Bank of Montreal (BMO) Stock Target Raised as Dividend Strengthens Stability

Bank of Montreal (NYSE:BMO) ranks among the best diversified bank stocks to invest in right now. On August 27, BofA Securities reaffirmed its rating at Neutral for Bank of Montreal (NYSE:BMO) but increased its price target from $116 to $128. The analyst report states that the bank’s Common Equity Tier 1 (CET1) ratio, which is higher than its operating aim of 12.5% and the regulatory minimum of 11.5%, stayed unchanged at 13.5%.

During the quarter, Bank of Montreal (NYSE:BMO) repurchased 6 million shares, accounting for approximately 1% of outstanding shares. Moreover, the bank has paid dividends for 53 years in a row, solidifying its reputation for financial stability.

BofA Securities anticipates that the new Normal Course Issuer Bid (NCIB) of 30 million shares announced by management would be finished by the end of fiscal year 2026.

Bank of Montreal (NYSE:BMO) is a Canadian bank that provides numerous financial services to people, corporations, and institutions. It offers products and services in personal banking, commercial banking, wealth management, and investment banking.

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Disclosure: None. This article is originally published at Insider Monkey.