- Company name
- Canadian Imperial Bank of Commerce
- Sector
- Banking
- About
- Canadian Imperial Bank of Commerce (CIBC) is one of the five largest banks in Canada. It has four main business units: Canadian Personal and Business Banking, Canadian Commercial Banking and Wealth Management, U.S. Commercial Banking and Wealth Management, and Capital Markets. In the United States it serves mid-market companies and private wealth clients. Total assets were $1.18 trillion and deposits were $852.2 billion at July 31, 2026. In May 2026, CIBC agreed to sell its 91.67% interest in CIBC Caribbean Bank to Butterfield. All amounts are in Canadian dollars unless the text says otherwise. The fiscal year ends on October 31.
- Thesis
- CIBC trades at a premium because investors pay for its fast rise in returns and earnings. Adjusted ROE was 16.8% in Q3 fiscal 2026, up from 14.2% a year earlier, and adjusted diluted EPS grew 26% to $2.73. Capital Markets net income grew 34%, and Canadian Personal and Business Banking net income grew 17%. Investors also expect buybacks to continue, because the CET1 ratio was 13.4% and OSFI lowered its capital buffer for the large banks in June 2026. The price assumes that adjusted ROE stays near 16% or more. For the premium to be earned, three things must be true. Capital Markets and wealth fees must keep most of their gains when markets are less active. Credit losses must stay near the loan loss ratio of 0.40% of Q3 fiscal 2026, even with trade tension between Canada and the United States. The sale of CIBC Caribbean must close in the first half of 2027 as planned. The Q4 fiscal 2026 report on December 3, 2026 gives the first test. If adjusted ROE falls back toward 14% when markets slow, the premium can shrink within one to two years.
- Risks
- Credit losses can rise if the economy in Canada weakens. Trade tension between Canada and the United States can hurt business clients and households. The loan loss ratio rose to 0.40% in Q3 fiscal 2026 from 0.33% a year earlier, and provisions on impaired loans rose in Canadian lending and Capital Markets.
A large part of the profit growth came from markets. Capital Markets net income rose 34% in Q3 fiscal 2026, mainly from equity trading and financing. If markets slow, this profit can fall quickly.
Costs rise with investment in technology and AI. Reported non-interest expenses were $4.69 billion in Q3 fiscal 2026, up from $3.98 billion, and the reported efficiency ratio was 56.0%. If revenue growth slows, returns can fall.
The sale of CIBC Caribbean needs approval by Butterfield shareholders and regulators. CIBC also gives indemnities and will hold about 22% of Butterfield, so it keeps some exposure to the region.
- Balance sheet
- CIBC funds itself mainly with deposits, which were $852.2 billion at July 31, 2026, and total assets were $1.18 trillion. The CET1 ratio was 13.4%, the leverage ratio was 4.3%, the total loss absorbing capacity ratio was 34.4% and the liquidity coverage ratio was 127%. Since June 19, 2026, OSFI's CET1 target for the large Canadian banks, with all buffers, is 11.0%. Common shareholders' equity was $59.1 billion, or $65.14 per share on 907.9 million shares. The provision for credit losses was $564 million in Q3 fiscal 2026, and the loan loss ratio was 0.40%. CIBC paid a quarterly dividend of $1.07 per share, up from $0.97 a year earlier. Under its previous bid, it bought back 16.5 million shares for $2.2 billion in the nine months to July 31, 2026, and it bought 5.5 million shares under the new bid in Q3. For a bank, net debt is not a useful measure, so this profile does not show debt figures.
As of 2026-07-31.
- Checkpoints
- Aug 27, 2026: Q3 fiscal 2026 results. Passed. Watch: Adjusted ROE near 16% and a stable loan loss ratio pass; lower returns or a large rise in provisions fail. Outcome: Adjusted ROE rose to 16.8% and adjusted diluted EPS grew 26% to $2.73, while the loan loss ratio rose to 0.40% from 0.33% a year earlier.
Dec 3, 2026: Q4 fiscal 2026 results. Pending. Watch: Adjusted ROE near 16% or more, a loan loss ratio near 0.40% and continued buybacks pass; lower returns or a large rise in provisions fail.
Q2 2027 (estimate): Close of the CIBC Caribbean sale. Pending. Watch: A close in the first half of 2027 with no new charges passes; a delay, a lower price or new charges fail.
- Recent events
- 2026-08-27: CIBC reported Q3 fiscal 2026 results. Revenue rose 15% to $8.37 billion. Reported net income was $2.41 billion and reported diluted EPS was $2.47. Adjusted net income rose 26% to $2.65 billion, adjusted diluted EPS was $2.73 and adjusted ROE was 16.8%. Capital Markets net income rose 34% to $722 million. Results included charges of $269 million for the sale of CIBC Caribbean. The CET1 ratio was 13.4%.
2026-07-06: CIBC closed its purchase of a 19.15% equity interest in Ampersand Partners (&Partners), a U.S. private wealth management firm, and became its strategic banking partner.
2026-06-19: OSFI lowered the Domestic Stability Buffer for the large Canadian banks to 3.0% from 3.5% of risk-weighted assets. The CET1 target with all buffers fell to 11.0%.
2026-06-04: CIBC announced a new normal course issuer bid to buy back up to 30 million common shares until June 7, 2027. Its previous bid of 20 million shares ended on May 25, 2026.
2026-05-28: CIBC reported Q2 fiscal 2026 results. Reported diluted EPS was $2.53, adjusted diluted EPS was $2.54 and adjusted ROE was 16.4%.
2026-05-27: CIBC agreed to sell its 91.67% interest in CIBC Caribbean Bank to Butterfield for about US$1.645 billion: US$1 billion in cash and Butterfield shares then worth US$645 million, or about 22% of Butterfield. The sale is expected to close in the first half of 2027.
2025-12-04: CIBC reported record fiscal 2025 results. Net income was $8.5 billion. In Q4 fiscal 2025, adjusted diluted EPS was $2.21 and adjusted ROE was 14.1%.