BANK OF MONTREAL (BMO.CA) Stock Fundamental Analysis
TSX:BMO • CA0636711016
199.76 CAD
+3.01 (+1.53%)
Last: Feb 20, 2026, 07:00 PM
Overall BMO gets a fundamental rating of 3 out of 10. We evaluated BMO against 24 industry peers in the Banks industry. BMO has a bad profitability rating. Also its financial health evaluation is rather negative. BMO is valied quite expensively at the moment, while it does show a decent growth rate. Finally BMO also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- In the past year BMO was profitable.
- In the past year BMO had a positive cash flow from operations.
- BMO had positive earnings in each of the past 5 years.
- In the past 5 years BMO always reported a positive cash flow from operatings.
1.2 Ratios
- With a Return On Assets value of 0.56%, BMO is not doing good in the industry: 70.83% of the companies in the same industry are doing better.
- With a Return On Equity value of 9.40%, BMO is not doing good in the industry: 62.50% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.56% | ||
| ROE | 9.4% | ||
| ROIC | N/A |
ROA(3y)0.45%
ROA(5y)0.66%
ROE(3y)7.67%
ROE(5y)10.96%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- BMO's Profit Margin of 22.81% is on the low side compared to the rest of the industry. BMO is outperformed by 66.67% of its industry peers.
- BMO's Profit Margin has improved in the last couple of years.
- The Operating Margin and Gross Margin are not available for BMO so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 22.81% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-16.71%
PM growth 5Y3.44%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- BMO does not have a ROIC to compare to the WACC, probably because it is not profitable.
- Compared to 1 year ago, BMO has less shares outstanding
- BMO has more shares outstanding than it did 5 years ago.
- BMO has a worse debt/assets ratio than last year.
2.2 Solvency
- BMO has a debt to FCF ratio of 29.36. This is a negative value and a sign of low solvency as BMO would need 29.36 years to pay back of all of its debts.
- The Debt to FCF ratio of BMO (29.36) is comparable to the rest of the industry.
- BMO has a Debt/Equity ratio of 2.79. This is a high value indicating a heavy dependency on external financing.
- With a Debt to Equity ratio value of 2.79, BMO is not doing good in the industry: 79.17% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.79 | ||
| Debt/FCF | 29.36 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC13.03%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
- BMO shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 25.59%, which is quite impressive.
- Measured over the past years, BMO shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.56% on average per year.
- Looking at the last year, BMO shows a quite strong growth in Revenue. The Revenue has grown by 10.61% in the last year.
- The Revenue has been growing slightly by 7.57% on average over the past years.
EPS 1Y (TTM)25.59%
EPS 3Y-2.79%
EPS 5Y9.56%
EPS Q2Q%72.63%
Revenue 1Y (TTM)10.61%
Revenue growth 3Y2.47%
Revenue growth 5Y7.57%
Sales Q2Q%11.63%
3.2 Future
- Based on estimates for the next years, BMO will show a small growth in Earnings Per Share. The EPS will grow by 5.35% on average per year.
- Based on estimates for the next years, BMO will show a small growth in Revenue. The Revenue will grow by 3.72% on average per year.
EPS Next Y13.15%
EPS Next 2Y13.22%
EPS Next 3Y11.58%
EPS Next 5Y5.35%
Revenue Next Year5.06%
Revenue Next 2Y5.01%
Revenue Next 3Y4.53%
Revenue Next 5Y3.72%
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 16.41, BMO is valued correctly.
- Based on the Price/Earnings ratio, BMO is valued more expensive than 87.50% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 26.99. BMO is valued slightly cheaper when compared to this.
- Based on the Price/Forward Earnings ratio of 14.51, the valuation of BMO can be described as correct.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of BMO indicates a rather expensive valuation: BMO more expensive than 91.67% of the companies listed in the same industry.
- When comparing the Price/Forward Earnings ratio of BMO to the average of the S&P500 Index (28.06), we can say BMO is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.41 | ||
| Fwd PE | 14.51 |
4.2 Price Multiples
- The rest of the industry has a similar Price/Free Cash Flow ratio as BMO.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.61 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
- BMO's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.25
PEG (5Y)1.72
EPS Next 2Y13.22%
EPS Next 3Y11.58%
5. Dividend
5.1 Amount
- BMO has a Yearly Dividend Yield of 3.50%.
- BMO's Dividend Yield is rather good when compared to the industry average which is at 3.11. BMO pays more dividend than 83.33% of the companies in the same industry.
- BMO's Dividend Yield is rather good when compared to the S&P500 average which is at 1.81.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.5% |
5.2 History
- On average, the dividend of BMO grows each year by 12.66%, which is quite nice.
- BMO has been paying a dividend for at least 10 years, so it has a reliable track record.
- BMO has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)12.66%
Div Incr Years3
Div Non Decr Years34
5.3 Sustainability
- 60.81% of the earnings are spent on dividend by BMO. This is not a sustainable payout ratio.
- BMO's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP60.81%
EPS Next 2Y13.22%
EPS Next 3Y11.58%
TSX:BMO (2/20/2026, 7:00:00 PM)
199.76
+3.01 (+1.53%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)12-04 2025-12-04/bmo
Earnings (Next)02-25 2026-02-25
Inst Owners55.35%
Inst Owner ChangeN/A
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap141.34B
Revenue(TTM)36.27B
Net Income(TTM)8.27B
Analysts66.32
Price Target190.38 (-4.7%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.5% |
Yearly Dividend7
Dividend Growth(5Y)12.66%
DP60.81%
Div Incr Years3
Div Non Decr Years34
Ex-Date01-30 2026-01-30 (1.67)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.74%
Min EPS beat(2)7.03%
Max EPS beat(2)8.45%
EPS beat(4)4
Avg EPS beat(4)10.72%
Min EPS beat(4)2.34%
Max EPS beat(4)25.04%
EPS beat(8)4
Avg EPS beat(8)-0.97%
EPS beat(12)5
Avg EPS beat(12)-2.57%
EPS beat(16)6
Avg EPS beat(16)-1.13%
Revenue beat(2)2
Avg Revenue beat(2)1.47%
Min Revenue beat(2)0.33%
Max Revenue beat(2)2.6%
Revenue beat(4)3
Avg Revenue beat(4)2.24%
Min Revenue beat(4)-1.37%
Max Revenue beat(4)7.39%
Revenue beat(8)3
Avg Revenue beat(8)-0.25%
Revenue beat(12)4
Avg Revenue beat(12)-2.85%
Revenue beat(16)7
Avg Revenue beat(16)3.65%
PT rev (1m)1.12%
PT rev (3m)9.1%
EPS NQ rev (1m)-0.53%
EPS NQ rev (3m)-1.35%
EPS NY rev (1m)0%
EPS NY rev (3m)2.04%
Revenue NQ rev (1m)0.37%
Revenue NQ rev (3m)2.22%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.98%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.41 | ||
| Fwd PE | 14.51 | ||
| P/S | 3.9 | ||
| P/FCF | 16.61 | ||
| P/OCF | 13.8 | ||
| P/B | 1.61 | ||
| P/tB | 2.13 | ||
| EV/EBITDA | N/A |
EPS(TTM)12.17
EY6.09%
EPS(NY)13.77
Fwd EY6.89%
FCF(TTM)12.03
FCFY6.02%
OCF(TTM)14.47
OCFY7.24%
SpS51.27
BVpS124.44
TBVpS93.98
PEG (NY)1.25
PEG (5Y)1.72
Graham Number184.6
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.56% | ||
| ROE | 9.4% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 22.81% | ||
| GM | N/A | ||
| FCFM | 23.46% |
ROA(3y)0.45%
ROA(5y)0.66%
ROE(3y)7.67%
ROE(5y)10.96%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-16.71%
PM growth 5Y3.44%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.02
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.79 | ||
| Debt/FCF | 29.36 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 79.31% | ||
| Cap/Sales | 4.77% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 102.88% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score7
WACC13.03%
ROIC/WACCN/A
Cap/Depr(3y)77.78%
Cap/Depr(5y)80.03%
Cap/Sales(3y)5.09%
Cap/Sales(5y)4.64%
Profit Quality(3y)219.61%
Profit Quality(5y)251.73%
High Growth Momentum
Growth
EPS 1Y (TTM)25.59%
EPS 3Y-2.79%
EPS 5Y9.56%
EPS Q2Q%72.63%
EPS Next Y13.15%
EPS Next 2Y13.22%
EPS Next 3Y11.58%
EPS Next 5Y5.35%
Revenue 1Y (TTM)10.61%
Revenue growth 3Y2.47%
Revenue growth 5Y7.57%
Sales Q2Q%11.63%
Revenue Next Year5.06%
Revenue Next 2Y5.01%
Revenue Next 3Y4.53%
Revenue Next 5Y3.72%
EBIT growth 1YN/A
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-66.14%
FCF growth 3Y34.36%
FCF growth 5Y-29.77%
OCF growth 1Y-61.65%
OCF growth 3Y27.36%
OCF growth 5Y-27.42%
BANK OF MONTREAL / BMO.CA FAQ
What is the ChartMill fundamental rating of BANK OF MONTREAL (BMO.CA) stock?
ChartMill assigns a fundamental rating of 3 / 10 to BMO.CA.
What is the valuation status for BMO stock?
ChartMill assigns a valuation rating of 3 / 10 to BANK OF MONTREAL (BMO.CA). This can be considered as Overvalued.
What is the profitability of BMO stock?
BANK OF MONTREAL (BMO.CA) has a profitability rating of 3 / 10.
Can you provide the PE and PB ratios for BMO stock?
The Price/Earnings (PE) ratio for BANK OF MONTREAL (BMO.CA) is 16.41 and the Price/Book (PB) ratio is 1.61.
What is the financial health of BANK OF MONTREAL (BMO.CA) stock?
The financial health rating of BANK OF MONTREAL (BMO.CA) is 1 / 10.