Investors looking for stocks in the Banks - Foreign sector might want to consider either Bank of Nova Scotia (BNS) or Royal Bank (RY). But which of these two stocks offers value investors a better bang for their buck right now?
Investors interested in Banks - Foreign stocks are likely familiar with Banco Santander (SAN) and Bank of Nova Scotia (BNS). But which of these two companies is the best option for those looking for undervalued stocks?
Banks aren't supposed to be exciting. They are supposed to provide basic services that help the world function on the financial front.
Scotiabank offers a compelling mix of value and income, with a low forward PE and a 5.9% dividend yield. Recent results highlight progress in customer-focused strategy, cost efficiencies, and strong growth in wealth management and Latin America. BNS maintains a robust capital position, with an A+ credit rating, and a well-covered dividend, supporting reliable income for investors.
Last month, Scotiabank upped its quarterly dividend paid to shareholders. The Canadian bank's forward-looking fundamentals remain reasonably strong. Scotiabank's financial health also remains vigorous, with its CET1 ratio holding above 13% in Q2 2025.
With May in the books, it's time to look to June for income opportunities. T:CA and BNS:CA both have huge yields, underpinned by fundamentals. I used the Seeking Alpha Stock Screener to help guide my picks.
The Bank of Nova Scotia (NYSE:BNS ) Q2 2025 Earnings Conference Call May 27, 2025 8:00 AM ET Company Participants Meny Grauman - Head, Investor Relations Scott Thomson - President & Chief Executive Officer Raj Viswanathan - Chief Financial Officer Phil Thomas - Chief Risk Officer Aris Bogdaneris - Group Head, Canadian Banking Francisco Aristeguieta - Group Head, International Banking Travis Machen - CEO and Group Head, Global Banking & Markets Jacqui Allard - Group Head, Global Wealth Management Conference Call Participants Ebrahim Poonawala - Bank of America Gabriel Dechaine - National Bank Financial Mario Mendonca - TD Securities John Aiken - Jefferies Matthew Lee - Canaccord Genuity Doug Young - Desjardins Capital Markets Paul Holden - CIBC Lemar Persaud - Cormark Darko Mihelic - RBC Sohrab Movahedi - BMO Capital Markets Meny Grauman Good morning. Welcome to Scotiabank's 2025 Q2 Results Call.
Bank of Nova Scotia (TSX:BNS) on Tuesday reported quarterly earnings that missed analysts' expectations, as higher provisions for credit losses—driven in part by ongoing trade and economic uncertainty—offset revenue growth. The Toronto-based lender said net income for the quarter ended April 30 fell to C$2.03 billion, or C$1.48 per diluted share, from C$2.09 billion, or C$1.57 per share, a year earlier.
Bank of Nova Scotia (BNS) came out with quarterly earnings of $1.06 per share, missing the Zacks Consensus Estimate of $1.14 per share. This compares to earnings of $1.16 per share a year ago.
Investing in quality dividend-growth stocks like Realty Income, Scotiabank, and British American Tobacco provides reliable income and reduces the stress of market volatility. These stocks offer an average dividend yield of 6.4% with strong credit ratings, and are undervalued by 12% to 18% based on fair value estimates. Each company has a robust financial foundation with well-covered dividends and growth potential, aiming for mid-teens annual total returns through 2027.
Dividend stocks can provide you with some valuable income on a recurring basis. And the more you invest, the more you can collect in dividends.
The Bank of Nova Scotia (NYSE:BNS ) National Bank 23rd Annual Financial Services Conference March 25, 2025 11:00 AM ET Company Participants Unknown Speaker - Aris Bogdaneris - Group Head, Canadian Banking Conference Call Participants Unknown Speaker I'd like to present, Aris Bogdaneris, Group Head Canadian Banking of the Bank of Nova Scotia or Scotiabank, whichever you prefer. Thanks for joining us again.