Jun. 19 at 1:38 AM
S&P Global Ratings revised KeyCorp’s outlook to positive from stable while affirming its long-term issuer credit rating at ‘BBB’. The agency also upgraded KeyBank N.A.’s outlook to positive while maintaining its ‘BBB+’ rating.
S&P highlighted meaningful improvements in KeyCorp’s business and financial profile, including stronger profitability metrics, more conservative risk management, and higher capital ratios. Net interest margin rose to 2.87% in Q1 2026 from 2.58% a year earlier, supported by portfolio repositioning, repricing of fixed-rate assets, and lower deposit costs.
The company’s CET1 capital ratio improved to 11.4% as of March 31, 2026, up from 9.1% in 2022, aided by retained earnings and a
$2.8 billion investment from Bank of Nova Scotia in 2024, which took a 14.9% stake. Asset quality also improved modestly, with nonperforming assets and net charge-offs trending lower over the past year.
$KEY