
BMO Stock Forecast & Price Target
BMO Analyst Ratings
Bulls say
Bank of Montreal demonstrated solid financial performance, with core lending net interest margin (NIM) increasing to 1.85% quarter-over-quarter and notable improvements in Canadian personal and commercial banking NIM reaching 2.84%. The bank's capital optimization strategy is progressing well, supported by a robust excess capital position that allows for potential share buybacks of approximately 4%. Additionally, BMO is projected to experience strong earnings per share (EPS) growth of 14% in fiscal 2026 and 10% in fiscal 2027, driven by early improvements in commercial lending and overall business resilience.
Bears say
The Bank of Montreal's net interest margin (NIM) in personal and commercial banking remained stagnant at 3.90%, indicating challenges in margin improvement despite overall asset growth. Additionally, the total provision for credit losses (PCLs) was reported at $797 million, underperforming both internal and consensus estimates, reflecting potential weaknesses in credit quality or loan performance. While the bank reported a year-over-year core cash earnings per share (EPS) increase of 22%, the lackluster NIM and disappointing PCL figures raise concerns about the sustainability of this earnings growth amid evolving economic conditions.
This aggregate rating is based on analysts' research of Bank of Montreal and is not a guaranteed prediction by Public.com or investment advice.
BMO Analyst Forecast & Price Prediction
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