TSE:BMO

Bank of Montreal (BMO.TO)

252.12
+1.35 (0.54%)
as of Jul 27, 2026, 8:00:00 pm Market Open.
1162 watching
0
Investor Insights
star iconJul 27, 2026, 12:00 am

This summary was created by AI, based on 15 opinions in the last 12 months.

The Bank of Montreal (BMO) has garnered mixed feedback from financial experts, reflecting a complex picture of its current performance and future outlook. Reviews praise its strong dividend history, diversified geographical presence, and stable asset growth, particularly in wealth management. Despite a favorable outlook for the Canadian banking sector characterized by a tightly regulated oligopoly, concerns about loan losses, especially in the U.S. market, linger. Some analysts are cautious, suggesting that while BMO may be a solid long-term hold, current market conditions warrant a more defensive investment strategy. Additionally, there's a sentiment of cautious optimism towards the potential for growth, but also a call for diversification amid current valuations deemed as premium rather than undervalued or a bargain.

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Consensus
Cautious
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Valuation
Overvalued
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Similar
RY
BUY
His favourites are Royal (RY-T) and TD (TD-T) but also likes this bank because of the 4.89% dividend, which is totally safe. You probably have modest growth also of 5% or 6% over the next year or 2, which gives you a very respectable return. If you have significant worries about the overall market, you could wait.
PAST TOP PICK
(A Top Pick July 21/11. Down 2.18%.) Still likes. Made a good acquisition in the US that seems to work out for them.
DON'T BUY
This would not be his favourite bank. He is underweight financials. He has some concerns about the Canadian consumer and feels consumer loan growth is going to slow. You want to own banks that have the ability to increase their loan book and grow beyond the Canadian consumer. This one will be a little bit challenged. Valuation is relatively expensive.
PAST TOP PICK
(A Top Pick June 24/11. Up 2.35%.) He was looking at dividend plays at the time. Wasn't comfortable with the market.
BUY
On a valuation perspective, this is one of the cheaper banks out there. Feels it is a discount on the strength of their retail network. Currently digesting a big US acquisition. You probably won't get as much dividend growth as you would from the other bank stocks.
WAIT
The big IF is if the real estate market takes a tumble, which he didn’t comment on. Europe remains a problem, a larger problem with over all credit quality. Fine company with nice yield.
BUY
Canadian banks are all at good entry points. This is one of the higher yields. Prefers others because he thinks they have a muddy strategy, but it is just different shades of gray to him.
WEAK BUY
A laggard in the bank space with lower growth prospects. Digesting a big acquisition in the states and if the US improves you would want to be with a bank in the US, but he prefers TD, who are better operators.
BUY
All the banks are down. He would be a buyer of all the Canadian banks today, because of the valuations. They’re trading at 10-11 times earnings. Have no exposure whatsoever to Europe. Demands for mortgages and loans in Canada are strong. Feels there are better opportunities than this one though. (See Top Picks.)
COMMENT
Feels this company is okay. Banks have all basically been moving sideways. Dividend is okay. Made an acquisition in the North Central US that seems to be working out. Don't expect it to be exciting in the near future.
HOLD
(Market Call Minute) Not a favourite but a bit of a growth strategy.
COMMENT
Bank stocks give some nice dividends. Finds their business models are inscrutable so he doesn't follow them closely. 4.85 percent dividend.
BUY
Since 2007 he has been quite negative on financials and specifically banks. Slow down in growth rate and difficulty generating a strong rate of return. Reality is that trading like a utility is now not a bad thing. Banks are working globally at rebuilding balance sheets. Capital is building quickly and dividend growth is likely to happen.
DON'T BUY
He holds RY. He took some profit on RY recently. Feels you have to do best in class when investing and likes Royal better, but BMO is the cheapest so there is some potential there.
BUY
Likes it. More recent news is an acquisition that is working out quite well in the US.
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