total deposits were $27.88 billion, down 1.8% sequentially. Our estimates for net loans and total deposits were $20.51 billion and $28.74 billion, respectively. Provision for credit losses was $8.7 million, up 56% from the prior-year quarter. Our estimate for the metric was $12.4 million.The allowance for credit losses on loans to total loans was 0.94% on June 30, 2026, unchanged year over year.However, non-accrual loans to total loans were 0.06% at the quarter-end, down from 0.11% in the year-ago quarter. The ratio of annualized net loan charge-offs to average loans was 0.19%, down from 0.22% in the prior-year quarter. As of June 30, 2026, the Tier I leverage ratio was 12.81%, up from 12.75% in the year-ago quarter. Tangible common equity to tangible assets ratio increased to 11.39% from 10.86% in the prior-year quarter.In the reported quarter, return on total average assets was 1.84%, down from 1.95% in the year-ago quarter. Return on average equity was 14.70% compared with 17.40% in the prior-year quarter. In the reported quarter, the company purchased 2.1 million shares of treasury stock at an average price of $53.03. In June, CBSH announced plans to acquire Nolan & Associates, which will expand its capital markets-related capabilities. Along with this, the FineMark buyout (which is expanding the wealth platform and lifting trust fees), solid growth in loans, a diversified fee mix and balance sheet repositioning will continue to aid the company’s top line. However, rising expenses and weak asset quality remain near-term headwinds. Commerce Bancshares, Inc. price-consensus-eps-surprise-chart | Commerce Bancshares, Inc. Quote Currently, Commerce Bancshares carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. The Bank of New York Mellon Corporation’s BNY second-quarter 2026 adjusted earnings of $2.46 per share handily surpassed the Zacks Consensus Estimate of $2.20. The bottom line increased 26.8% from the year-ago quarter.BNY’s results primarily benefited from a rise in fee revenues and NII. Also, the company recorded a provision benefit in the quarter, which was a tailwind.Bank of America’s BAC second-quarter 2026 earnings of $1.21 per share handily surpassed the Zacks Consensus Estimate of $1.13. The bottom line grew 34.4% year over year.BAC recorded an improvement in trading numbers for the 17th straight quarter. The company’s investment banking performance was solid this time as well. These, along with higher NII, drove Bank of America’s total revenues. While provisions declined in the quarter on a year-over-year basis, non-interest expenses increased, which hurt the results to some extent. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Commerce Bancshares, Inc. (CBSH) : Free Stock Analysis Report Bank of America Corporation (BAC) : Free Stock Analysis Report BNY (BNY) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

For the quarter ended June 2026, Commerce Bancshares (CBSH) reported revenue of $498.91 million, up 11.9% over the same period last year. EPS came in at $1.10, compared to $1.14 in the year-ago quarter. The reported revenue compares to the Zacks Consensus Estimate of $488.01 million, representing a surprise of +2.24%. The company delivered an EPS surprise of +5.77%, with the consensus EPS estimate being $1.04. While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance. Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance. Here is how Commerce performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Efficiency Ratio: 58.4% versus the four-analyst average estimate of 57.6%. Net Interest Margin (Net yield on interest earning assets): 3.8% versus 3.7% estimated by four analysts on average. Average total interest earning assets: $33.78 billion compared to the $34.02 billion average estimate based on three analysts. Annualized net loan charge-offs to total average loans: 0.2% compared to the 0.3% average estimate based on three analysts. Book value per common share: $30.45 versus the two-analyst average estimate of $30.89. Fully-taxable equivalent net interest income: $317.48 million versus the four-analyst average estimate of $311.81 million. Total Non-Interest Income: $183.83 million versus the four-analyst average estimate of $178.28 million. Deposit account charges and other fees: $29.26 million compared to the $28.58 million average estimate based on three analysts. Net Interest Income: $315.09 million versus $309.28 million estimated by three analysts on average. Trust fees: $71.51 million versus $71.88 million estimated by three analysts on average. Bank card transaction fees: $48.12 million versus the three-analyst average estimate of $46.79 million. Consumer brokerage services: $5.86 million compared to the $5.52 million average estimate based on two analysts. View all Key Company Metrics for Commerce here>>> Shares of Commerce have returned +6.3% over the past month versus the Zacks S&P 500 composite's +0.5% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Commerce Bancshares, Inc. (CBSH) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

KANSAS CITY, Mo., July 16, 2026--(BUSINESS WIRE)--Commerce Bancshares, Inc. announced earnings of $1.10 per share for the three months ended June 30, 2026, compared to $1.09 per share in the same quarter last year and $.96 per share in the first quarter of 2026. Net income for the second quarter of 2026 amounted to $159.8 million, compared to $152.5 million in the second quarter of 2025 and $141.6 million in the prior quarter. For the six months ended June 30, 2026, earnings per share totaled $2.06 compared to $2.02 for the first six months of 2025. Net income amounted to $301.4 million for the six months ended June 30, 2026, compared to $284.1 million in the comparable period last year. For the year to date, the return on average assets was 1.73%, and the return on average equity was 13.96%. In making this announcement, John Kemper, Chief Executive Officer, said, "Commerce delivered a strong quarter, with expanding net interest margin, solid loan growth, lower funding costs and excellent credit quality. These results drove a return on average assets of 1.84% and reflect the strength of our business model, our diversified revenue streams and our team’s continued focus on long-standing customer relationships." Mr. Kemper continued, "Revenue growth was broad-based during the quarter. Net interest income increased as margin expanded to 3.77%, and fee revenue grew $8.0 million this quarter, supported by continued strength in trust, bank card and deposit-related businesses. We believe this balanced revenue mix remains a key differentiator for Commerce and supports consistent performance across economic cycles." "We remained focused on disciplined capital management. During the quarter, we repurchased approximately 2.1 million shares of common stock for $110 million while maintaining a strong capital position. This gives us flexibility to invest in growth, support our customers and continue returning capital to shareholders." "We also completed the repositioning of a portion of our available for sale securities portfolio, including the sale of our Treasury inflation-protected securities portfolio. This repositioning increases the portfolio’s overall yield, improves the consistency of future net interest income, and supports a more durable net interest margin over time. We believe these portfolio changes strengthen Commerce’s long-term earnings profile and position us to deliver sustained shareholder value." Second Quarter 2026 Financial Highlights: Net interest income was $315.1 million, a $15.2 million increase over the prior quarter. The net yield on interest earning assets increased 18 basis points to 3.77%. Non-interest income totaled $183.8 million, an increase of $8.0 million, or 4.5%, over the prior quarter and was 37% of total revenue in both the current and prior quarters. Trust fees grew $15.9 million, or 28.7%, over the same period last year, and bank card fees grew $2.5 million, or 5.6%, over the prior quarter. Non-interest expense totaled $297.1 million, an increase of $5.9 million, or 2.0%, over the prior quarter. Assets under administration grew $3.1 billion, or 3.4%, over the same period last year. Average loan balances totaled $20.5 billion, an increase of $176.6 million, or .9%, over the prior quarter. Total average available for sale debt securities decreased $247.1 million from the prior quarter to $8.7 billion, at fair value. Investment securities gains included a $105.4 million gain on Visa Inc. stock and a $97.7 million loss on the repositioning of a portion of the Company’s available for sale debt securities portfolio, which included the sale of the Company’s portfolio of U.S. Treasury inflation-protected securities. Total average deposits decreased $135.0 million, or .5%, from the prior quarter to $27.6 billion. The ratio of annualized net loan charge-offs to average loans was .19% in the current quarter compared to .30% in the prior quarter. The allowance for credit losses on loans decreased $3.2 million during the second quarter of 2026 to $195.4 million, and the ratio of the allowance for credit losses on loans to total loans was .94% at June 30, 2026, compared to .97% at March 31, 2026. The Company purchased approximately 2.1 million shares of its common stock during the current quarter at an average price of $53.03. Total assets on June 30, 2026 were $35.3 billion, a decrease of $448.1 million from the prior quarter. For the quarter, the return on average assets was 1.84%, the return on average equity was 14.70%, and the efficiency ratio was 58.40%. Commerce Bancshares, Inc. is a regional bank holding company offering a full line of banking services through its subsidiaries, including payment solutions, wealth management and securities brokerage. Commerce Bank, its primary subsidiary, brings over 160 years of experience helping individuals and businesses through high-touch service and sophisticated, personalized financial solutions. Commerce maintains an extensive network of banking centers, wealth offices, and ATMs throughout the Midwest, as well as commercial offices in 11 states and offers payment solutions nationwide. With the acquisition of FineMark Holdings, Inc., Commerce builds on its existing private banking and wealth management presence in Florida and adds wealth offices in Arizona and South Carolina. Customers can conveniently access their account 24/7 using mobile and online platforms, as well as a customer service line. This financial news release and the supplementary Earnings Highlights presentation are available on the Company’s website at https://investor.commercebank.com/news-info/financial-news-releases/default.aspx. COMMERCE BANCSHARES, INC.Management Discussion of Second Quarter ResultsJune 30, 2026 For the quarter ended June 30, 2026, net income amounted to $159.8 million, compared to $141.6 million in the previous quarter and $152.5 million in the same quarter last year. The increase in net income over the previous quarter was primarily the result of higher net interest income, non-interest income, and a decrease in the provision for credit losses, partly offset by higher non-interest expense. The net yield on interest earning assets increased 18 basis points over the previous quarter to 3.77%. Average loans increased $176.6 million, while average deposits and available for sale investment securities, at fair value, decreased $135.0 million and $247.1 million, respectively, compared to the prior quarter. For the quarter, the return on average assets was 1.84%, the return on average equity was 14.70%, and the efficiency ratio was 58.40%. Balance Sheet Review During the 2nd quarter of 2026, average loans totaled $20.5 billion, an increase of $176.6 million over the prior quarter, and an increase of $3.0 billion over the same quarter last year. The increase in average balances over same quarter last year was primarily due to the acquisition of FineMark, which added $2.7 billion in loan balances on January 1, 2026. Compared to the previous quarter, average balances of business and consumer loans grew $177.2 million and $51.4 million, respectively, while average construction loan balances declined $46.7 million. During the current quarter, the Company sold certain fixed rate personal real estate loans totaling $15.9 million, compared to $26.2 million in the prior quarter. Total average available for sale debt securities decreased $247.1 million from the previous quarter to $8.7 billion, at fair value. The decrease in available for sale debt securities was mainly the result of lower average balances of mortgage-backed and asset-backed securities, partly offset by higher average balances of U.S. government and federal agency obligations. During the 2nd quarter of 2026, the unrealized loss on available for sale debt securities decreased $68.9 million to $618.6 million, at period end. Also, during the 2nd quarter of 2026, purchases of available for sale debt securities totaled $810.0 million with a weighted average yield of approximately 4.21%. Sales, maturities and pay downs of available for sale debt securities were $1.2 billion, which included the sale of all the Company’s portfolio of U.S. Treasury inflation-protected securities (TIPS). On June 30, 2026, the duration of the available for sale investment portfolio was 4.2 years, and maturities and pay downs of approximately $1.1 billion are expected to occur during the next 12 months. Total average deposits decreased $135.0 million this quarter compared to the previous quarter and increased $2.6 billion compared to the same quarter last year. The decrease in average balances compared to the prior quarter was primarily due to lower interest checking and money market deposits, partly offset by higher non-interest bearing demand deposit balances, while the increase in average balances over the same quarter last year was primarily due to the FineMark acquisition. Compared to the prior quarter, average interest checking and money market deposits decreased $249.2 million, while non-interest bearing demand deposits increased $160.3 million. Compared to the previous quarter, total average retail banking deposits grew $256.5 million, while commercial and wealth deposits declined $332.6 million and $61.4 million, respectively. The average loans to deposits ratio was 74.4% in the current quarter and 73.4% in the prior quarter. The Company’s average borrowings, which included average customer repurchase agreements of $2.3 billion, decreased $356.5 million to $2.6 billion in the 2nd quarter of 2026. Net Interest Income Net interest income in the 2nd quarter of 2026 amounted to $315.1 million, an increase of $15.2 million over the previous quarter. On a fully taxable-equivalent (FTE) basis, net interest income for the current quarter increased $15.3 million over the previous quarter to $317.5 million. The increase in net interest income was mostly due to higher interest income on loans and investment securities and lower interest expense on borrowing and deposits, partly offset by lower interest income on deposits with banks. Accretion income on FineMark’s loans resulting from purchase accounting adjustments totaled $6.2 million. The net yield (FTE) on earning assets increased to 3.77%, from 3.59% in the prior quarter. Compared to the previous quarter, interest income on loans (FTE) increased $3.1 million, mostly due to higher average balances of business and consumer loans and higher average rates earned on business loans. These increases were partly offset by lower average balances and rates on construction loans. The average yield (FTE) on the loan portfolio decreased six basis points to 5.73% this quarter. Interest income on investment securities (FTE) increased $10.4 million over the prior quarter, mostly due to higher average balances and rates earned on U.S. government and federal agency obligations and higher rates earned on other securities, partly offset by lower average balances of asset-backed and mortgage-backed securities. Interest income earned on U.S. government and federal agency obligations included $9.1 million in TIPS inflation income, a $9.6 million increase over the previous quarter. Interest income on other securities included dividend income of $863 thousand related to a private equity investment. Additionally, the Company recorded a $1.1 million adjustment to premium amortization at June 30, 2026, which increased interest income to reflect slower forward prepayment speed estimates on mortgage-backed securities. This increase was higher than the $940 thousand adjustment that increased interest income in the prior quarter. The average yield (FTE) on total investment securities was 3.42% in the current quarter, compared to 2.97% in the previous quarter. Compared to the previous quarter, interest income on deposits with banks decreased $3.6 million due to lower average balances. Interest expense decreased $4.4 million compared to the previous quarter, mainly due to lower average balances of deposits and borrowings. Interest expense on deposits decreased $2.3 million mostly due to lower average balances and rates paid on interest checking and money market deposit accounts. Interest expense on borrowings decreased $2.1 million mostly due to lower average balances of securities sold under agreements to repurchase. The average rate paid on interest bearing deposits was 1.57% in the current quarter compared to 1.61% in the prior quarter. The overall rate paid on interest bearing liabilities was 1.68% in the current quarter and 1.72% in the prior quarter. Non-Interest Income In the 2nd quarter of 2026, total non-interest income amounted to $183.8 million, an increase of $18.2 million, or 11.0%, over the same period last year and an increase of $8.0 million, or 4.5%, over the prior quarter. The increase in non-interest income over the same period last year was mainly due to higher trust fees and deposit account fees, partly offset by lower gains on sales of assets. The increase in non-interest income compared to the prior quarter was mainly due to higher bank card fee and swap fee income. Additionally, an increase of $2.5 million in fair value adjustments was recorded on the Company’s deferred compensation plan, which are held in a trust and recorded as both an asset and a liability, affecting both other income and other expense. Total net bank card fees in the current quarter increased over the same period last year and the prior quarter by $1.8 million, or 3.8%, and $2.5 million, or 5.6%, respectively. Compared to the same period last year, net credit card fees increased $804 thousand, or 24.8%, primarily due to lower rewards expense, and net merchant fees increased $212 thousand, or 3.6%, primarily due to lower royalty expense and lower network expense. Net corporate card fees increased $811 thousand, or 3.1%, due to higher interchange fees, partly offset by higher rewards expense, while debit card fees decreased $68 thousand. Total net bank card fees this quarter were comprised of fees on corporate card ($26.7 million), debit card ($11.2 million), merchant ($6.1 million) and credit card ($4.0 million) transactions. In the current quarter, trust fees increased $15.9 million, or 28.7%, over the same period last year, and increased $463 thousand, over the prior quarter, mostly resulting from higher private client fees. Compared to the same period last year, deposit account fees increased $3.0 million, or 11.5%, mostly due to higher corporate cash management fees. For the 2nd quarter of 2026, non-interest income comprised 36.8% of the Company’s total revenue. Investment Securities Gains and Losses The Company recorded net securities gains of $12.8 million in the current quarter, compared to net gains of $11.6 million in the prior quarter and $437 thousand in the 2nd quarter of 2025. Net securities gains in the current quarter resulted primarily from gains of $105.4 million recognized on Visa Inc. ("Visa") common stock and $8.6 million on other equity securities. During the 2nd quarter of 2026, the Company sold 103 thousand shares of Visa Class A common stock (converted from 26 thousand shares of Visa Class C common stock) at an average price of $333.11. As of June 30, 2026, the Company has sold one third of the Visa Class C shares it received from the 2026 Visa exchange offer. Partly offsetting these gains, net fair value losses of $4.0 million were recorded on the Company’s portfolio of private equity investments. In addition, as a result of the completion of the Company’s previously disclosed repositioning of a portion of its available for sale debt securities portfolio, net losses of $97.7 million were realized during the quarter. Non-Interest Expense Non-interest expense for the current quarter amounted to $297.1 million, compared to $244.4 million in the same period last year and $291.1 million in the prior quarter. The increase in non-interest expense over the same period last year was mainly due to higher salaries and benefits expense, data processing and software expense, professional and other services expense, litigation expense, and intangible amortization expense. The increase in non-interest expense over the prior quarter was mainly due to higher salaries expense and litigation expense, partly offset by lower benefits expense and professional and other services expense. Compared to the 2nd quarter of 2025, salaries and employee benefits expense increased $24.9 million, or 16.1%, mostly due to the onboarding of FineMark’s team members at the beginning of 2026. Acquisition-related salaries and benefits expense was $3.7 million in the current quarter. Full-time equivalent employees totaled 4,976 and 4,658 at June 30, 2026 and 2025, respectively. Compared to the same period last year, data processing and software expense increased $5.3 million due to higher costs for service providers and software. Professional and other services expense increased $3.5 million compared to the 2nd quarter of 2025, and included $1.5 million in acquisition-related legal and professional services expense. The increase in other non-interest expense was mainly due to increases of $12.0 million in litigation expense and $5.4 million in intangible amortization expense related to the FineMark acquisition. Income Taxes The effective tax rate for the Company was 22.3% in the current quarter, 22.4% in the prior quarter, and 21.8% in the 2nd quarter of 2025. Credit Quality Net loan charge-offs in the 2nd quarter of 2026 amounted to $9.5 million, compared to $15.0 million in the prior quarter, and $9.7 million in the same period last year. The ratio of annualized net charge-offs to total average loans was .19% in the current quarter, .30% in the previous quarter, and .22% in the same quarter of last year. Compared to the prior quarter, net charge-offs on business real estate loans decreased $5.4 million. In the 2nd quarter of 2026, annualized net charge-offs on average consumer credit card loans were 5.18%, compared to 5.21% in the previous quarter and 5.08% in the same quarter last year. Consumer loan net charge-offs were .26% of average consumer loans in the current quarter, .30% in the prior quarter, and .40% in the same quarter last year. At June 30, 2026, the allowance for credit losses on loans totaled $195.4 million, or .94% of total loans, and decreased $3.2 million compared to the prior quarter. Additionally, the liability for unfunded lending commitments on June 30, 2026 was $20.1 million, an increase of $2.4 million compared to the liability on March 31, 2026. At June 30, 2026, total non-accrual loans amounted to $11.6 million, an increase of $698 thousand compared to the previous quarter. At June 30, 2026, the balance of non-accrual loans, which represented .06% of loans outstanding, included business real estate loans of $9.4 million, personal real estate loans of $2.1 million and business loans of $92 thousand. Loans more than 90 days past due and still accruing interest totaled $23.7 million at June 30, 2026. Other During the 2nd quarter of 2026, the Company paid a cash dividend of $.275 per common share, representing a 5% increase over the same period last year. The Company purchased approximately 2.1 million shares of treasury stock during the current quarter at an average price of $53.03. Forward Looking Information This information contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include future financial and operating results, expectations, intentions, and other statements that are not historical facts. Such statements are based on current beliefs and expectations of the Company’s management and are subject to significant risks and uncertainties. Actual results may differ materially from those set forth in the forward-looking statements. Additional information about risks and uncertainties is included in the "Risk Factors" and "Management’s Discussion and Analysis of Financial Condition and Results of Operations" sections within the Company's Annual Report on Form 10-K. View source version on businesswire.com: https://www.businesswire.com/news/home/20260715122985/en/ Contacts For additional information, contactMatt Burkemper, Investor Relations(314) 746-7485www.commercebank.com [email protected]

Commerce Bancshares (CBSH) came out with quarterly earnings of $1.1 per share, beating the Zacks Consensus Estimate of $1.04 per share. This compares to earnings of $1.14 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +5.77%. A quarter ago, it was expected that this bank holding company would post earnings of $0.94 per share when it actually produced earnings of $0.96, delivering a surprise of +2.13%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. Commerce, which belongs to the Zacks Banks - Midwest industry, posted revenues of $498.91 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 2.24%. This compares to year-ago revenues of $445.76 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Commerce shares have added about 11.1% since the beginning of the year versus the S&P 500's gain of 10.6%. While Commerce has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Commerce was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.06 on $492.59 million in revenues for the coming quarter and $4.15 on $1.96 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Banks - Midwest is currently in the top 34% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the same industry, First Western (MYFW), has yet to report results for the quarter ended June 2026. The results are expected to be released on July 23. This company is expected to post quarterly earnings of $0.56 per share in its upcoming report, which represents a year-over-year change of +115.4%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. First Western's revenues are expected to be $28.4 million, up 17.4% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Commerce Bancshares, Inc. (CBSH) : Free Stock Analysis Report First Western Financial, Inc. (MYFW) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Recent commentary on Commerce Bancshares highlights its history of surpassing earnings estimates and signals another potential beat in its next quarterly report, based on a positive Earnings ESP and favorable Zacks Rank. Analysts now expect quarterly earnings per share of US$1.04, an 8.8% decline year-over-year, alongside forecast revenue growth of 9.5% to US$488.01 million, with consensus EPS estimates ticking higher over the past month. Next, we’ll explore how Commerce Bancshares’ track record of outperforming earnings expectations shapes its current investment narrative. Capitalize on the AI infrastructure supercycle with our selection of the 52 best 'picks and shovels' of the AI gold rush converting record-breaking demand into massive cash flow. To own Commerce Bancshares, you need to be comfortable with a steady, moderately growing regional bank that leans on consistent profitability, disciplined capital returns and incremental progress rather than big swings. The latest commentary about a possible earnings beat, supported by a positive Earnings ESP and solid Zacks Rank, adds some short term optimism but does not meaningfully change the core story: modest forecast growth in earnings and revenue, a long-running dividend that keeps inching higher, and ongoing buybacks that support per share metrics. If the upcoming results do outpace expectations again, that could reinforce confidence in management’s execution and near term pricing power, particularly after an 11.96% year to date price gain. The bigger watchpoints remain credit quality, with loan charge-offs ticking up, and whether the bank’s valuation premium to peers can be justified if growth stays relatively measured. However, growing loan charge offs could become a more important issue than recent earnings optimism. Despite retreating, Commerce Bancshares' shares might still be trading 28% above their fair value. Discover the potential downside here. Investors in the Simply Wall St Community currently place Commerce Bancshares’ fair value between US$61.25 and about US$81.15 across 2 views, underlining how far opinions can spread. Set this against the recent earnings optimism and rising charge offs, and it becomes even more important to weigh several perspectives before deciding what performance path you are really comfortable backing. Explore 2 other fair value estimates on Commerce Bancshares - why the stock might be worth just $61.25! Disagree with this assessment? Extraordinary investment returns rarely come from following the herd, so go with your instincts. A great starting point for your Commerce Bancshares research is our analysis highlighting 4 key rewards that could impact your investment decision. Our free Commerce Bancshares research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Commerce Bancshares' overall financial health at a glance. Markets shift fast. These stocks won't stay hidden for long. Get the list while it matters: The best AI stocks today may lie beyond giants like Nvidia and Microsoft. Find the next big opportunity with these 16 smaller AI-focused companies with strong growth potential through early-stage innovation in machine learning, automation, and data intelligence that could fund your retirement. Invest in the nuclear renaissance through our list of 89 elite nuclear energy infrastructure plays powering the global AI revolution. Uncover the next big thing with 20 elite penny stocks that balance risk and reward. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include CBSH. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

Wintrust Financial (WTFC) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended June 2026. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price. The earnings report, which is expected to be released on July 20, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower. While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise. This bank holding company is expected to post quarterly earnings of $3.17 per share in its upcoming report, which represents a year-over-year change of +14%. Revenues are expected to be $737.16 million, up 9.9% from the year-ago quarter. The consensus EPS estimate for the quarter has been revised 0.2% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period. Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts. Price, Consensus and EPS Surprise Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core. The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only. A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP. Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell). For Wintrust, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -1.58%. On the other hand, the stock currently carries a Zacks Rank of #3. So, this combination makes it difficult to conclusively predict that Wintrust will beat the consensus EPS estimate. Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number. For the last reported quarter, it was expected that Wintrust would post earnings of $2.96 per share when it actually produced earnings of $3.22, delivering a surprise of +8.78%. Over the last four quarters, the company has beaten consensus EPS estimates four times. An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss. That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. Wintrust doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release. Among the stocks in the Zacks Banks - Midwest industry, Commerce Bancshares (CBSH), is soon expected to post earnings of $1.04 per share for the quarter ended June 2026. This estimate indicates a year-over-year change of -8.8%. This quarter's revenue is expected to be $488.01 million, up 9.5% from the year-ago quarter. Over the last 30 days, the consensus EPS estimate for Commerce has been revised 1% up to the current level. Nevertheless, the company now has an Earnings ESP of +3.37%, reflecting a higher Most Accurate Estimate. This Earnings ESP, combined with its Zacks Rank #3 (Hold), suggests that Commerce will most likely beat the consensus EPS estimate. Over the last four quarters, the company surpassed consensus EPS estimates three times. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Wintrust Financial Corporation (WTFC) : Free Stock Analysis Report Commerce Bancshares, Inc. (CBSH) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

In its upcoming report, Commerce Bancshares (CBSH) is predicted by Wall Street analysts to post quarterly earnings of $1.04 per share, reflecting a decline of 8.8% compared to the same period last year. Revenues are forecasted to be $488.01 million, representing a year-over-year increase of 9.5%. The current level reflects an upward revision of 1% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period. Prior to a company's earnings announcement, it is crucial to consider revisions to earnings estimates. This serves as a significant indicator for predicting potential investor actions regarding the stock. Empirical research has consistently demonstrated a robust correlation between trends in earnings estimate revision and the short-term price performance of a stock. While investors typically use consensus earnings and revenue estimates as indicators of quarterly business performance, exploring analysts' projections for specific key metrics can offer valuable insights. Bearing this in mind, let's now explore the average estimates of specific Commerce metrics that are commonly monitored and projected by Wall Street analysts. The collective assessment of analysts points to an estimated 'Efficiency Ratio' of 57.6%. Compared to the current estimate, the company reported 54.8% in the same quarter of the previous year. Analysts' assessment points toward 'Net Interest Margin (Net yield on interest earning assets)' reaching 3.7%. The estimate compares to the year-ago value of 3.7%. The average prediction of analysts places 'Tier I risk-based capital ratio' at 17.3%. Compared to the current estimate, the company reported 17.2% in the same quarter of the previous year. The combined assessment of analysts suggests that 'Average total interest earning assets' will likely reach $34.02 billion. The estimate compares to the year-ago value of $30.63 billion. Based on the collective assessment of analysts, 'Total risk-based capital ratio' should arrive at 18.1%. Compared to the present estimate, the company reported 17.9% in the same quarter last year. Analysts expect 'Book value per common share' to come in at $30.89 . Compared to the present estimate, the company reported $27.43 in the same quarter last year. The consensus estimate for 'Fully-taxable equivalent net interest income' stands at $311.81 million. The estimate compares to the year-ago value of $282.43 million. According to the collective judgment of analysts, 'Total Non-Interest Income' should come in at $178.28 million. Compared to the current estimate, the company reported $165.61 million in the same quarter of the previous year. It is projected by analysts that the 'Deposit account charges and other fees' will reach $28.58 million. The estimate compares to the year-ago value of $26.25 million. Analysts forecast 'Net Interest Income' to reach $309.28 million. The estimate compares to the year-ago value of $280.15 million. The consensus among analysts is that 'Trust fees' will reach $71.88 million. Compared to the current estimate, the company reported $55.57 million in the same quarter of the previous year. Analysts predict that the 'Bank card transaction fees' will reach $46.79 million. The estimate is in contrast to the year-ago figure of $46.36 million. View all Key Company Metrics for Commerce here>>> Over the past month, Commerce shares have recorded returns of +4.6% versus the Zacks S&P 500 composite's +4.3% change. Based on its Zacks Rank #3 (Hold), CBSH will likely exhibit a performance that aligns with the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> . Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Commerce Bancshares, Inc. (CBSH) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research