Zacks senior foreign banking analyst Ann Heffron, CFA had this to say about Bank of Montreal
(NYSE: BMO - News) recently, on which she is reiterating her Hold recommendation today:
\'We are maintaining our Hold on Bank of Montreal, but reducing our target price to US$62. BMO reported fiscal third quarter earnings of C$748 million, up 6% from a year ago and above our estimate, largely due to better-than-expected expense control and a lower effective tax rate.
\'We are raising our diluted EPS estimates to US$4.99 from US$4.73 for 2007 and to US$5.26 from US$4.94 for 2008. For 2007, BMO is targeting 5-10% growth in operating EPS, based on continued strong credit quality (though not as good as in 2006) and improvement in the productivity ratio. BMO increased its dividend payout ratio to 45-55% from 35-45% and announced a 3% increase in the quarterly dividend to C$0.70 (US$0.67).
\'BMO is a leading bank in Canada, with 13% retail deposit market share. It also
has operations in the U.S. through its regional banking franchise, Chicago-based Harris Bank. BMO\'s operations are divided into three primary groups: the personal and commercial banking group (P&C), private client group (PCG), and the investment-banking group (IBG).\'
Source: Zacks.com
1 Comment:
Theirs just to much risk in banking stocks.
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