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How to buy Bank of Montreal stock | $59.49
Own Bank of Montreal stock in just a few minutes.
Bank of Montreal is a banks—diversified business based in the US. Bank of Montreal shares (BMO) are listed on the NYSE and all prices are listed in US Dollars. Bank of Montreal employs 45,513 staff and has a market cap (total outstanding shares value) of USD$38 billion.
How to buy shares in Bank of Montreal
- Compare share trading platforms. If you're a beginner, look for a platform with low commissions, expert ratings and investment tools to track your portfolio. Narrow down top brands with our comparison table.
- Open and fund your brokerage account. Complete an application with your personal and financial details, like your ID and bank information. Fund your account with a bank transfer, credit card or debit card.
- Search for Bank of Montreal Find the stock by name or ticker symbol: BMO. Research its history to confirm it's a solid investment against your financial goals.
- Purchase now or later. Buy today with a market order or use a limit order to delay your purchase until Bank of Montreal reaches your desired price. To spread out your purchase, look into dollar-cost averaging, which smooths out buying at consistent intervals and amounts.
- Decide on how many to buy. At last close price of USD$59.49, weigh your budget against a diversified portfolio that can minimize risk through the market's ups and downs. You may be able to buy a fractional share of Bank of Montreal, depending on your broker.
- Check in on your investment. Congratulations, you own a part of Bank of Montreal. Optimize your portfolio by tracking how your stock — and even the business — performs with an eye on the long term. You may be eligible for dividends and shareholder voting rights on directors and management that can affect your stock.
What's in this guide?
- BMO shares summary
- Compare share dealing platforms
- Is BMO stock a buy or sell?
- Stock performance over time
- Can I short BMO shares?
- Is BMO suitable for ethical investing?
- Are BMO shares over-valued?
- Bank of Montreal's financials
- How volatile are BMO shares?
- Does Bank of Montreal pay a dividend?
- Have BMO shares ever split?
- Other common questions
Bank of Montreal share price
Use our graph to track the performance of BMO stocks over time.Bank of Montreal shares at a glance
Information last updated 2020-09-21.
| Latest market close | USD$59.49 |
|---|---|
| 52-week range | USD$38.31 - USD$79.93 |
| 50-day moving average | USD$59.865 |
| 200-day moving average | USD$53.4372 |
| Wall St. target price | USD$85.95 |
| PE ratio | 11.6512 |
| Dividend yield | USD$3.21 (5.28%) |
| Earnings per share (TTM) | USD$6.142 |
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Is it a good time to buy Bank of Montreal stock?
The technical analysis gauge below displays real-time ratings for the timeframes you select. This is not a recommendation, however. It represents a technical analysis based on the most popular technical indicators: Moving Averages, Oscillators and Pivots. Finder might not concur and takes no responsibility.
This chart is not advice or a guarantee of success. Rather, it gauges the real-time recommendations of three popular technical indicators: moving averages, oscillators and pivots. Finder is not responsible for how your stock performs.
Bank of Montreal price performance over time
Historical closes compared with the last close of $59.49
| 1 week (2020-09-11) | N/A |
|---|---|
| 1 month (2020-08-18) | N/A |
| 3 months (2020-06-18) | N/A |
| 6 months (2020-03-18) | N/A |
| 1 year (2019-09-18) | N/A |
|---|---|
| 2 years (2018-09-18) | N/A |
| 3 years (2017-09-18) | N/A |
| 5 years (2015-09-18) | N/A |
Is Bank of Montreal under- or over-valued?
Valuing Bank of Montreal stock is incredibly difficult, and any metric has to be viewed as part of a bigger picture of Bank of Montreal's overall performance. However, analysts commonly use some key metrics to help gauge the value of a stock.
Bank of Montreal's P/E ratio
Bank of Montreal's current share price divided by its per-share earnings (EPS) over a 12-month period gives a "trailing price/earnings ratio" of roughly 12x. In other words, Bank of Montreal shares trade at around 12x recent earnings.
That's relatively low compared to, say, the trailing 12-month P/E ratio for the NASDAQ 100 at the end of 2019 (27.29). The low P/E ratio could mean that investors are pessimistic about the outlook for the shares or simply that they're under-valued.
Bank of Montreal's PEG ratio
Bank of Montreal's "price/earnings-to-growth ratio" can be calculated by dividing its P/E ratio by its growth – to give 3.5. A low ratio can be interpreted as meaning the shares offer better value, while a higher ratio can be interpreted as meaning the shares offer worse value.
The PEG ratio provides a broader view than just the P/E ratio, as it gives more insight into Bank of Montreal's future profitability. By accounting for growth, it could also help you if you're comparing the share prices of multiple high-growth companies.
Bank of Montreal financials
| Gross profit TTM | USD$24.6 billion |
|---|---|
| Return on assets TTM | 0.52% |
| Return on equity TTM | 8.95% |
| Profit margin | 20.91% |
| Book value | $48.663 |
| Market capitalisation | USD$38 billion |
TTM: trailing 12 months
Shorting Bank of Montreal shares
There are currently 5.8 million Bank of Montreal shares held short by investors – that's known as Bank of Montreal's "short interest". This figure is 23.1% down from 7.5 million last month.
There are a few different ways that this level of interest in shorting Bank of Montreal shares can be evaluated.
Bank of Montreal's "short interest ratio" (SIR)
Bank of Montreal's "short interest ratio" (SIR) is the quantity of Bank of Montreal shares currently shorted divided by the average quantity of Bank of Montreal shares traded daily (recently around 646630.79507279). Bank of Montreal's SIR currently stands at 8.93. In other words for every 100,000 Bank of Montreal shares traded daily on the market, roughly 8930 shares are currently held short.
However Bank of Montreal's short interest can also be evaluated against the total number of Bank of Montreal shares, or, against the total number of tradable Bank of Montreal shares (the shares that aren't held by "insiders" or major long-term shareholders – also known as the "float"). In this case Bank of Montreal's short interest could be expressed as 0.01% of the outstanding shares (for every 100,000 Bank of Montreal shares in existence, roughly 10 shares are currently held short) or 0% of the tradable shares (for every 100,000 tradable Bank of Montreal shares, roughly 0 shares are currently held short).
A SIR below 10% would generally be considered to indicate a fairly optimistic outlook for the share price, with fewer people currently willing to bet against Bank of Montreal.
Find out more about how you can short Bank of Montreal stock.
Bank of Montreal's environmental, social and governance track record
Environmental, social and governance (known as ESG) criteria are a set of three factors used to measure the sustainability and social impact of companies like Bank of Montreal.
When it comes to ESG scores, lower is better, and lower scores are generally associated with lower risk for would-be investors.
Bank of Montreal's total ESG risk score
Total ESG risk: 19.55
Socially conscious investors use ESG scores to screen how an investment aligns with their worldview, and Bank of Montreal's overall score of 19.55 (as at 08/01/2020) is pretty good – landing it in it in the 26th percentile of companies rated in the same sector.
ESG scores are increasingly used to estimate the level of risk a company like Bank of Montreal is exposed to within the areas of "environmental" (carbon footprint, resource use etc.), "social" (health and safety, human rights etc.), and "governance" (anti-corruption, tax transparency etc.).
Bank of Montreal's environmental score
Environmental score: 0.55/100
Bank of Montreal's social score
Social score: 8.36/100
Bank of Montreal's governance score
Governance score: 7.23/100
Bank of Montreal's controversy score
Controversy score: 2/5
ESG scores also evaluate any incidences of controversy that a company has been involved in. Bank of Montreal scored a 2 out of 5 for controversy – the second-highest score possible, reflecting that Bank of Montreal has, for the most part, managed to keep its nose clean.
Environmental, social, and governance (ESG) summary
Bank of Montreal was last rated for ESG on: 2020-08-01.
| Total ESG score | 19.55 |
|---|---|
| Total ESG percentile | 26.25 |
| Environmental score | 0.55 |
| Social score | 8.36 |
| Governance score | 7.23 |
| Level of controversy | 2 |
Bank of Montreal share dividends
Dividend payout ratio: 60.49% of net profits
Recently Bank of Montreal has paid out, on average, around 60.49% of net profits as dividends. That has enabled analysts to estimate a "forward annual dividend yield" of 5.28% of the current stock value. This means that over a year, based on recent payouts (which are sadly no guarantee of future payouts), Bank of Montreal shareholders could enjoy a 5.28% return on their shares, in the form of dividend payments. In Bank of Montreal's case, that would currently equate to about $3.21 per share.
Bank of Montreal's payout ratio would broadly be considered high, and as such this stock could appeal to those looking to generate an income. Bear in mind however that companies should normally also look to re-invest a decent amount of net profits to ensure future growth.
Bank of Montreal's most recent dividend payout was on 26 November 2020. The latest dividend was paid out to all shareholders who bought their shares by 30 October 2020 (the "ex-dividend date").
Have Bank of Montreal's shares ever split?
Bank of Montreal's shares were split on a 2:1 basis on 15 March 2001. So if you had owned 1 share the day before before the split, the next day you'd have owned 2 shares. This wouldn't directly have changed the overall worth of your Bank of Montreal shares – just the quantity. However, indirectly, the new 50% lower share price could have impacted the market appetite for Bank of Montreal shares which in turn could have impacted Bank of Montreal's share price.
Bank of Montreal share price volatility
Over the last 12 months, Bank of Montreal's shares have ranged in value from as little as $38.31 up to $79.93. A popular way to gauge a stock's volatility is its "beta".
Beta is a measure of a share's volatility in relation to the market. The market (NYSE average) beta is 1, while Bank of Montreal's is 1.0254. This would suggest that Bank of Montreal's shares are a little bit more volatile than the average for this exchange and represent, relatively-speaking, a slightly higher risk (but potentially also market-beating returns).
Bank of Montreal overview
Bank of Montreal provides diversified financial services primarily in North America. It operates through three groups: Personal and Commercial Banking, BMO Wealth Management, and BMO Capital Markets. The company's personal banking products and services include checking and savings accounts, credit cards, mortgages, and financial and investment advice services; and commercial banking products and services comprise business deposit accounts, commercial credit cards, business loans and commercial mortgages, cash management solutions, foreign exchange, and specialized banking programs for small business and commercial banking customers. It also offers wealth management products and services, such as investment and wealth advisory services; digital investing services; financial services and solutions to high net worth and ultra-high net worth clients; and investment management, and trust and custody services to institutional, retail, and high net worth investors. In addition, the company provides life insurance, accident and sickness insurance, and annuity products to brokers and individuals; creditor and travel insurance to bank customers; and reinsurance solutions. Further, it offers investment and corporate banking services, including client's debt and equity capital-raising services, as well as loan origination and syndication, balance sheet management, and treasury management; strategic advice on mergers and acquisitions, restructurings, and recapitalizations, as well as valuation and fairness opinions; and trade finance, risk mitigation, and other operating services. Additionally, the company provides research and access to markets for institutional, corporate, and retail clients; new product development and origination services, as well as risk management advice and services to hedge against fluctuations; and funding and liquidity management services to its clients. The company was founded in 1817 and is headquartered in Montreal, Canada.
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