Desjardins Has Positive Outlook of BNS FY2025 Earnings

Key Points

• Desjardins has raised its FY2025 earnings per share estimate for Bank of Nova Scotia to $5.04, up from $4.96, with FY2026 estimates at $5.72 EPS.
• The bank reported quarterly earnings of $1.37 EPS, exceeding analyst expectations of $1.28, despite revenue of $6.85 billion falling short of the $9.29 billion forecast.
• Bank of Nova Scotia is increasing its quarterly dividend to $1.10 per share, representing an annualized yield of 7.1%, up from the previous dividend of $0.80.

Bank of Nova Scotia (The) (NYSE:BNS - Free Report) TSE: BNS - Research analysts at Desjardins boosted their FY2025 earnings per share estimates for Bank of Nova Scotia in a report issued on Tuesday, August 26th. Desjardins analyst D. Young now anticipates that the bank will post earnings per share of $5.04 for the year, up from their prior estimate of $4.96. The consensus estimate for Bank of Nova Scotia's current full-year earnings is $4.91 per share. Desjardins also issued estimates for Bank of Nova Scotia's FY2026 earnings at $5.72 EPS.

Bank of Nova Scotia (NYSE:BNS - Get Free Report) TSE: BNS last posted its quarterly earnings results on Tuesday, August 26th. The bank reported $1.37 EPS for the quarter, topping analysts' consensus estimates of $1.28 by $0.09. Bank of Nova Scotia had a return on equity of 11.71% and a net margin of 9.74%.The business had revenue of $6.85 billion during the quarter, compared to analysts' expectations of $9.29 billion. During the same quarter last year, the company posted $1.63 earnings per share. Bank of Nova Scotia's quarterly revenue was up 13.4% on a year-over-year basis.

A number of other research firms also recently weighed in on BNS. Wall Street Zen downgraded shares of Bank of Nova Scotia from a "hold" rating to a "sell" rating in a research report on Saturday, June 21st. Royal Bank Of Canada upped their price target on shares of Bank of Nova Scotia from $80.00 to $86.00 and gave the stock a "sector perform" rating in a report on Wednesday. Four research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company's stock. According to MarketBeat.com, Bank of Nova Scotia currently has an average rating of "Hold" and an average target price of $86.00.

Bank of Nova Scotia Trading Up 0.5%

Shares of NYSE:BNS opened at $61.74 on Thursday. Bank of Nova Scotia has a 12-month low of $44.09 and a 12-month high of $62.34. The stock has a market cap of $76.70 billion, a PE ratio of 16.60, a P/E/G ratio of 1.57 and a beta of 1.14. The business has a 50 day moving average of $55.87 and a 200-day moving average of $51.93. The company has a quick ratio of 1.03, a current ratio of 1.03 and a debt-to-equity ratio of 0.62.

Hedge Funds Weigh In On Bank of Nova Scotia

A number of institutional investors and hedge funds have recently made changes to their positions in BNS. Envestnet Asset Management Inc. boosted its position in shares of Bank of Nova Scotia by 22.8% during the 4th quarter. Envestnet Asset Management Inc. now owns 7,621 shares of the bank's stock worth $409,000 after purchasing an additional 1,413 shares in the last quarter. Raymond James Financial Inc. bought a new position in shares of Bank of Nova Scotia during the 4th quarter worth about $1,716,000. Tower Research Capital LLC TRC boosted its position in shares of Bank of Nova Scotia by 4.8% during the 4th quarter. Tower Research Capital LLC TRC now owns 5,399 shares of the bank's stock worth $290,000 after purchasing an additional 248 shares in the last quarter. Stifel Financial Corp boosted its position in shares of Bank of Nova Scotia by 0.6% during the 4th quarter. Stifel Financial Corp now owns 64,427 shares of the bank's stock worth $3,461,000 after purchasing an additional 373 shares in the last quarter. Finally, MGO One Seven LLC bought a new position in shares of Bank of Nova Scotia during the 4th quarter worth about $254,000. Institutional investors own 49.13% of the company's stock.

Bank of Nova Scotia Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 29th. Stockholders of record on Tuesday, October 7th will be given a dividend of $1.10 per share. This is a boost from Bank of Nova Scotia's previous quarterly dividend of $0.80. The ex-dividend date of this dividend is Tuesday, October 7th. This represents a $4.40 dividend on an annualized basis and a dividend yield of 7.1%. Bank of Nova Scotia's payout ratio is currently 94.72%.

About Bank of Nova Scotia

The Bank of Nova Scotia provides various banking products and services in Canada, the United States, Mexico, Peru, Chile, Colombia, the Caribbean and Central America, and internationally. It operates through Canadian Banking, International Banking, Global Wealth Management, and Global Banking and Markets segments.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.