A securities class action has been filed in the USDC – N.D.OH. against KeyCorp (KEY) (“Key” or the “Company”) on behalf of a class consisting of all persons and entities other than Defendants that purchased or otherwise acquired Key securities between February 27, 2020 through June 09, 2023, both dates inclusive (the “Class Period”).

Key operates as the holding company for KeyBank National Association (“KeyBank”), which provides various retail and commercial banking products and services in the U.S. One of the Company’s principal sources of revenue is net interest income (“NII”), which is calculated as the difference between interest income received on earning assets (such as loans and securities) and loan-related fee income, and interest expense paid on deposits and borrowings.

The Complaint alleges that throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operations, and prospects. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that:

• • Key downplayed concerns with its liquidity while overstating the effectiveness of its long-term liquidity strategy;
  • Key overstated its projected NII for the second quarter (“Q2”) and full year (“FY”) of 2023, as well as related positive NII drivers, while downplaying negative NII drivers;
  • as a result, Key was likely to negatively revise its previously issued NII guidance;
  • all the foregoing, once revealed, was likely to negatively impact Key’s business, financial results, and reputation; and
  • as a result, Defendants’ public statements were materially false and/or misleading at all relevant times, thereby harming investors.

If you purchased Key securities during the Class Period and would like to receive more information or join the action, please enter your contact information below for a FREE consultation and click “Submit Your Information”.

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Lowey Dannenberg is a national firm representing institutional and individual investors, who suffered financial losses resulting from corporate fraud and malfeasance in violation of federal securities and antitrust laws. The firm has significant experience in prosecuting multi-million-dollar lawsuits and has previously recovered billions of dollars on behalf of investors.