Canadian Imperial Bank Of Commerce
🇨🇦 CM.TO · Toronto · CA1360691010
Bank
CAD 133.96 price at analysis
Scores
Key Metrics
Powered by EODHDP/E (TTM)
13.4
P/E (Price-to-Earnings)Shows how much investors pay for each $1 of profit. We display the TTM P/E (Trailing Twelve Months) which uses actual earnings from the last 4 quarters. This is more reliable than Forward P/E which uses analyst estimates.
Calculation: 133.96 ÷ 10.00 = 13.4
TTM period through: 2026-01-31
Forward P/E (estimated): 13.1
Based on analyst estimates
Reference: Provider P/E (Trailing): 14.0
Yield (Fwd)
3.19%
Dividend YieldThe Forward yield (Fwd) shows the next announced annual dividend / current price — what you'd earn going forward. The Trailing yield (TTM) in the tooltip shows dividends actually paid in the last 12 months. Forward is shown as primary because it reflects the company's current commitment to shareholders.
Trailing Yield (TTM): 2.98%
Net Debt/EBITDA (TTM)
12.8x
Latest quarter: 43.8x
Net Debt / EBITDAA leverage ratio showing how many years of EBITDA (earnings before interest, taxes, depreciation, and amortization) it would take to repay net debt. EBITDA approximates operating cash generation. Lower ratios (e.g., <3x) are generally safer; higher (e.g., >5x) may indicate more financial risk.
TTM through: 2026-01-31
Latest quarter (2026-01-31): 43.8x
The quarterly value can spike when quarterly EBITDA is very low (e.g., one-time charges).
Quick guide: <2x manageable, >4x can be risky (sector-dependent).
Payout (Fwd)
42.8%
Payout RatioDividends as a percentage of earnings. The Forward payout (Fwd) uses the announced dividend divided by actual past earnings (TTM) — it tells you if the company can afford what it promised. Very high payouts can be risky, especially if profits fall.
Announced dividend / actual earnings (TTM)
Payout (TTM): 43.7%
Cash Flow Payout (TTM): 1661.0%
FCF Coverage (TTM): -0.22x
ROE
14.8%
ROE (Return on Equity)A profitability measure: how much profit is generated from shareholders’ equity. Higher isn’t always better if it comes from high debt.
Summary
Canadian Imperial Bank of Commerce (CIBC) is a high-quality financial institution operating within the protected Canadian banking oligopoly, boasting excellent fundamental stability and a strong 14.75% ROE. While the business continues to perform exceptionally well with recent record earnings, a significant price rally has compressed the TTM dividend yield to 2.98%, limiting its immediate income appeal. Existing shareholders should maintain positions given the secure payout, but new investors may want to wait for a better entry point offering a higher starting yield.
Sector Context
Canadian Imperial Bank of Commerce is a major financial institution providing retail, commercial, and wholesale banking services. As a member of the protected Canadian banking oligopoly, it benefits from high barriers to entry and a heavily regulated market that historically supports highly reliable, sustainable dividend payouts, though it remains exposed to typical macroeconomic credit cycles.
📊 Strategy Analysis
- • Operates within a highly protected Canadian banking oligopoly, providing a robust economic moat and exceptional long-term earnings visibility.
- • Strong profitability metrics including a 14.75% Return on Equity (ROE), which comfortably exceeds the 10% benchmark for well-capitalized banks.
- • The dividend remains highly secure with a forward payout ratio of 42.8%, sitting perfectly in the lower end of the optimal 40-70% range.
- • Recent record quarterly earnings and numerous analyst target upgrades validate the company's strong operational execution.
⚠ What to Watch
- • A massive one-year price rally has compressed the TTM dividend yield to 2.98% (3.19% forward), providing limited immediate income advantage for new capital.
- • Net income margins have contracted significantly to 13.6% from a 5-year average of 25.9%, likely reflecting industry-wide margin pressures and higher provisions for credit losses.
- • Current valuation at 13.4x TTM P/E represents fair value rather than a distinct discount, limiting near-term capital appreciation upside.
📊 Historical Trends (10 Years)
Powered by EODHDThese charts show how key metrics have evolved over the past decade, helping you identify if the company is improving or deteriorating.
Debt Evolution (Net Debt / EBITDA)
Lower values are better. A declining trend indicates the company is reducing its debt (deleveraging).
Revenue & Earnings Growth
Consistent growth in revenueRevenue
The money a company brings in from selling its products or services. It’s the top line before costs. (blue) and earningsEarnings (Profit)
What’s left after expenses. Positive earnings mean the business made a profit; negative means a loss. (green) indicates a healthy business. Look for upward trends and recoveries after temporary dips.
Dividend Sustainability (FCF vs Dividends Paid)
Free cash flowFree Cash Flow
Cash left after the company pays for running the business and maintaining it. Often used to fund dividends, pay debt, or buy back shares. (FCFFCF (Free Cash Flow)
Short for Free Cash Flow: cash left after operating needs and maintenance spending., blue) should cover dividends paidDividends Paid
Cash the company paid out to shareholders. It’s not guaranteed and can change over time. (green). If dividends consistently exceed FCFFCF (Free Cash Flow)
Short for Free Cash Flow: cash left after operating needs and maintenance spending., the dividend may be at risk.
Analysis date: 2026-04-04
Disclaimer: This information is for educational purposes only. Not financial advice.