Bank Stocks Rise on the Strength of Bank of Montreal Earnings

NEW YORK, NY / ACCESSWIRE / August 24, 2016 / Canadian markets were buoyed by the financial sector Tuesday after the Bank of Montreal reported earnings that topped expectations. The S&P/TSX Composite Index increased 0.11 percent to close at 14,764.77, with the financial sector increasing 0.80 percent. The Bank of Montreal, the fourth largest in Canada, reported earnings per share was $1.86 for the third quarter of 2016, an increase of 3 percent year-over-year and above average analyst forecasts of $1.81, according to Thomson Reuters I/B/E/S.

“Earnings growth came in stronger than we had expected and we believe that BMO should enjoy relative out performance today based on the beat,” said John Aiken, an analyst with Barclays. “BMO reported a solid quarter with few areas that we can pick holes in.”

Register with us now for your free membership and gain access to our latest reports at: www.rdinvesting.com/subscribe-today/.

Bank of Montreal (TSX: BMO)

Get Your Up-To-Date Bank of Montreal Research Report at www.rdinvesting.com/company/BMO.

Bank of Montreal shares gained 2.19 percent to close at $86.27 a share Tuesday. The stock traded between $85.31 and $86.82 on volume of 2.73 million shares traded. Net income was $1,245-million for the third quarter of 2016, up 4 percent year-over-year. Revenues increased 17 percent year-over-year to $5.6 billion in the third quarter. “We had good performance across our operating groups, particularly in personal and commercial banking, and BMO Capital Markets. Adjusted operating leverage was very good at 3.8 percent and the capital position is strong with a common equity Tier 1 ratio of 10.5 percent.” commented Bill Downe, chief executive officer, BMO Financial Group. Shares of Bank of Montreal have gained approximately 10.5 percent year-to-date and are up roughly 1.8 percent in the past month.

Canadian Western Bank (TSX: CWB)

Get Your Up-To-Date Canadian Western Bank Research Report at www.rdinvesting.com/company/CWB.

Canadian Western Bank’s shares increased 0.31 percent to close at $25.72 a share Tuesday. The stock traded between $25.67 and $26.30 on volume of 292,518 shares traded. Canadian Western Bank is scheduled to report earnings results for the third quarter of 2016 on Thursday, September 1st. Cormark analyst M. Grauman forecasts the bank will earn $0.58 per share in third quarter of 2016. Shares of Canadian Western Bank have gained approximately 10.0 percent year-to-date and are down roughly 0.77 percent in the past month.

National Bank of Canada (TSX: NA)

Get Your Up-To-Date National Bank of Canada Research Report at www.rdinvesting.com/company/NA.

National Bank of Canada’s shares increased 1.41 percent to close at $46.77 a share Tuesday. The stock traded between $46.21 and $47.00 on volume of 1.45 million shares traded. National Bank of Canada is scheduled to report earnings results for the third quarter of 2016 on Wednesday, August 31st. Cormark analyst M. Grauman expects the bank to earn $1.22 per share for the third quarter of 2016. Shares of the National Bank of Canada have gained approximately 16.0 percent year-to-date and are up roughly 3.8 percent in the past month.

Bank of Nova Scotia (TSX: BNS)

Get Your Up-To-Date Bank of Nova Scotia Research Report at www.rdinvesting.com/company/BNS.

Bank of Nova Scotia’s shares increased 1.05 percent to close at $67.35 a share Tuesday. The stock traded between $66.91 and $67.89 on volume of 1.91 million shares traded. Bank of Nova Scotia is scheduled to report earnings results for the third quarter of 2016 on Tuesday, August 30th. Cormark analyst M. Grauman expects the bank to earn $1.50 per share for the third quarter of 2016. Shares of Bank of Nova Scotia have gained approximately 20.3 percent year-to-date and are up roughly 2.0 percent in the past month.

Research Driven Investing

We are committed to providing relevant and actionable information for the self-directed investor. Our research is reputed for being a leader in trusted, in-depth analysis vital for informed strategic trading decisions. The nimble investor can leverage our analysis and collective expertise to execute a disciplined approach to stock selection.

RDInvesting has not been compensated; directly or indirectly; for producing or publishing this document.

Disclaimer: This article is written by an independent contributor of RDInvesting.com and reviewed by Hemal K. Gandhi, a CFA® charter holder. RDInvesting.com is neither a registered broker dealer nor a registered investment advisor. For more information please read our full disclaimer at www.rdinvesting.com/disclaimer.

CONTACT

For any questions, inquiries, or comments reach out to us directly at:

Address:
Research Driven Investing, Unit #901 511 Avenue of the Americas, New York, NY, 10011

Email: contact@rdinvesting.com

CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.

SOURCE: RDInvesting.com

ReleaseID: 444221