National Bank of Canada (NA) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Guardian Capital Group Ltd.

Canadian Imperial Bank of Commerce

Currency Exchange International Corp.

VersaBank

National Bank of Canada

Givex Corp.

Canadian Western Bank

EQB, Inc.

Tokens.com Corp.

Clip Money, Inc.

Wellfield Technologies, Inc.

Why is National Bank of Canada ?

Healthy long term growth as Net profit has grown by an annual rate of 11.95%

Positive results in Apr 26

DIVIDEND PER SHARE(HY) Highest at CAD 0

With ROA of 0.52%, it has a fair valuation with a 2.42 Price to Book Value

The stock is trading at a fair value compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 64.24%, its profits have risen by 19.3% ; the PEG ratio of the company is 0.9

Majority shareholders : FIIs

Consistent Returns over the last 3 years

Along with generating 64.24% returns in the last 1 year, the stock has outperformed S&P/TSX 60 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to National Bank of Canada should be less than 10%
Overall Portfolio exposure to Regional Banks should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Regional Banks)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is National Bank of Canada for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

National Bank of Canada

64.24%

19.91

16.42%

S&P/TSX 60

29.6%

2.31

12.81%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

25.82%

EBIT Growth (5y)

17.36%

EBIT to Interest (avg)

Debt to EBITDA (avg)

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

Dividend Payout Ratio

45.59%

Pledged Shares

Institutional Holding

0.25%

ROCE (avg)

ROE (avg)

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

2.42

EV to EBIT

24.65

EV to EBITDA

21.61

EV to Capital Employed

1.64

EV to Sales

5.59

PEG Ratio

0.86

Dividend Yield

ROCE (Latest)

6.64%

ROE (Latest)

13.79%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Bullish

OBV

Mildly Bullish

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

2What is working for the Company

DIVIDEND PER SHARE(HY)

Highest at CAD 0

-3What is not working for the Company

GROSS NPA (%)

CREDIT DEPOSIT RATIO(HY)

Lowest at 70.59%

Here's what is working for National Bank of Canada

Dividend per share

Highest at CAD 0 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (CAD)

Here's what is not working for National Bank of Canada

Non Performing Loans (%)

Highest at 1.24%

in the last four Semi-Annual periods

MOJO Watch

Proportion of stressed loans given by the bank are increasing

Non Performing Loans (%)

Credit Deposit Ratio

Lowest at 70.59%

in the last four Semi-Annual periods

MOJO Watch

Bank has been creating proportionately lower loans against its deposits, thereby creating fewer revenue generating assets

Credit Deposit Ratio (%)