National Bank is a strong buy, demonstrating exceptional performance and a highly successful Canadian Western acquisition that is ahead of schedule.
Source Post
I Reviewed All 6 Canadian Banks Before Earnings… Here's What I Found
Stocktrades - Canadian Investment ResearchMay 26, 2026
The creator provides an earnings preview for the six major Canadian banks, noting that while double-digit earnings growth is expected, the market may not react positively due to easy comparables and high valuations. The banks are priced for perfection, and any disappointment in earnings or provisions could lead to significant price pressure. The capital markets segment is expected to grow but at a slower pace, and rising Canadian unemployment adds another layer of concern.
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Tickers discussed in this post
Bank of Montreal is a turnaround play with significant US exposure, particularly in California, and potential upside if US commercial real estate improves, though risks remain.
Scotiabank is in a turnaround mode, exiting Latin America to focus on North America, with potential upside from Mexico and KeyCorp, but the creator holds a 'hold' stance.
Wells Fargo is mentioned as a comparable case for TD Bank's asset cap issue, noting it took over 7 years to resolve.
TD Bank is mentioned as a Canadian bank that may appear to be underperforming Royal Bank, but this is due to a lower base from which it is recovering.
CIBC is mentioned as a Canadian bank that may appear to be underperforming Royal Bank, but this is due to a lower base from which it is recovering.
Royal Bank is a primary buy due to strong execution, the successful HSBC acquisition, and robust wealth management growth, with expectations of double-digit earnings growth.