Bank of Montreal (BMO)
Market Price (7/8/2026): $179.66 | Market Cap: $127.3 BilSector: Financials | Industry: Diversified Banks
Bank of Montreal (BMO)
Market Price (7/8/2026): $179.66Market Cap: $127.3 BilSector: FinancialsIndustry: Diversified Banks
Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.
Attractive yieldTotal YieldTotal Yield = Earnings Yield + Dividend Yield, Earnings Yield = Net Income / Market Cap Dividend Yield = Total Dividends / Market Cap is 7.2%, ERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is 3.4% Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 20%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 15%, CFO LTM is 7.2 Bil, FCF LTM is 5.4 Bil Stock buyback supportStock Buyback 3Y Total is 7.5 Bil Low stock price volatilityVol 12M is 19% Capital ratio is >2x the minimum of 6%Tier 1 Capital / Risk Wtd Assets RatioTier 1 Capital / Risk-Weighted Assets is a common measure of financial strength for a bank. It reflects how much equity there is relative to assets where assets are weighted based on riskiness. Low ratios indicate the bank is highly vulnerable to even small changes in the value of their risk assets. is 15% Megatrend and thematic driversMegatrends include Fintech & Digital Payments, AI in Financial Services, and Sustainable Finance. Themes include Digital Payments, Show more. | Trading close to highsDist 52W High is 0.0%, Dist 3Y High is 0.0% | Debt is significantNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is 74% Key risksBMO key risks include [1] deteriorating credit quality and defaults within its U.S. Show more. |
| Attractive yieldTotal YieldTotal Yield = Earnings Yield + Dividend Yield, Earnings Yield = Net Income / Market Cap Dividend Yield = Total Dividends / Market Cap is 7.2%, ERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is 3.4% |
| Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 20%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 15%, CFO LTM is 7.2 Bil, FCF LTM is 5.4 Bil |
| Stock buyback supportStock Buyback 3Y Total is 7.5 Bil |
| Low stock price volatilityVol 12M is 19% |
| Capital ratio is >2x the minimum of 6%Tier 1 Capital / Risk Wtd Assets RatioTier 1 Capital / Risk-Weighted Assets is a common measure of financial strength for a bank. It reflects how much equity there is relative to assets where assets are weighted based on riskiness. Low ratios indicate the bank is highly vulnerable to even small changes in the value of their risk assets. is 15% |
| Megatrend and thematic driversMegatrends include Fintech & Digital Payments, AI in Financial Services, and Sustainable Finance. Themes include Digital Payments, Show more. |
| Trading close to highsDist 52W High is 0.0%, Dist 3Y High is 0.0% |
| Debt is significantNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is 74% |
| Key risksBMO key risks include [1] deteriorating credit quality and defaults within its U.S. Show more. |
Qualitative Assessment
AI Analysis | Feedback
Bank of Montreal (BMO) stock has gained about 35% since 3/31/2026 because of the following key factors:
1. Strong Fiscal Q2 2026 Financial Performance: Bank of Montreal (BMO) reported robust financial results for its fiscal second quarter ended April 30, 2026. The bank achieved adjusted earnings per share (EPS) of $3.67, marking a 40% increase from the adjusted EPS of $2.62 in the prior year. Quarterly revenue also saw significant growth, rising 10.2% year-over-year to $7.04 billion, surpassing the consensus estimate of $6.98 billion. This strong outperformance was further bolstered by a decrease in the provision for credit losses (PCL) to $739 million, a notable reduction from $1,054 million in the previous year.
2. Robust Performance Across Key Business Segments: The positive earnings were driven by strong fee revenue generated across BMO's Capital Markets, Wealth Management, and Treasury and Payments segments, coupled with solid sequential commercial banking loan growth. Notably, the Wealth and Asset Management segment reported an adjusted net income of $358 million, representing a 37% increase, primarily due to stronger global markets, net sales, and the strategic inclusion of Burgundy Asset Management.
Show more
Bank of Montreal (BMO) stock has gained about 35% since 3/31/2026 because of the following key factors:
1. Strong Fiscal Q2 2026 Financial Performance: Bank of Montreal (BMO) reported robust financial results for its fiscal second quarter ended April 30, 2026. The bank achieved adjusted earnings per share (EPS) of $3.67, marking a 40% increase from the adjusted EPS of $2.62 in the prior year. Quarterly revenue also saw significant growth, rising 10.2% year-over-year to $7.04 billion, surpassing the consensus estimate of $6.98 billion. This strong outperformance was further bolstered by a decrease in the provision for credit losses (PCL) to $739 million, a notable reduction from $1,054 million in the previous year.
2. Robust Performance Across Key Business Segments: The positive earnings were driven by strong fee revenue generated across BMO's Capital Markets, Wealth Management, and Treasury and Payments segments, coupled with solid sequential commercial banking loan growth. Notably, the Wealth and Asset Management segment reported an adjusted net income of $358 million, representing a 37% increase, primarily due to stronger global markets, net sales, and the strategic inclusion of Burgundy Asset Management.
3. Increased Shareholder Returns: Demonstrating confidence in its financial health and future outlook, BMO declared a quarterly dividend of $1.71 per common share. This represented an increase of $0.08, or 5%, from the prior year and $0.04, or 2%, from the previous quarter, enhancing shareholder value.
4. Strategic Business Optimization: BMO entered into a definitive agreement for the sale of its Transportation Finance and Vendor Finance businesses to Stonepeak on May 27, 2026. As part of this transaction, BMO will retain an approximate 19.9% equity interest in the new entity. This strategic divestiture indicates a move towards optimizing its business portfolio and focusing on core operations.
Show less
Stock Movement Drivers
Fundamental Drivers
The 32.8% change in BMO stock from 3/31/2026 to 7/7/2026 was primarily driven by a 32.8% change in the company's P/E Multiple.| (LTM values as of) | 3312026 | 7072026 | Change |
|---|---|---|---|
| Stock Price ($) | 134.25 | 178.25 | 32.8% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 36,681 | 36,681 | 0.0% |
| Net Income Margin (%) | 24.7% | 24.7% | 0.0% |
| P/E Multiple | 10.5 | 13.9 | 32.8% |
| Shares Outstanding (Mil) | 708 | 708 | 0.0% |
| Cumulative Contribution | 32.8% |
Market Drivers
3/31/2026 to 7/7/2026| Return | Correlation | |
|---|---|---|
| BMO | 32.8% | |
| Market (SPY) | 15.0% | 47.9% |
| Sector (XLF) | 13.5% | 40.8% |
Fundamental Drivers
The 39.7% change in BMO stock from 12/31/2025 to 7/7/2026 was primarily driven by a 33.3% change in the company's P/E Multiple.| (LTM values as of) | 12312025 | 7072026 | Change |
|---|---|---|---|
| Stock Price ($) | 127.63 | 178.25 | 39.7% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 36,099 | 36,681 | 1.6% |
| Net Income Margin (%) | 24.1% | 24.7% | 2.4% |
| P/E Multiple | 10.5 | 13.9 | 33.3% |
| Shares Outstanding (Mil) | 713 | 708 | 0.7% |
| Cumulative Contribution | 39.7% |
Market Drivers
12/31/2025 to 7/7/2026| Return | Correlation | |
|---|---|---|
| BMO | 39.7% | |
| Market (SPY) | 9.9% | 59.5% |
| Sector (XLF) | 2.9% | 55.5% |
Fundamental Drivers
The 67.1% change in BMO stock from 6/30/2025 to 7/7/2026 was primarily driven by a 48.7% change in the company's P/E Multiple.| (LTM values as of) | 6302025 | 7072026 | Change |
|---|---|---|---|
| Stock Price ($) | 106.65 | 178.25 | 67.1% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 34,370 | 36,681 | 6.7% |
| Net Income Margin (%) | 24.0% | 24.7% | 2.8% |
| P/E Multiple | 9.4 | 13.9 | 48.7% |
| Shares Outstanding (Mil) | 725 | 708 | 2.4% |
| Cumulative Contribution | 67.1% |
Market Drivers
6/30/2025 to 7/7/2026| Return | Correlation | |
|---|---|---|
| BMO | 67.1% | |
| Market (SPY) | 22.0% | 56.6% |
| Sector (XLF) | 8.3% | 53.8% |
Fundamental Drivers
The 125.7% change in BMO stock from 6/30/2023 to 7/7/2026 was primarily driven by a 73.7% change in the company's P/E Multiple.| (LTM values as of) | 6302023 | 7072026 | Change |
|---|---|---|---|
| Stock Price ($) | 78.97 | 178.25 | 125.7% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 28,207 | 36,681 | 30.0% |
| Net Income Margin (%) | 24.8% | 24.7% | -0.5% |
| P/E Multiple | 8.0 | 13.9 | 73.7% |
| Shares Outstanding (Mil) | 712 | 708 | 0.5% |
| Cumulative Contribution | 125.7% |
Market Drivers
6/30/2023 to 7/7/2026| Return | Correlation | |
|---|---|---|
| BMO | 125.7% | |
| Market (SPY) | 74.6% | 55.2% |
| Sector (XLF) | 73.7% | 57.9% |
Price Returns Compared
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| BMO Return | 47% | -12% | 15% | 3% | 40% | 38% | 193% |
| Peers Return | 37% | -18% | 16% | 22% | 53% | 22% | 197% |
| S&P 500 Return | 27% | -19% | 24% | 23% | 16% | 10% | 101% |
Monthly Win Rates [3] | |||||||
| BMO Win Rate | 67% | 58% | 50% | 50% | 83% | 71% | |
| Peers Win Rate | 62% | 43% | 53% | 57% | 80% | 69% | |
| S&P 500 Win Rate | 75% | 42% | 67% | 75% | 67% | 57% | |
Max Drawdowns [4] | |||||||
| BMO Max Drawdown | -10% | -31% | -24% | -18% | -16% | -12% | |
| Peers Max Drawdown | -11% | -33% | -20% | -11% | -15% | -11% | |
| S&P 500 Max Drawdown | -5% | -25% | -10% | -8% | -19% | -9% | |
[1] Cumulative total returns since the beginning of 2021
[2] Peers: RY, TD, BNS, CM, JPM.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 7/7/2026 (YTD)
How Low Can It Go
| Event | BMO | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -13.3% | -18.8% |
| % Gain to Breakeven | 15.4% | 23.1% |
| Time to Breakeven | 34 days | 79 days |
| Summer-Fall 2023 Five Percent Yield Shock | ||
| % Loss | -18.5% | -9.5% |
| % Gain to Breakeven | 22.8% | 10.5% |
| Time to Breakeven | 48 days | 24 days |
| 2023 SVB Regional Banking Crisis | ||
| % Loss | -17.4% | -6.7% |
| % Gain to Breakeven | 21.0% | 7.1% |
| Time to Breakeven | 211 days | 31 days |
| 2022 Inflation Shock & Fed Tightening | ||
| % Loss | -21.2% | -24.5% |
| % Gain to Breakeven | 27.0% | 32.4% |
| Time to Breakeven | 773 days | 427 days |
| 2020 COVID-19 Crash | ||
| % Loss | -49.3% | -33.7% |
| % Gain to Breakeven | 97.4% | 50.9% |
| Time to Breakeven | 246 days | 140 days |
| Q4 2018 Fed Policy Error / Growth Scare | ||
| % Loss | -22.8% | -19.2% |
| % Gain to Breakeven | 29.5% | 23.8% |
| Time to Breakeven | 388 days | 105 days |
In The Past
Bank of Montreal's stock fell -13.3% during the 2025 US Tariff Shock. Such a loss loss requires a 15.4% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
| Event | BMO | S&P 500 |
|---|---|---|
| 2022 Inflation Shock & Fed Tightening | ||
| % Loss | -21.2% | -24.5% |
| % Gain to Breakeven | 27.0% | 32.4% |
| Time to Breakeven | 773 days | 427 days |
| 2020 COVID-19 Crash | ||
| % Loss | -49.3% | -33.7% |
| % Gain to Breakeven | 97.4% | 50.9% |
| Time to Breakeven | 246 days | 140 days |
| Q4 2018 Fed Policy Error / Growth Scare | ||
| % Loss | -22.8% | -19.2% |
| % Gain to Breakeven | 29.5% | 23.8% |
| Time to Breakeven | 388 days | 105 days |
| 2014-2016 Oil Price Collapse | ||
| % Loss | -33.8% | -6.8% |
| % Gain to Breakeven | 51.1% | 7.3% |
| Time to Breakeven | 322 days | 15 days |
| 2008-2009 Global Financial Crisis | ||
| % Loss | -62.7% | -53.4% |
| % Gain to Breakeven | 168.3% | 114.4% |
| Time to Breakeven | 163 days | 1085 days |
In The Past
Bank of Montreal's stock fell -13.3% during the 2025 US Tariff Shock. Such a loss loss requires a 15.4% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
About Bank of Montreal (BMO)
Bank of Montreal (BMO) is a diversified financial services company primarily operating across North America. It provides a comprehensive range of financial products and services to individuals, small businesses, commercial enterprises, and institutional clients. The company leverages an extensive network of bank branches and automated banking machines in Canada and the United States, complemented by digital channels, to serve its broad customer base.
BMO's main offerings include personal banking services such as checking and savings accounts, credit cards, mortgages, and financial advisory. For businesses, it provides deposit accounts, commercial loans, cash management solutions, foreign exchange, and risk management products. The company also offers wealth management services, encompassing investment and wealth advisory, digital investing, and asset management. Additionally, BMO provides various insurance products, including life, accident, and travel insurance, alongside reinsurance solutions.
Beyond retail and commercial banking, BMO operates a significant capital markets arm. This segment offers clients debt and equity capital-raising services, strategic advice on mergers and acquisitions, and loan syndication. It also provides research, trading solutions across various asset classes (debt, foreign exchange, equities, commodities), and risk management advice to institutional and corporate clients, addressing complex financial needs and market access requirements.
AI Analysis | Feedback
Here are 1-3 brief analogies for Bank of Montreal:
- Like a Canadian version of JPMorgan Chase.
- Similar to Bank of America, offering a full range of banking, wealth, and investment services.
AI Analysis | Feedback
- Personal Banking Products: Offers checking and savings accounts, credit cards, and mortgages for individual customers.
- Commercial Banking Services: Provides business deposit accounts, loans, commercial mortgages, and cash management solutions for businesses.
- Investment & Wealth Management Services: Includes investment and wealth advisory, digital investing, and trust and custody services.
- Insurance Products: Sells life insurance, accident and sickness insurance, annuity products, and creditor and travel insurance.
- Debt & Equity Capital-Raising Services: Assists clients with debt and equity capital-raising, loan origination, and syndication.
- Strategic Advisory Services: Offers advice on mergers and acquisitions, restructurings, and recapitalizations.
- Trading Solutions: Provides trading services across debt, foreign exchange, interest rates, equity, and commodities markets.
- Risk Management Services: Delivers advice and products to help clients hedge against market fluctuations.
- Funding & Liquidity Management Services: Offers services to manage clients' funding and liquidity needs.
AI Analysis | Feedback
Bank of Montreal serves a diverse customer base across various segments of the financial services industry. Given its broad offerings in personal banking, commercial banking, wealth management, and capital markets, it serves a multitude of customers rather than a few specific major companies.
The company primarily serves the following categories of customers:
- Individuals (Personal Banking Clients): This category includes everyday consumers who utilize checking and savings accounts, credit cards, mortgages, personal loans, investment advice, digital investing services, and insurance products.
- Small Business and Commercial Clients: This segment comprises a wide range of businesses, from small enterprises to larger commercial entities. They access services such as business deposit accounts, commercial credit cards, business loans, commercial mortgages, cash management solutions, foreign exchange, treasury services, and risk management products.
- Institutional and Corporate Clients: These clients include corporations, governments, and institutional investors that leverage BMO's capital markets expertise for services like debt and equity capital-raising, strategic advice on mergers and acquisitions, loan origination and syndication, treasury management, trade finance, and various trading solutions (debt, foreign exchange, equity, commodities).
AI Analysis | Feedback
Microsoft Corporation (MSFT)
Visa Inc. (V)
Mastercard Incorporated (MA)
AI Analysis | Feedback
Darryl White, Chief Executive Officer, BMO Financial Group
Darryl White was appointed Chief Executive Officer of BMO Financial Group in 2017, with his tenure effective November 1, 2017. He joined BMO's investment and corporate banking business in Toronto in 1994. Throughout his career at BMO, he has held various senior leadership roles, including Head of Montreal Investment & Corporate Banking for BMO Capital Markets (2006), CEO and Group Head, BMO Capital Markets (2014), and BMO's Chief Operating Officer (2016). Mr. White chairs the bank's Executive Committee and serves as a director of BMO Financial Group and its U.S. subsidiary, BMO Financial Corp.
Rahul Nalgirkar, Chief Financial Officer
Rahul Nalgirkar is appointed Chief Financial Officer, effective January 1, 2026. He joined BMO in 2022 as the CFO of BMO U.S. and of BMO's commercial banking businesses in both Canada and the U.S. Prior to his time at BMO, Mr. Nalgirkar served as the Line of Business Group CFO at Fifth Third Bank and held corporate finance positions at GE Capital, Citigroup, and CIT.
Darrel Hackett, U.S. CEO, BMO Financial Group; CEO, BMO Financial Corp.; President & CEO, BMO Bank N.A.
Darrel Hackett serves as the U.S. CEO for BMO Financial Group, CEO of BMO Financial Corp., and President & CEO of BMO Bank N.A. He is a member of the senior executive team at BMO.
Aron Levine, President, BMO U.S.
Aron Levine was hired by BMO in June 2025 to lead its U.S. operations as President, BMO U.S. He has three decades of experience spanning consumer banking, wealth management, corporate strategy, and commercial real estate finance. Mr. Levine joined BMO from Bank of America, where he was previously president of preferred banking.
Sharon Haward-Laird, Head of Canadian Commercial Banking and North American Shared Services; Co-Head of Canadian Personal and Commercial Banking
Sharon Haward-Laird leads Canadian commercial banking and North American shared services and also serves as co-head of Canadian personal and commercial banking. Her background includes experience in treasury, payments, corporate communications, and investor relations.
AI Analysis | Feedback
AI Analysis | Feedback
- The emergence and rapid growth of Fintechs and Challenger Banks pose a significant threat. These digital-first financial service providers often offer more agile, lower-cost, and superior digital user experiences for banking products like checking accounts, savings, and personal loans, directly competing with BMO's personal and commercial banking divisions. Their ability to attract customers with innovative features and streamlined processes threatens to erode BMO's market share and customer relationships, similar to how Netflix challenged Blockbuster's traditional model.
- The trend of Embedded Finance and the expansion of Big Tech companies into financial services represents another clear emerging threat. Non-financial companies (e.g., retailers, tech giants) are increasingly integrating financial products and services directly into their existing platforms and customer journeys. Examples include buy-now-pay-later (BNPL) services at checkout, digital wallets offered by tech companies, and non-bank entities offering credit or payment solutions. This development can disintermediate traditional banks like BMO by shifting the primary customer touchpoint for financial transactions away from them, potentially reducing BMO's direct customer interaction, data insights, and revenue streams.
- The continued disruption in Wealth Management and Brokerage by digital platforms and robo-advisors threatens BMO's investment and wealth advisory services. Platforms offering low-cost, automated investment advice or commission-free trading are attracting a growing base of investors, particularly younger demographics. This puts significant pressure on the fee structures and client acquisition strategies of traditional wealth managers and brokerages like BMO, mirroring how new digital models disrupted older industries.
AI Analysis | Feedback
Here are the addressable market sizes for Bank of Montreal's (BMO) main products and services in North America:
- Personal Banking: The North America retail banking market generated a revenue of approximately USD 598.4 billion in 2024 and is projected to reach US$ 922.8 billion by 2033. Another estimate places the North America retail banking market at USD 1.62 trillion in 2025, growing to USD 1.72 trillion in 2026. The U.S. credit card payments market was valued at USD 187.45 billion in 2024. North America accounted for 45.72% of the global credit card market size in 2025, with the global market estimated at USD 14.83 trillion in 2025 and USD 15.36 trillion in 2026. The North America mortgage and loan brokers market size was approximately USD 12.89 billion in 2024. North America also held a 33.89% share of the global mortgage market in 2025, with the global market expected to reach USD 15.299 billion in 2025. The North America reverse mortgage market generated a revenue of USD 641.8 million in 2023.
- Commercial Banking: North America was the largest region in the commercial banking market in 2025, with the global market size at USD 4.398 trillion. The global commercial banking market size was valued at USD 3.78 trillion in 2024 and is expected to grow to USD 4.32 trillion in 2025. The U.S. commercial banking market size is estimated at USD 226.44 billion in 2024 and is expected to reach USD 269.28 billion by 2029.
- Wealth Management and Investment Advisory: The global wealth management market size was valued at USD 1.636 trillion in 2024, with North America contributing about two-thirds of the global revenue in 2022. Another source stated the global wealth management market size was valued at USD 1.25 trillion in 2020, with North America dominating the market share. The North America wealth management software market generated a revenue of USD 2,051.3 million in 2024.
- Insurance: The North American life insurance market had total gross written premiums of approximately $758.8 billion in 2022. In 2024, North America held a dominant position in the global life insurance market, capturing over a 34.6% share and holding USD 1.17 trillion in revenue. The North America property and casualty insurance market held the largest revenue share, valued at USD 853.13 billion in 2025. The North America home insurance market generated a revenue of USD 73,633.0 million in 2023. The North America healthcare insurance market generated a revenue of USD 1.317 trillion in 2025.
- Capital Markets (Investment Banking and Trading): North America dominated the investment banking market with a valuation of USD 44.72 billion in 2025 and USD 47.76 billion in 2026. North America held approximately 40% of the global investment banking market revenue, with a market size of USD 54.048 billion in 2024. The global investment banking and trading services market was valued at USD 397.11 billion in 2024, with North America holding the largest share.
AI Analysis | Feedback
Bank of Montreal (symbol: BMO) is expected to drive future revenue growth over the next 2-3 years through several key initiatives across its diversified financial services.
One primary driver is the **expansion and optimization of its U.S. Banking operations**. Following the integration of Bank of the West, BMO is focusing on enhancing its U.S. loan book, driving future loan growth by hiring commercial bankers and private advisors, and strategically expanding its physical presence by opening new branches in promising areas while divesting underperforming ones.
Another significant contributor to revenue growth is the **sustained performance and growth in Canadian Personal & Commercial Banking**. This segment is anticipated to benefit from higher net interest income, stemming from improved net interest margins and balance growth. Additionally, increased non-interest revenue, including card fees, new client acquisition, and growth in Treasury and Payment Solutions (TPS) fees, will support this expansion.
The **robust performance in Wealth Management and Capital Markets** is also a key growth driver. Wealth Management is poised for growth due to stronger global markets, net new asset inflows, and the strategic acquisition of Burgundy Asset Management Ltd. in November 2025. Concurrently, the Capital Markets segment is expected to see higher revenue driven by strong equities trading activity in Global Markets and increased advisory fee revenue within Investment and Corporate Banking.
Finally, BMO's **strategic investments in technology and AI-powered solutions** are expected to fuel future revenue growth. The bank is committed to leveraging technological advancements and digital innovation, including digital assistants and AI, to enhance operational efficiency, improve client experience, and deliver long-term value. These investments are integral to the company's strategy for profitable growth.
AI Analysis | Feedback
Share Repurchases
- Bank of Montreal announced its intention to repurchase up to 22.5 million common shares under a normal course issuer bid (NCIB) in December 2021.
- In January 2025, BMO initiated a share buyback program to purchase up to 20 million common shares for cancellation. As of August 29, 2025, the bank had repurchased 15.95 million common shares under this program at an average price of $143.39 per share, totaling $2,287 million.
- BMO announced its intention in August 2025 to establish a new NCIB to purchase up to 30 million common shares, representing approximately 4.2% of its public float as of July 31, 2025, expected to commence in September 2025 and end by September 2026.
Share Issuance
- In March 2022, Bank of Montreal completed a public offering, issuing 20,843,750 common shares at $149.00 each, raising C$3.1 billion, partly to finance the acquisition of Bank of the West.
- In December 2022, BMO completed a public offering and concurrent private placement of common shares at C$118.60 per share, generating approximately C$2.6 billion in gross proceeds.
Outbound Investments
- BMO announced in December 2021 the acquisition of Bank of the West from BNP Paribas for a cash purchase price of US$16.3 billion (US$13.4 billion net of estimated excess capital). This transaction, BMO's largest acquisition in its history, significantly expanded its U.S. banking operations, particularly in California, adding 1.8 million customers and 514 branches. The acquisition closed on February 1, 2023.
- In July 2022, BMO acquired Radicle Group Inc.
- In June 2025, BMO agreed to acquire Toronto-based Burgundy Asset Management in a C$625 million (US$456 million) deal, aiming to boost its offerings for high-net-worth clients.
Capital Expenditures
- For the trailing twelve months ended July 2025, Bank of Montreal reported Capital Expenditures (CapEx) of -1,662 million CAD.
- Over the past five years, BMO's average Capital Expenditures percentage (CapEx %) has been 4.52%, with a high of 5.38% as of September 30, 2023.
- The bank plans to add 150 new branches over the next five years, with a strategic focus on expanding its presence in California. Additionally, expected core expense growth in 2026 includes increasing investments in technology and automation, particularly within its U.S. banking and wealth businesses.
Latest Trefis Analyses
| Title | Date | |
|---|---|---|
| DASHBOARDS | ||
| Bank of Montreal Stock Jump Looks Great, But How Secure Is That Gain? | 10/17/2025 | |
| Fundamental Metrics: ... | 06/19/2024 |
| Title | |
|---|---|
| ARTICLES |
Research & Analysis
Invest in Strategies
Wealth Management
Peer Comparisons
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 149.84 |
| Mkt Cap | 164.0 |
| Rev LTM | 51,090 |
| Op Inc LTM | - |
| FCF LTM | 9,920 |
| FCF 3Y Avg | 10,806 |
| CFO LTM | 11,401 |
| CFO 3Y Avg | 12,185 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 9.2% |
| Rev Chg 3Y Avg | 11.4% |
| Rev Chg Q | 8.8% |
| QoQ Delta Rev Chg LTM | 2.1% |
| Op Inc Chg LTM | - |
| Op Inc Chg 3Y Avg | - |
| Op Mgn LTM | - |
| Op Mgn 3Y Avg | - |
| QoQ Delta Op Mgn LTM | - |
| CFO/Rev LTM | 34.9% |
| CFO/Rev 3Y Avg | 40.5% |
| FCF/Rev LTM | 30.6% |
| FCF/Rev 3Y Avg | 36.0% |
Segment Financials
Revenue by Segment| $ Mil | 2025 | 2024 | 2023 | 2022 | 2021 |
|---|---|---|---|---|---|
| Canadian Personal and Commercial Banking (P&C) | 12,262 | 11,439 | 10,559 | 9,868 | 8,786 |
| United States (U.S.) Banking | 11,483 | 10,811 | 9,180 | 6,302 | 5,511 |
| Capital Markets | 7,447 | 6,516 | 6,392 | 6,172 | 6,126 |
| Wealth Management | 5,302 | 4,599 | 5,411 | 4,524 | 7,053 |
| Corporate Services | -220 | -570 | -2,283 | 6,844 | -290 |
| Share of profit (loss) in associates and joint ventures | -248 | ||||
| Total | 36,274 | 32,795 | 29,259 | 33,710 | 26,938 |
| $ Mil | 2015 | 2014 | 2013 |
|---|---|---|---|
| P&C Canada | 3,040 | 2,843 | 2,681 |
| Wealth Management | 2,630 | 1,121 | 1,192 |
| BMO CM | 1,459 | 1,441 | 1,460 |
| P&C U.S. | 1,327 | 1,061 | 1,046 |
| Corporate Services | -1,073 | -483 | |
| Corporate Services, including Technology and Operations | -290 | ||
| Total | 7,383 | 5,983 | 6,089 |
| $ Mil | 2025 | 2024 | 2023 | 2022 | 2021 |
|---|---|---|---|---|---|
| Canadian Personal and Commercial Banking (P&C) | 3,295 | 3,457 | 3,573 | 3,826 | 3,246 |
| United States (U.S.) Banking | 2,796 | 2,008 | 2,483 | 2,497 | 2,136 |
| Capital Markets | 1,977 | 1,492 | 1,625 | 1,772 | 2,081 |
| Wealth Management | 1,381 | 1,067 | 1,146 | 1,251 | 1,374 |
| Corporate Services | -740 | -706 | -4,402 | 4,191 | -1,327 |
| Total | 8,709 | 7,318 | 4,425 | 13,537 | 7,510 |
| $ Mil | 2023 | 2022 | 2006 | 2005 |
|---|---|---|---|---|
| Capital Markets | 416,261 | 390,306 | ||
| Canadian Personal and Commercial Banking (P&C) | 317,878 | 292,087 | ||
| Corporate Services | 236,882 | 194,429 | ||
| United States (U.S.) Banking | 218,674 | 145,187 | ||
| Wealth Management | 58,661 | 50,488 | ||
| IBG | 161,817 | 164,018 | ||
| P&C | 136,259 | 127,150 | ||
| PCG | 6,546 | 7,068 | ||
| Corporate | 5,239 | |||
| Total | 1,248,356 | 1,072,497 | 304,622 | 303,475 |
Price Behavior
| Market Price | $178.25 | |
| Market Cap ($ Bil) | 126.3 | |
| First Trading Date | 10/27/1994 | |
| Distance from 52W High | 0.0% | |
| 50 Days | 200 Days | |
| DMA Price | $162.36 | $139.49 |
| DMA Trend | up | up |
| Distance from DMA | 9.8% | 27.8% |
| 3M | 1YR | |
| Volatility | 17.0% | 19.0% |
| Downside Capture | 24.57 | 77.83 |
| Upside Capture | 108.72 | 119.37 |
| Correlation (SPY) | 50.4% | 57.1% |
| 1M | 2M | 3M | 6M | 1Y | 3Y | |
|---|---|---|---|---|---|---|
| Beta | 0.33 | 0.48 | 0.63 | 0.93 | 0.86 | 0.73 |
| Up Beta | -0.30 | 0.31 | 0.71 | 0.69 | 0.72 | 0.61 |
| Down Beta | 0.27 | 0.18 | 0.22 | 0.78 | 0.65 | 0.72 |
| Up Capture | 112% | 110% | 111% | 144% | 133% | 72% |
| Bmk +ve Days | 11 | 24 | 40 | 67 | 140 | 429 |
| Stock +ve Days | 17 | 31 | 47 | 79 | 154 | 426 |
| Down Capture | 6% | 23% | 25% | 83% | 83% | 90% |
| Bmk -ve Days | 10 | 17 | 23 | 58 | 112 | 321 |
| Stock -ve Days | 4 | 10 | 16 | 46 | 98 | 321 |
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with BMO | |
|---|---|---|---|---|
| BMO | 63.6% | 19.0% | 2.46 | - |
| Sector ETF (XLF) | 6.7% | 14.7% | 0.22 | 53.8% |
| Equity (SPY) | 20.7% | 12.5% | 1.22 | 56.5% |
| Gold (GLD) | 23.0% | 27.8% | 0.73 | 32.6% |
| Commodities (DBC) | 22.9% | 18.6% | 0.97 | -12.5% |
| Real Estate (VNQ) | 13.6% | 13.8% | 0.68 | 37.7% |
| Bitcoin (BTCUSD) | -41.8% | 42.8% | -1.14 | 32.9% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 5-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with BMO | |
|---|---|---|---|---|
| BMO | 16.5% | 21.3% | 0.65 | - |
| Sector ETF (XLF) | 10.7% | 18.6% | 0.44 | 68.5% |
| Equity (SPY) | 13.3% | 17.1% | 0.60 | 62.9% |
| Gold (GLD) | 17.8% | 18.3% | 0.79 | 19.0% |
| Commodities (DBC) | 7.6% | 19.5% | 0.29 | 21.9% |
| Real Estate (VNQ) | 3.1% | 18.9% | 0.06 | 53.3% |
| Bitcoin (BTCUSD) | 13.2% | 53.5% | 0.43 | 27.7% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 10-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with BMO | |
|---|---|---|---|---|
| BMO | 15.8% | 23.6% | 0.62 | - |
| Sector ETF (XLF) | 14.1% | 22.1% | 0.58 | 74.7% |
| Equity (SPY) | 15.7% | 17.9% | 0.75 | 68.1% |
| Gold (GLD) | 11.6% | 16.1% | 0.59 | 9.4% |
| Commodities (DBC) | 6.2% | 18.0% | 0.27 | 32.7% |
| Real Estate (VNQ) | 5.6% | 20.7% | 0.23 | 59.8% |
| Bitcoin (BTCUSD) | 57.9% | 66.2% | 0.98 | 20.0% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Returns Analyses
Earnings Returns History
Updated 6/3/2026| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| SUMMARY STATS | |||
| # Positive | 0 | 0 | 0 |
| # Negative | 0 | 0 | 0 |
| Median Positive | |||
| Median Negative | |||
| Max Positive | |||
| Max Negative | |||
| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| SUMMARY STATS | |||
| # Positive | 0 | 0 | 0 |
| # Negative | 0 | 0 | 0 |
| Median Positive | |||
| Median Negative | |||
| Max Positive | |||
| Max Negative | |||
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 01/31/2021 | 02/23/2021 | 6-K |
| 07/31/2020 | 08/25/2020 | 6-K |
| 07/31/2014 | 08/26/2014 | 6-K |
| 04/30/2014 | 05/28/2014 | 6-K |
| 01/31/2014 | 02/25/2014 | 6-K |
| 10/31/2013 | 02/25/2014 | 6-K |
| 07/31/2013 | 08/27/2013 | 6-K |
| 04/30/2013 | 05/29/2013 | 6-K |
| 01/31/2013 | 02/26/2013 | 6-K |
| 07/31/2012 | 08/28/2012 | 6-K |
| 04/30/2012 | 05/23/2012 | 6-K |
| 01/31/2012 | 02/28/2012 | 6-K |
| 07/31/2011 | 08/24/2011 | 6-K |
| 04/30/2011 | 05/25/2011 | 6-K |
| 01/31/2011 | 03/01/2011 | 6-K |
| 07/31/2010 | 08/24/2010 | 6-K |
| Report Date | Filing Date | Filing |
|---|---|---|
| 01/31/2021 | 02/23/2021 | 6-K |
| 07/31/2020 | 08/25/2020 | 6-K |
| 07/31/2014 | 08/26/2014 | 6-K |
| 04/30/2014 | 05/28/2014 | 6-K |
| 01/31/2014 | 02/25/2014 | 6-K |
| 10/31/2013 | 02/25/2014 | 6-K |
| 07/31/2013 | 08/27/2013 | 6-K |
| 04/30/2013 | 05/29/2013 | 6-K |
| 01/31/2013 | 02/26/2013 | 6-K |
| 07/31/2012 | 08/28/2012 | 6-K |
| 04/30/2012 | 05/23/2012 | 6-K |
| 01/31/2012 | 02/28/2012 | 6-K |
| 07/31/2011 | 08/24/2011 | 6-K |
| 04/30/2011 | 05/25/2011 | 6-K |
| 01/31/2011 | 03/01/2011 | 6-K |
| 07/31/2010 | 08/24/2010 | 6-K |
| 04/30/2010 | 05/26/2010 | 6-K |
| 01/31/2010 | 03/03/2010 | 6-K |
| 10/31/2009 | 12/14/2009 | 40-F |
| 07/31/2009 | 08/26/2009 | 6-K |
| 04/30/2009 | 05/27/2009 | 6-K |
| 10/31/2007 | 12/12/2007 | 40-F |
| 10/31/2006 | 12/18/2006 | 40-F |
Bank of Montreal — Investor Video Playlist
Industry Resources
| Financials Resources |
| Federal Reserve Economic Data |
| Federal Reserve |
| FDIC Data |
| American Banker |
| The Banker |
| Banking Technology |
| Diversified Banks Resources |
| Retail Banker International |
| International Banker |
| Global Finance Magazine |
External Quote Links
| Y Finance | Barrons |
| TradingView | Morningstar |
| SeekingAlpha | ValueLine |
| Motley Fool | Robinhood |
| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |
Prefer one of these to Trefis? Tell us why.