Q: BNS seems to be getting some upgrades before its next quarter. What do you think of it currently?
Thx
Thx
5i Research Answer:
BNS continues to pay a solid dividend yield of 5.4%, and it is up 22% on a year-to-date basis, and 29% on a one-year basis. Its earnings outlook is improving, and most analyst estimates are trending higher recently. Analysts have been upping their price targets mostly on improving fundamentals under the CEO, Scott Thomson, who has revamped leadership and focused on profitability. It may see some consolidation after its recent run up, but we continue to like the name and feel that it trades at a reasonable valuation of 11.4X forward earnings.