Canada Pension Plan Investment Board Invests $1.02 Billion in Bank of Nova Scotia (The) $BNS

Canada Pension Plan Investment Board bought a new stake in Bank of Nova Scotia (The) (NYSE:BNS) (TSE:BNS) during the 2nd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund bought 11,709,540 shares of the bank’s stock, valued at approximately $1,016,738,000. Canada Pension Plan Investment Board owned approximately 0.96% of Bank of Nova Scotia as of its most recent SEC filing.

Other institutional investors and hedge funds have also made changes to their positions in the company. Legal & General Group Plc purchased a new position in Bank of Nova Scotia during the second quarter worth about $709,837,000. The Manufacturers Life Insurance Company purchased a new stake in Bank of Nova Scotia in the 2nd quarter valued at approximately $416,397,000. Jones Financial Companies Lllp purchased a new stake in Bank of Nova Scotia in the 2nd quarter valued at approximately $61,000. Portland Investment Counsel Inc. acquired a new position in Bank of Nova Scotia during the 2nd quarter worth approximately $3,286,000. Finally, OMERS ADMINISTRATION Corp acquired a new position in Bank of Nova Scotia during the 2nd quarter worth approximately $142,985,000. 49.13% of the stock is currently owned by institutional investors and hedge funds.

Bank of Nova Scotia Trading Up 7.3%

Shares of Bank of Nova Scotia stock opened at $93.16 on Wednesday. The company has a 50-day moving average of $87.77 and a two-hundred day moving average of $79.82. Bank of Nova Scotia has a 12-month low of $58.77 and a 12-month high of $93.44. The company has a current ratio of 1.04, a quick ratio of 1.04 and a debt-to-equity ratio of 0.69. The stock has a market cap of $113.55 billion, a PE ratio of 17.78, a price-to-earnings-growth ratio of 1.07 and a beta of 1.11.

Bank of Nova Scotia (NYSE:BNS) (TSE:BNS) last announced its quarterly earnings results on Wednesday, May 27th. The bank reported $1.47 EPS for the quarter, topping the consensus estimate of $1.42 by $0.05. The business had revenue of $7.24 billion for the quarter, compared to analyst estimates of $7.13 billion. Bank of Nova Scotia had a return on equity of 13.16% and a net margin of 13.38%.The company’s quarterly revenue was up 8.3% on a year-over-year basis. During the same quarter in the previous year, the company earned $1.52 EPS. On average, research analysts anticipate that Bank of Nova Scotia will post 6.03 EPS for the current fiscal year.

Bank of Nova Scotia Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 28th. Investors of record on Tuesday, October 6th will be issued a dividend of $1.14 per share. The ex-dividend date of this dividend is Tuesday, October 6th. This represents a $4.56 annualized dividend and a yield of 4.9%. Bank of Nova Scotia’s payout ratio is currently 61.26%.

Analyst Upgrades and Downgrades

Several analysts have recently commented on BNS shares. TD Securities raised Bank of Nova Scotia from a “hold” rating to a “buy” rating in a report on Tuesday. Weiss Ratings cut Bank of Nova Scotia from a “buy (a-)” rating to a “buy (b+)” rating in a research report on Tuesday, August 18th. Keefe, Bruyette & Woods started coverage on Bank of Nova Scotia in a report on Friday, August 21st. They issued an “outperform” rating for the company. Finally, Royal Bank Of Canada boosted their target price on shares of Bank of Nova Scotia from $98.00 to $117.00 and gave the stock a “sector perform” rating in a research report on Thursday, May 28th. Four analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $117.00.

Key Bank of Nova Scotia News

Here are the key news stories impacting Bank of Nova Scotia this week:

• Positive Sentiment: Quarterly earnings exceeded expectations. BNS reported quarterly EPS of $1.64, ahead of the $1.53 consensus estimate, while revenue increased 11.1% year over year. On an adjusted basis, EPS was reported at $2.28 versus expectations of approximately $2.10. BNS earnings report
• Positive Sentiment: Strength was broad-based across the business. Record results in global wealth management and global banking and markets, helped by elevated market volatility and stronger capital-markets activity, drove profit above analyst estimates. Reported quarterly profit rose to C$2.95 billion from C$2.53 billion a year earlier. Scotiabank earnings lifted by wealth management
• Positive Sentiment: Analyst sentiment improved. TD Securities upgraded Bank of Nova Scotia from “hold” to “buy,” adding support to the bullish reaction following the earnings release.
• Positive Sentiment: Trade-war concerns have not yet materially damaged results. Reports indicated that new U.S. tariffs affecting some bank customers have not significantly harmed BNS or other Canadian lenders. Management may also find opportunities as businesses adjust to changing trade conditions. Canadian banks beat earnings targets as trade war escalates
• Positive Sentiment: Dividend income remains attractive. BNS declared a quarterly dividend of $1.14 per share, representing an annualized yield of approximately 4.9% based on the reported share price. The dividend is payable October 28 to shareholders of record October 6.
• Neutral Sentiment: BNS also launched a no-fee Visa business credit card offering 1% cash back, a potentially useful customer-acquisition initiative but unlikely to be a major near-term stock catalyst. Scotiabank launches no-fee Visa card

Bank of Nova Scotia Company Profile

Bank of Nova Scotia, commonly known as Scotiabank, is a Canadian multinational banking and financial services company founded in 1832 and headquartered in Toronto, Ontario. It is one of Canada’s largest banks and provides a broad range of financial services to retail, commercial, corporate and institutional clients. The bank combines a domestic Canadian franchise with an extensive international presence to serve customers across multiple markets.

Scotiabank’s core activities include personal and commercial banking, wealth management, corporate and investment banking, capital markets, and global transaction banking.