BMO Stock: Should Canadian Investors Buy Now or Wait?
BMO Stock: Should Canadian Investors Buy Now or Wait?
More recently, the fiscal Q3 2024 results reported a big jump in provisions for credit losses (PCL) compared to the same period last year with increases occurring in personal and commercial banking operations in Canada and the United States and higher PCL in the capital markets division. High interest rates have put pressure on businesses and households with too much debt. The weak earnings contributed to the late-August plunge in the stock.Bank of Montreal (TSX:BMO) is up 10% in the past month. Investors who missed the bounce are wondering if BMO stock is still undervalued and good to buy for a self-directed Tax-Free Savings Account (TFSA) or Registered Retirement Savings Plan (RRSP) focused on dividends and total returns.
蒙特利爾銀行（TSX：BMO）過去一個月上漲了10％。錯過反彈的投資者想知道BMO股票是否仍然被低估，是否適合在一個以分紅和總回報爲重點的自主稅收儲蓄帳戶（TFSA）或註冊養老儲蓄計劃（RRSP）中買入。
BMO stock price
蒙特利爾銀行股價
Bank of Montreal trades near $123 per share at the time of writing. The stock slipped as low as $102 in the past year, but is way off the $150 it reached in early 2022.
在撰寫時，蒙特利爾銀行每股交易近123美元。該股票在過去一年中跌至102美元，但遠低於2022年初達到的150美元。
In early February 2023, Bank of Montreal bolstered its American business with its US$16.3 billion purchase of Bank of the West, a California-based regional bank. The deal was announced in late 2021 when bank stocks were near their post-pandemic highs. The acquisition closed right before chaos hit the American regional bank sector. This is one reason investors might have soured on BMO stock in the past year.
2023年2月初，蒙特利爾銀行通過以16.3億美元收購總部位於加利福尼亞的區域型銀行西部銀行，加強了其美國業務。該交易是在2021年末宣佈的，當時銀行股接近疫情後的高點。收購在混亂襲擊美國區域型銀行部門之前完成。這是投資者在過去一年對BMO股票感到不滿的原因之一。
More recently, the fiscal Q3 2024 results reported a big jump in provisions for credit losses (PCL) compared to the same period last year with increases occurring in personal and commercial banking operations in Canada and the United States and higher PCL in the capital markets division. High interest rates have put pressure on businesses and households with too much debt. The weak earnings contributed to the late-August plunge in the stock.
最近，2024財政第三季度的業績報告顯示，與去年同期相比，信貸損失準備金（PCL）大幅增加，加拿大和美國的個人和商業銀行業務以及資本市場部門的PCL均有所增加。高利率給負債過多的企業和家庭帶來了壓力。疲弱的收益 contributed to the 票的大幅下跌。
Now that both the U.S. Federal Reserve and Bank of Canada have started to reduce interest rates, there should be a decline in PCL at Bank of Montreal in the coming quarters. This will help support profits and can free up more cash for distributions.
現在，隨着聯儲局和加拿大銀行已經開始降低利率，蒙特利爾銀行在未來幾個季度PCL應該會下降。這將有助於支持利潤，可以爲更多現金分配騰出空間。
Dividend
分紅
Bank of Montreal has paid a dividend every year for nearly two centuries. The current annualized payout is $6.20 and provides a yield right now of about 5%. Bank of Montreal has a solid capital position and remains very profitable, so investors should see dividends continue to grow.
蒙特利爾銀行已經連續近兩個世紀每年支付股息。當前的年化分紅爲6.20美元，當前提供的收益率約爲5％。蒙特利爾銀行具有穩健的資本狀況，依然盈利豐厚，因此投資者應該會看到股息繼續增長。
Upside
上行
The Bank of the West purchase has been an overhang on the stock, but the purchase should deliver long-term benefits for shareholders. The U.S. market is massive and the Bank of Montreal has successfully grown the U.S. business through acquisitions over the past 40 years.
西部銀行的收購一直是股票的阻礙，但這次收購應該爲股東帶來長期利益。美國市場規模巨大，蒙特利爾銀行通過在過去40年的收購中成功地發展了美國業務。
Time to buy?
買入時機？
Near-term volatility should be expected. Markets are close to all-time highs and the sharp bounce in bank stocks in recent weeks warrants some caution. That being said, BMO should still be a solid pick at this level for a buy-and-hold portfolio. Investors might want to take a half position and look to add to the holding on any new weakness. With a 5% yield, you get paid well to ride out additional turbulence.
短期波動性應該會有所預期。市場接近歷史高位，最近幾周銀行股的急劇反彈需要一些謹慎。話雖如此，在這個水平上，BMO仍然是一個適合買入和持有投資組合的不錯選擇。投資者可能希望建立一半倉位，並在出現任何新的疲軟時考慮增持。以5%的收益率，您可以獲得相當不錯的回報來度過額外的波動。
譯文內容由第三人軟體翻譯。
