Bank of Montreal Got Some Good News

By Carrie Williams

The Financial sector company, Bank of Montreal (TSX: BMO), has received a rating update from a Wall Street analyst yesterday. The company received a Buy rating from TD Securities’ analyst Mario Mendonca, with a C$105 price target.

According to TipRanks.com, Mendonca is a 3-star analyst with an average return of 3.7% and a 69.2% success rate. Mendonca covers the Financial sector, focusing on stocks such as Canadian Bank of Commerce, Manulife Financial Corp, and Royal Bank Of Canada.

Currently, the analyst consensus on Bank of Montreal is Moderate Buy and the average price target is C$102.57, representing a 12.2% upside.

In a report issued on May 23, Scotiabank also maintained a Buy rating on the stock with a C$104 price target.

Based on Bank of Montreal’s latest earnings report for the quarter ending April 30, the company posted quarterly revenue of C$7.07 billion and quarterly net profit of C$1.25 billion. In comparison, last year the company earned revenue of C$6.3 billion and had a net profit of C$973 million.

Bank of Montreal engages in providing banking and financial services to individuals and institutions. It operates through three groups: Personal and Commercial Banking, Wealth Management and BMO Capital Markets. The Personal and Commercial Banking is comprised of Personal and Commercial Banking Canada and Personal and Commercial Banking U.S., which provides financial solutions for everyday banking, financing, investing, credit cards and creditor insurance, as well as a variety of commercial products and financial advisory services to individuals, small and mid-sized business customers. The Wealth Management offers wealth management products and solutions including insurance products. The BMO Capital Markets group provides equity and debt underwriting, corporate lending and project financing, mergers and acquisitions advisory services, merchant banking, securitization, treasury and market risk management, foreign exchange, derivatives, debt and equity research and institutional sales and trading. Bank of Montreal was founded by Robert Armour, John C. Bush, Austin Cuvillier, George Garden, Horatio Gates, James Leslie, George Moffatt, John Richardson and Thomas A. Turner on June 23, 1817 and is headquartered in Montreal, Canada.

The company’s shares closed last Thursday at $91.43.