NEW YORK Jan 13 KeyCorp's shares may be
a good bet as the company is trading at a discount to its book
value, and has strengthened its balance sheet since the
financial crisis, according to an article in Barron's.
The bank has "resilient earnings power without any visible
obstacles," Morningstar analyst Maclovio Pina told the financial
weekly in its Jan. 14 edition.
The bank's shares trade at a 5 percent discount to its book
value, which is below its peers, Barron's said. If the shares
traded at 1.1 times their book value, they would be worth $11,
which is 23 percent above its current price of $8.94, the paper
KeyCorp's capital levels and loan portfolio quality have
improved and the bank had solid loan growth of 5 percent in the
third quarter, Barron's said.
The bank may also receive approval from the Federal Reserve
to increase dividend payments to shareholders and buy back more
shares, the paper said.