Big Six Bank Insights

• Manufacturing stuck in its third year of recession with steadily shrinking real GDP and firm counts
• KPMG survey: more than four in 10 Canadian...

Canadian banks have surged nearly 33% YTD, far outpacing their 17% long-term average total return. Strong fundamentals and earnings growth support the...

Quick Recap

• A post shared the TSX watchlist for July 13-17 with notes on events like the Bank of Canada decision and their relevance to banks.
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Stretched bank valuations after the recent rally support a Hold stance on covered-call bank ETF ZWB, with preference to await Q3 earnings clarity.

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The financials sector delivered a standout 25.6% return in Q2, driving the S&P/TSX Composite's 7.0% gain as banks like RY, TD, BMO and BNS posted...

Banks kick off earnings July 14 with multiple tailwinds in place.

• Loan growth improving alongside healthy net interest margins from the higher-rate...

Economist David Watt argues the Bank of Canada's neutral rate range may be 50 basis points too high at 2.25-3.25 per cent, citing weak growth, stalled...

Royal Bank of Canada screens undervalued by 17.1% on the Excess Returns model, with an intrinsic value of CA$351.83 versus current price, despite...

Sweet spot case: Resilient economy and household finances helped banks beat earnings, lifting shares like BMO +40% while Fitch upgraded its outlook to...

BMO executives highlight reasons for optimism on Canada's economic prospects through 2027, with potential benefits for lending and credit demand.
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Royal Bank of Canada holds the largest market value position among Canadian banks, delivering structural advantages in cost efficiency,...

BMO's US expansion and diversified operations create a distinct growth profile while strict capital ratios and credit oversight support reliable...

At CA$170.01, TD trades 6.5% above the CA$159.57 fair value estimate, pressured by elevated AML and compliance costs through 2027. Long-term dividend holders can trim modestly without exiting the position entirely.

Among three blue-chips pitched for uncertain markets, only Royal Bank of Canada aligns with a Big Six focus.

• RY delivers 7% dividend hike, 64%...

BMO shares have re-rated higher on strong earnings and capital levels, yet valuations sit at historically rich levels with the profitability premium...

BMO's role as the inaugural subscriber to SGC Notes positions it to leverage this new collateral for the Bank of Canada's Standing Liquidity Facility,...

Trade Policy Impacts

• 🔥 CUSMA Review Outcome: US declined 16-year extension of CUSMA, shifting to annual reviews until 2036 and creating ongoing...

After covering AI infrastructure stocks like Teradyne and Lam Research, the author bought a boring Canadian bank that's quietly survived 194 years. Its endurance without hype stands out for long-term stability.

RBC remains Canada's largest bank by market cap, with wealth management, personal banking and capital markets driving earnings.

• Diversified...

Trade policy uncertainty from the failed CUSMA extension now triggers annual reviews, keeping risk premiums in bond yields and delaying Bank of Canada...