Scotiabank (BNS, $73.26) beats fiscal Q1 earnings expectations
The Bank of Nova Scotia (operating under the name Scotiabank ) reported its first quarter 2022 earnings that surpassed analysts’ expectations.
The banking behemoth’s adjusted earnings came in at C$2.15 a share in the quarter, beating analysts’ expectations of $2.05. The figure is also higher than year-ago quarter’s $1.88.
The Canadian banking segment adjusted earnings climbed +32% year-over-year, to C$1.2 billion, on the back of solid loan and mortgage growth.
International banking business experienced a +38% growth in its adjusted earnings to C$552 million, on strong demand for mortgage and commercial loans growth.
The global wealth management and global banking and markets division’s earnings grew from the year-ago quarter to C$419 million and $561 million, respectively.
BNS in downward trend: price dove below 50-day moving average on May 23, 2023
BNS moved below its 50-day moving average on May 23, 2023 date and that indicates a change from an upward trend to a downward trend. In of 38 similar past instances, the stock price decreased further within the following month. The odds of a continued downward trend are .
Technical Analysis (Indicators)
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 Momentum Indicator moved below the 0 level on May 19, 2023. You may want to consider selling the stock, shorting the stock, or exploring put options on BNS as a result. In of 71 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for BNS turned negative on May 24, 2023. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 39 similar instances when the indicator turned negative. In of the 39 cases the stock turned lower in the days that followed. This puts the odds of success at .
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.
Bullish Trend Analysis
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where BNS advanced for three days, in of 329 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.
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 (1.150) is normal, around the industry mean (0.923). P/E Ratio (9.814) is within average values for comparable stocks, (17.405). Projected Growth (PEG Ratio) (3.174) is also within normal values, averaging (3.201). Dividend Yield (0.063) settles around the average of (0.057) among similar stocks. P/S Ratio (2.543) is also within normal values, averaging (2.306).
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 84, 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.
