Bank of Montreal (NYSE:BMO) Downgraded to Sell at Zacks Investment Research

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Zacks Investment Research lowered shares of Bank of Montreal (NYSE:BMO) (TSE:BMO) from a hold rating to a sell rating in a research report report published on Monday, Zacks.com reports.

According to Zacks, “Bank of Montreal is one of the largest banks in North America, is also one of Canada’s oldest banks. The bank offers a complete range of financial services in our chosen markets on both sides of the Canada-United States border. The bank offers to all of their clients not just financial products, but knowledge-based solutions, custom-made to add value in their financial affairs. “

Several other equities research analysts have also commented on BMO. Scotiabank restated a hold rating on shares of Bank of Montreal in a research report on Tuesday, August 20th. Credit Suisse Group upgraded Bank of Montreal from an underperform rating to a neutral rating and set a $93.00 target price on the stock in a research report on Friday, September 6th. Finally, ValuEngine raised Bank of Montreal from a sell rating to a hold rating in a research note on Wednesday, October 2nd. Two research analysts have rated the stock with a sell rating, ten have issued a hold rating and one has issued a buy rating to the company’s stock. Bank of Montreal currently has an average rating of Hold and an average target price of $95.67.

Shares of Bank of Montreal stock traded up $0.02 on Monday, hitting $73.32. 8,606 shares of the company’s stock traded hands, compared to its average volume of 439,199. Bank of Montreal has a one year low of $62.79 and a one year high of $80.27. The company has a debt-to-equity ratio of 0.15, a current ratio of 1.02 and a quick ratio of 1.02. The company has a fifty day moving average of $71.57 and a two-hundred day moving average of $74.53. The company has a market capitalization of $46.84 billion, a price-to-earnings ratio of 10.51, a price-to-earnings-growth ratio of 1.96 and a beta of 1.18.

Bank of Montreal (NYSE:BMO) (TSE:BMO) last announced its earnings results on Tuesday, August 27th. The bank reported $1.79 EPS for the quarter, missing the consensus estimate of $1.86 by ($0.07). Bank of Montreal had a net margin of 16.48% and a return on equity of 14.14%. The business had revenue of $5.78 billion for the quarter, compared to the consensus estimate of $5.82 billion. During the same quarter in the previous year, the company earned $2.31 EPS. The firm’s revenue for the quarter was up 4.6% on a year-over-year basis. Equities research analysts anticipate that Bank of Montreal will post 7.09 earnings per share for the current year.

The company also recently declared a quarterly dividend, which will be paid on Tuesday, November 26th. Investors of record on Friday, November 1st will be paid a dividend of $0.781 per share. This is an increase from Bank of Montreal’s previous quarterly dividend of $0.77. This represents a $3.12 dividend on an annualized basis and a yield of 4.26%. The ex-dividend date is Thursday, October 31st. Bank of Montreal’s dividend payout ratio is 44.64%.

A number of hedge funds have recently bought and sold shares of BMO. Great West Life Assurance Co. Can acquired a new position in Bank of Montreal during the 2nd quarter worth approximately $429,662,000. Canada Pension Plan Investment Board raised its stake in shares of Bank of Montreal by 225.9% in the second quarter. Canada Pension Plan Investment Board now owns 2,047,600 shares of the bank’s stock worth $155,002,000 after purchasing an additional 1,419,400 shares during the last quarter. MUFG Securities EMEA plc purchased a new stake in shares of Bank of Montreal in the second quarter worth approximately $80,914,000. Prudential PLC raised its stake in shares of Bank of Montreal by 2,231.2% in the second quarter. Prudential PLC now owns 885,963 shares of the bank’s stock worth $66,911,000 after purchasing an additional 847,959 shares during the last quarter. Finally, National Pension Service purchased a new stake in shares of Bank of Montreal in the second quarter worth approximately $73,475,000. 41.09% of the stock is currently owned by institutional investors and hedge funds.

Bank of Montreal Company Profile

Bank of Montreal provides diversified financial services primarily in North America. It operates through three groups: Personal and Commercial Banking, Wealth Management, and BMO Capital Markets. The company's personal banking products and services include checking and savings accounts, credit cards, mortgages, and financial and investment advice services; and commercial banking products and services comprise business deposit accounts, commercial credit cards, business loans and commercial mortgages, cash management solutions, foreign exchange, and specialized banking programs for small business and commercial banking customers, as well as wealth management products and services, such as insurance products.

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