The long-term trend of the EPS is a vital number as it helps understand the future potential of Bank Of Montreal. It is typically displayed as a percentage and called the EPS growth rate, which at this time is hard to estimate, but revenue growth has been 5.70 % over the last twelve months. The higher the EPS growth rate, the higher the value that is added to shareholders and a good reflection on the performance of the management at Bank Of Montreal.
Bank Of Montreal trades as part of the financial services sector and is in the banking industry. The company CEO is Darryl White. Bank of Montreal provides diversified financial services primarily in North America. The company offers broad range of personal and commercial banking, wealth management and investment banking products and services.
Previous Intraday Performance:
The BMO shares had a previous change of 0.13% which opened at 69.74 and closed at 69.92. It moved to an intraday high of 70.13 and a low of 69.42.
Over the last five trading days, BMO shares returned 3.51% and in the past 30 trading days it returned -7.00%. Over three months, it changed -10.91%. In one year it has changed -11.68% and within that year its 52-week high was 84.71 and its 52-week low was 62.79. BMO stock is 11.36% above its 52 Week Low.
Our calculations result in a 200 day moving average of 75.85 and a 50 day moving average of 71.07. Right now, BMO stock is trading -7.82% below its 200 day moving average and may not be a great opportunity to buy as it may continue to trend down.
The company has a market cap of $44.7b with 639.3m shares outstanding and a float of 639.3m shares. Trading volume was 286,000 shares and has experienced an average volume of 735,726 shares. Our calculation, using the current average volume and close price, leads me to believe that the liquidity is good.
The last annual reported EPS for Bank Of Montreal was 7.02 which ended on 31st of October 2018, which according to the previous close, that is a PE of 11.24. Based on 4 analyst estimates, the consensus EPS for the next quarter is 1.75. The trailing twelve month EPS is 7.02, which comes to a trailing twelve month PE of 9.96. Historically, the PE high was 15.00 and the PE low was 9.90. If the stock reached its PE low, that would represent a price of 69.50, which is a decrease of -0.60%.
Below was the last reported quarterly earnings per share:
The dividend per share is currently 3.00, which is a dividend yield of 4.29%. Also, the payout ratio is 42.77%, therefore the dividend is safe according to our calculations. BMO stock has a high dividend yield, but because the company has enough earnings to cover future dividends, it might be a good investment opportunity for an income portfolio.
Base on our calculations, the intrinsic value per share is 77.61, which means it might be undervalued and has a margin of safety of 9.91%
Indicators Also to Watch:
Based on the latest filings, there is 60.90% of institutional ownership. Short-interest was 3,628,348, which was 0.57% of shares outstanding. The short-interest ratio or days-to-cover ratio was 4.50. This stock has some short interest, but it might be normal and no need to worry if long the position.
I calculated the beta to be 1.16
Based on last reported financials, the company’s return on equity is 12.79%, return on assets is 0.70%, profit margin is 16.84%, price-to-sales is 1.79 and price-to-book is 1.43.
Company Score Card:
Results are out of six:
1 : Growth Expectations Result
5 : Financial Safety Result
1 : Past Performance Result
2 : Valuation Result
6 : Dividend Safety Result
3 : Overall Result