Major banks in Canada are releasing their latest financial results this week and so far, they have beaten analysts’ estimations. Before opening bell on Friday, May 28, National Bank of Canada (TSX:NA) and Canadian Western Bank (TSX:CWB) posted their earnings reports for the second quarter fiscal 2021, reflecting robust results.
The National Bank of Canada reported a whopping 111 per cent year-over-year (YoY) jump in its net income of C$ 801 million. The Canadian Western Bank, on the other hand, posted a bottom line of C$ 72 million, reflecting a jump of 40 per cent YoY.
Let's through National Bank and Canadian Western’s latest stock returns and financials.
National Bank of Canada (TSX:NA)
Stocks of Nation Bank of Canada were trading at C$ 94.44 on Friday morning (10:30AM EST), after registering a fresh 52-week high of C$ 96.97 a day before its earnings report release on Thursday.
In the past three months, the bank stock gained 18 per cent to beat the S&P TSX Diversified Banks Index in comparison.
Recording a significant jump, NA scrip swelled by 53.3 per cent in the past one year. Its year-to-date (YTD) growth presently stands at 32 per cent.
1-year chart of stock performance, volume and moving average exponential of National Bank Of Canada (Source: Refinitiv)
National Bank will continue paying a quarterly dividend of C$ 0.71 apiece in Q3 FY21. Its current dividend yield is 2.9 per cent.
On the financial front, the bank’s total revenues increased by 10 per cent YoY to C$ 2,238 million in Q2 FY21, while its diluted earnings per share increased by 123 per cent YoY to C$ 2.25.
Canadian Western Bank (TSX:CWB)
Canadian Western Bank offers diversified financial services and holds a market cap of C$ 3.2 billion, as per data from TMX. Its price-to-earnings ratio is 12.6 and it offers a 9.6 per cent return on equity.
1-year chart of stock performance, volume and moving average exponential of Canadian Western Bank (Source: Refinitiv)
Ahead of the release of its latest earnings report, CWB shares climbed to a new 52-week high of C$ 37.29 on Thursday. At the time of writing this (10:30AM EST), the stock was trading at C$ 36.55 apiece.
In the past year, CWB stock soared by 56 per cent. It climbed about nine per cent over the last 30 days.
Canadian Western Bank's total revenues were up by 15 per cent YoY to C$ 247.1 million in the latest quarter.
The above constitutes a preliminary view and any interest in stocks should be evaluated further from investment point of view.