Yahoo Finance Bank of Nova Scotia (BNS) Gains As Market Dips: What You Should Know
Bank of Nova Scotia (BNS) closed the most recent trading day at $50.13, moving +0.46% from the previous trading session. This change outpaced the S&P 500's 0.25% loss on the day. At the same time, the Dow added 0.24%, and the tech-heavy Nasdaq lost 1.88%.
Prior to today's trading, shares of the bank had lost 0.62% over the past month. This has was narrower than the Finance sector's loss of 7.07% and lagged the S&P 500's gain of 1.48% in that time.
Bank of Nova Scotia will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $1.37, down 20.35% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.92 billion, down 5.61% from the year-ago period.
BNS's full-year Zacks Consensus Estimates are calling for earnings of $5.63 per share and revenue of $24.51 billion. These results would represent year-over-year changes of -14.7% and +0.39%, respectively.
Investors might also notice recent changes to analyst estimates for Bank of Nova Scotia. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.18% lower. Bank of Nova Scotia is holding a Zacks Rank of #4 (Sell) right now.
Investors should also note Bank of Nova Scotia's current valuation metrics, including its Forward P/E ratio of 8.86. This valuation marks a premium compared to its industry's average Forward P/E of 7.53.
We can also see that BNS currently has a PEG ratio of 2.04. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Banks - Foreign was holding an average PEG ratio of 0.87 at yesterday's closing price.
The Banks - Foreign industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 47, which puts it in the top 19% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Bank of Nova Scotia (The) (BNS) : Free Stock Analysis Report
