Author Topic: BMO - Bank of Montreal  (Read 7125 times)

biaggio

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Re: BMO - Bank of Montreal
« Reply #10 on: January 09, 2011, 06:58:17 PM »
Sharper I am very much a student + don t mind learning.

"A very basic read through the financials would tell you that BMO & CIBC are primarily trading banks with deposit taking offsetting some of their risk. TD, RBC & BNS are primarily deposit taking banks that also do trading. Compare apples to apples."

I was just looking at the annual reports, comparing RY + BMO

http://www.bmo.com/ar2010/downloads/bmo_ar10_mda_perfreview.pdf
http://www.rbc.com/investorrelations/pdf/cfs_09_e.pdf

They both seem to have more net interest income that trading profits...if anything BMO seems to have more net interest income relative to trading profit. I am not sure what you mean. Mind you I have not had a chance to read the annual reports of BMO's competitors...perhaps that is the way it has always been (or maybe I am not looking at it right)

I


Viking

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Re: BMO - Bank of Montreal
« Reply #11 on: February 02, 2011, 10:15:37 AM »
BMO CEO presented at the Morgan Stanley Financials Conference today. Quick overview of bank and good detail on M&I aquisition with Q&A at end of presentation.

www.corporate-ir.net/ireye/confLobby.zhtml?ticker=BMO.TO&item_id=3645830
I think BMO thinks it purchased BMO at the bottom of the cycle with significant business upside.

In the short term, given they made the purchase with shares, the buzz is BMO shares will trade sideways as many US investors (who now have M&I shares) will not want BMO shares and this will flood the market with share sales in the near term. So BMO may be 'dead money' for the next 6 to 12 months. Whatever. I will be happy to collect my 5% dividend yield as the bank builds value and at some point we will get a nice pop in the share price as Mr. Market figures out the bank is growing earnings at +12% per year.

biaggio

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Re: BMO - Bank of Montreal
« Reply #12 on: February 02, 2011, 11:18:28 AM »
Viking, I have been thinking of purchasing. Do you have your full allotment. I am thinking of averaging in during the next 6-12 months (during this side way market). What do you think?

Viking

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Re: BMO - Bank of Montreal
« Reply #13 on: February 03, 2011, 08:43:23 AM »
Biaggio, BMO is about 10% of my portfolio. Regarding the large weighting, I am holding BMO in place of holding a bond (given its 5% dividend yield) - and yes, I am CAN.  Should the stock price fall materially (>10%) then I likely would look to add. I also hold ABT and SJR.B as bond type holdings.

With the above holdings I will be happy with 10% total return (div + capital apprec). I see BMO with the largest return potential (looking out a few years), with ABT #2 and SJR #3.

biaggio

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Re: BMO - Bank of Montreal
« Reply #14 on: February 03, 2011, 09:15:48 AM »
Thanks Viking.


biaggio

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Re: BMO - Bank of Montreal
« Reply #15 on: March 23, 2011, 04:42:30 AM »
http://business.financialpost.com/2011/03/22/bmo-chief-targets-major-hike-in-us-profits/

"Bank of Montreal is aiming to generate profits of $1-billion at its U.S. operation, or more than five times what it made last year, said Bill Downe, the chief executive"

biaggio

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Re: BMO - Bank of Montreal
« Reply #16 on: May 25, 2011, 04:28:22 AM »
http://finance.yahoo.com/news/BMO-Financial-Group-Reports-iw-1564023012.html?x=0&.v=1

BMO Financial Group Reports Good Second Quarter Results, Earning $800 Million of Net Income