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Bank of Montreal Remains Only Canadian Bank Rated Outperformer at CIBC
CIBC Capital Markets made minor revisions to its forward estimates for the Canadian banks following Q2 earnings, and said Bank of Montreal (BMO.TO) is the only stock ranked Outperformer."...We like that call following what we think was the best quarter in the group," analyst Paul Holden said in a note to clients.Holden maintained a price target of $244 on BMO shares."While consensus estimates are moving higher, there is still room to move higher based on BMO's 15% ROE target," the analyst said."The company is showing good execution based on efficiency gains, credit trends, share buybacks (i.e., capital deployment) and now US loan growth," Holden said."We think the upside surprise with US commercial loan growth (+4% Q/Q) plus solid growth in Canada commercial (+2% Q/Q) is exactly what the stock needed to turn sentiment."
$BMO.TO