CIBC World Markets Inc. CDN Bank Estimates Adjustments
Ticker FYE 21 Prior 21 Current 22 Prior 22 Current 23 Prior 2023 Current
BNS-CA Adj. EPS Oct C$7.88 C$7.88 C$8.49 C$8.49 C$7.63 C$7.59
CWB-CA Adj. EPS Oct C$3.81 C$3.81 C$3.61 C$3.61 C$3.47 C$3.50
NA-CA Adj. EPS Oct C$8.98 C$8.98 C$9.58 C$9.58 C$9.68 C$9.72
RY-CA Adj. EPS Oct C$11.26 C$11.26 C$11.14 C$11.14 C$11.73 C$11.71
TD-CA Adj. EPS Oct C$7.99 C$7.99 C$8.31 C$8.31 C$8.45 C$8.46
CIBC’s (RANK#32) earnings estimation forecasts for Canadian banks show that the majority of banks are expected to perform well in the coming years. The changes highlight the prior earnings estimates and the current estimates for FYE 2021, FYE 2022, and FYE 2023 for each bank. The earnings metric used is adjusted earnings per share (EPS).
According to the estimates, most banks have experienced an increase in earnings estimates for FYE 2021 and FYE 2022, except for TD-CA, which saw a slight increase for FYE 2021 but no change for FYE 2022. TD-CA’s earnings estimates suggest that the bank’s performance may remain consistent in the coming years, but this does not necessarily indicate a negative trend.
For FYE 2023, most banks have seen an increase in earnings estimates, except for BNS-CA, which has experienced a decrease. BNS-CA’s decline in earnings estimates for FYE 2023 may suggest that the bank is experiencing some challenges in maintaining its earnings growth, but again, it is essential to note that these are just estimates and may not reflect the actual earnings performance of the banks.
Overall, CIBC’s upward revisions to earnings estimates across the board suggest that the bank is optimistic about the earnings potential of Canadian banks. The table shows that RY-CA has the highest estimated earnings for FYE 2021, while NA-CA is expected to have the highest estimated earnings for FYE 2022 and FYE 2023.
It is essential to keep in mind that these are just estimates, and actual earnings may differ from the projections. Market trends, economic factors, and internal factors can all influence the earnings of the banks. Investors should do their due diligence before making investment decisions and take into consideration other factors such as valuations, dividend yields, and market trends.