📊 CBSH Key Takeaways
Investment Thesis
Commerce Bancshares demonstrates strong fundamental health with robust profitability (38.2% net margin, 14.9% ROE) and exceptional cash generation (39.9% FCF margin, $592.4M free cash flow). Revenue growth of 33.4% YoY coupled with stable net income and improving diluted EPS (+9.5%) indicates quality earnings expansion, though the slight net income decline requires monitoring for sustainability.
CBSH Strengths
- Exceptional net profit margin of 38.2% with strong operating margin of 49.3%, indicating operational efficiency typical of quality financial institutions
- Outstanding free cash flow generation of $592.4M representing 39.9% of revenue, providing substantial capital for dividends, debt reduction, or strategic investments
- Conservative balance sheet with minimal leverage (0.00x debt/equity ratio) and strong liquidity position with $3.5B cash, reducing financial risk
- Solid return metrics with 14.9% ROE and 1.7% ROA demonstrating effective capital deployment
- Strong revenue growth of 33.4% YoY with diluted EPS growth of 9.5%, showing quality earnings expansion
CBSH Risks
- Net income declined 0.8% YoY despite 33.4% revenue growth, suggesting margin compression or increased operating costs requiring investigation
- Interest coverage ratio of 3.4x, while acceptable, is moderate and could be pressured by rising interest rates in banking sector
- High insider activity (47 Form 4 filings in 90 days) warrants monitoring for potential insider selling patterns that could signal concerns
- Banking sector faces structural headwinds from potential interest rate environment changes affecting net interest margin
Key Metrics to Watch
- Net income trend and margin sustainability given divergence between revenue and earnings growth
- Net interest margin and deposit dynamics in changing interest rate environment
- Insider trading activity patterns and direction of Form 4 filings
- Free cash flow conversion and dividend sustainability
- Loan loss provisions and credit quality metrics
CBSH Financial Metrics
💡 AI Analyst Insight
The 39.9% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. The current ratio below 1.0x warrants monitoring of short-term liquidity.
CBSH Profitability Ratios
CBSH vs Finance Sector
How COMMERCE BANCSHARES INC /MO/ compares to Finance sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
CBSH Balance Sheet & Liquidity
CBSH 5-Year Financial Trend
5-Year Trend Summary: COMMERCE BANCSHARES INC /MO/'s revenue has remained relatively flat over the 5-year period, with a 0% decline. The most recent EPS of $3.30 reflects profitable operations.
CBSH Growth Metrics (YoY)
CBSH Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | N/A | $138.0M | $1.01 |
| Q2 2025 | N/A | $139.6M | $1.03 |
| Q1 2025 | N/A | $112.7M | $0.82 |
| Q3 2024 | N/A | $120.6M | $0.92 |
| Q2 2024 | N/A | $127.8M | $0.97 |
| Q1 2024 | N/A | $112.7M | $0.86 |
| Q3 2023 | N/A | $120.6M | $0.96 |
| Q2 2023 | N/A | $115.8M | $0.92 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
CBSH Capital Allocation
CBSH SEC Filings
Access official SEC EDGAR filings for COMMERCE BANCSHARES INC /MO/ (CIK: 0000022356)
📋 Recent SEC Filings
❓ Frequently Asked Questions about CBSH
What is the AI rating for CBSH?
COMMERCE BANCSHARES INC /MO/ (CBSH) has an AI rating of BUY with 78% confidence, based on fundamental analysis of SEC EDGAR filings.
What are CBSH's key strengths?
Exceptional net profit margin of 38.2% with strong operating margin of 49.3%, indicating operational efficiency typical of quality financial institutions. Outstanding free cash flow generation of $592.4M representing 39.9% of revenue, providing substantial capital for dividends, debt reduction, or strategic investments.
What are the risks of investing in CBSH?
Net income declined 0.8% YoY despite 33.4% revenue growth, suggesting margin compression or increased operating costs requiring investigation. Interest coverage ratio of 3.4x, while acceptable, is moderate and could be pressured by rising interest rates in banking sector.
What is CBSH's revenue and growth?
COMMERCE BANCSHARES INC /MO/ reported revenue of $1.5B.
Does CBSH pay dividends?
COMMERCE BANCSHARES INC /MO/ pays dividends, with $150.2M distributed to shareholders in the trailing twelve months.
Where can I find CBSH SEC filings?
Official SEC filings for COMMERCE BANCSHARES INC /MO/ (CIK: 0000022356) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is CBSH's EPS?
COMMERCE BANCSHARES INC /MO/ has a diluted EPS of $4.04.
How is the AI analysis conducted?
Our AI (Claude) analyzes publicly available SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports to evaluate financial health, profitability ratios, balance sheet strength, and growth metrics.