Market Overview

UPDATE: Citigroup Initiates Bank of Nova Scotia at Neutral

Related BNS
Scotiabank To Buy BBVA Chile, Deepen Reach In Latin America
Earnings Scheduled For November 28, 2017

Citigroup initiated coverage on Bank of Nova Scotia (NYSE: BNS) with a Neutral rating.

Citigroup noted, "[T]he bank only ranks among the Top 5-10 banks in each country, the only exception being Peru (#3). Because of the disparate strategies in each country and the subscale nature of its businesses, International Banking ROEs have been in the 10-15% range over the past four years. While we expect cost optimisation and some margin recovery to help earnings in the segment, we also forecast a commensurate increase in required capital. Thus, ROEs are likely stay in the 10-15% range over the forecast horizon. We do not believe management will engage in an “asset optimisation” strategy in the medium term as current focus is on growth."

Bank of Nova Scotia closed at $55.91 on Monday.

Latest Ratings for BNS

May 2017BarclaysUpgradesEqual-WeightOverweight
Nov 2016Credit SuisseAssumesNeutral
Nov 2016Bank of AmericaInitiates Coverage OnBuy

View More Analyst Ratings for BNS
View the Latest Analyst Ratings

Posted-In: CitigroupAnalyst Color Initiation Intraday Update Analyst Ratings


Related Articles (BNS)

View Comments and Join the Discussion!