Bank of America: Solid Beat for Comerica

In a research report published earlier today, Bank of America said Comerica

reported a solid 1Q12 beat this morning. According to Bank of America, "We think the investors will like the quarter, although, with the stock up 20% YTD, we caution the bar for outperformance was set high. CMA posted loan growth of 3% annualized, beating our estimate ($43.0bn vs. $42.0bn) on better C&I growth. Management guidance for moderate average loan growth in 2012 remained unchanged, however, which we think could tamper investor's enthusiasm. Lending margin also beat our forecast (3.19% vs. 3.16%), although this was due to higher recognition of accretable yield from the SBIB acquisition, which we view as a lower-quality beat. Ex the higher accretable yield recognition, CMA's lending margin was in line with our expectations." Bank of America maintains its Neutral rating and $33 PO on Comerica, which closed yesterday at $30.86.