UPDATE: Stifel Nicolaus Initiates Bank of Nova Scotia at Hold; Valuation Full

Stifel Nicolaus initiated coverage on Bank of Nova Scotia BNS with a Hold rating given the challenging macro environment surrounding the company. Stifel Nicolaus noted, "Our Hold rating is largely based on the combination of:1) the decelerating growth in the company's emerging market footprint, 2) the tepid economic conditions within Canada, 3) the potential for modestly negative consensus EPS estimate revisions due to slowing balance sheet growth, and 4) the shares' premium valuation of nearly 11.0x our 2013 EPS estimate." Bank of Nova Scotia closed at $53.34 on Monday.