Bank of Nova Scotia (BNS, $65.35) beats Q2 earnings expectations
Bank of Nova Scotia beat second-quarter earnings expectations, but projected higher expenses and loan-loss provisions and slower mortgage growth, amidst rising inflation and interest rates.
Scotiabank’s adjusted earnings came in at C$2.18 per share, handily topping expectations of C$1.96.
Canada’s third-biggest lender experienced more than 20% year-over-year increase in their Canadian businesses on the back of mortgages and commercial lending recovery. Its international business earnings surged +43% as provision for credit losses fell and margins increased.
BNS's MACD Histogram crosses above signal line
The Moving Average Convergence Divergence (MACD) for BNS turned positive on June 02, 2023. Looking at past instances where BNS's MACD turned positive, the stock continued to rise in of 39 cases over the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on June 02, 2023. You may want to consider a long position or call options on BNS as a result. In of 72 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
BNS moved above its 50-day moving average on June 02, 2023 date and that indicates a change from a downward trend to an upward trend.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where BNS advanced for three days, in of 331 cases, the price rose further within the following month. The odds of a continued upward trend are .
BNS may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Bearish Trend Analysis
The Stochastic Oscillator may be shifting from an upward trend to a downward trend. In of 52 cases where BNS's Stochastic Oscillator exited the overbought zone, the price fell further within the following month. The odds of a continued downward trend are .
The 10-day moving average for BNS crossed bearishly below the 50-day moving average on May 22, 2023. This indicates that the trend has shifted lower and could be considered a sell signal. In of 19 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where BNS declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Aroon Indicator for BNS entered a downward trend on May 26, 2023. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Fundamental Analysis (Ratings)
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to consistent earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. BNS’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (1.170) is normal, around the industry mean (0.939). P/E Ratio (9.980) is within average values for comparable stocks, (17.536). Projected Growth (PEG Ratio) (3.174) is also within normal values, averaging (3.223). Dividend Yield (0.062) settles around the average of (0.056) among similar stocks. P/S Ratio (2.586) is also within normal values, averaging (2.344).
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. BNS’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 81, placing this stock worse than average.
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Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
General Information
a major bank
Industry MajorBanks
BNS and
Correlation & Price change
A.I.dvisor indicates that over the last year, BNS has been closely correlated with BMO. These tickers have moved in lockstep 80% of the time. This A.I.-generated data suggests there is a high statistical probability that if BNS jumps, then BMO could also see price increases.
