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KeyCorp (KEY), headquartered in Cleveland, Ohio, operates as the holding company for KeyBank National Association. Valued at $24.4 billion by market cap, the company provides retail and commercial banking, commercial leasing, investment management, consumer finance, and investment banking products and services.
Shares of this leading regional bank have outperformed the broader market over the past year. KEY has gained 20.6% over this time frame, while the broader S&P 500 Index ($SPX) has rallied nearly 14.8%. In 2026, KEY stock is up 7.5%, surpassing the SPX’s 6.9% rise on a YTD basis.
Narrowing the focus, KEY’s underperformance is apparent compared to the iShares U.S. Regional Banks ETF (IAT). The exchange-traded fund has gained about 23.7% over the past year. Moreover, the ETF’s 15.1% gains on a YTD basis outshine the stock’s single-digit returns over the same time frame.
KeyCorp experienced a mix of positive operational momentum and persistent headwinds over the past year. The bank saw solid financial gains driven by expanding interest margins, loan growth, and strategic capital moves. However, these gains were constrained by credit quality pressures, including rising nonperforming loans, alongside high-interest-rate challenges affecting the broader banking sector.
On Jul. 21, KEY shares closed down by 1.6% after reporting its Q2 results. Its revenue stood at $2 billion, up 6.7% year over year. The company’s adjusted EPS increased 25.7% from the year-ago quarter to $0.44.
For the current fiscal year, ending in December, analysts expect KEY’s EPS to grow 22% to $1.83 on a diluted basis. The company’s earnings surprise history is impressive. It beat the consensus estimate in each of the last four quarters.
Among the 20 analysts covering KEY stock, the consensus is a “Moderate Buy.” That’s based on nine “Strong Buy” ratings, two “Moderate Buys,” and nine “Holds.”
This configuration is less bullish than three months ago, with 10 analysts suggesting a “Strong Buy.”
On Jul. 23, Mike Mayo from Wells Fargo & Company (WFC) maintained a “Buy” rating on KEY, with a price target of $27, implying a potential upside of 21.7% from current levels.
The mean price target of $25.18 represents a 13.5% premium to KEY’s current price levels. The Street-high price target of $28 suggests an upside potential of 26.2%.
