Bank Of Montreal (NYSE:BMO) Posts Quarterly Earnings Results, Beats Estimates By $0.14 EPS

Posted by Amy Steele on May 27th, 2026

Bank Of Montreal (NYSE:BMO – Get Free Report) (TSE:BMO) released its earnings results on Wednesday. The bank reported $2.68 EPS for the quarter, topping analysts’ consensus estimates of $2.54 by $0.14, Zacks reports. The business had revenue of $7.04 billion for the quarter, compared to the consensus estimate of $6.98 billion. Bank Of Montreal had a net margin of 12.60% and a return on equity of 13.06%. The business’s revenue for the quarter was up 10.2% on a year-over-year basis. During the same period in the previous year, the firm earned $2.62 EPS.

Here are the key takeaways from Bank Of Montreal’s conference call:

BMO reported a very strong quarter, with adjusted EPS up 40% year over year to CAD 3.67 and record net income of CAD 2.7 billion, supported by broad-based revenue growth and strong operating leverage.
The bank said it made meaningful progress toward its 15% ROE target, with adjusted ROE rising to 13.5% and ROTCE reaching 17.6%, while management emphasized that momentum is building across the franchise.
Capital and shareholder returns remained strong: BMO ended the quarter with a 13% CET1 ratio, repurchased six million shares, and raised its dividend by 5% to CAD 1.71. Management also highlighted the announced sale of transportation and vendor finance as accretive to capital and ROE.
Business momentum was broad-based, including stronger U.S. banking loan growth, record wealth management earnings, and solid capital markets results. Management said the U.S. optimization program is effectively complete and that it sees an inflection point for profitable growth.
Credit trends remain mixed, with overall PCL stable quarter over quarter but Canadian consumer delinquencies still rising amid elevated insolvencies and unemployment. Management said it expects impaired provisions to remain in the mid-40s basis point range and sees continued pressure in unsecured credit.

Bank Of Montreal Stock Performance

Shares of NYSE BMO opened at $162.03 on Friday. The company has a debt-to-equity ratio of 0.11, a current ratio of 1.02 and a quick ratio of 1.02. Bank Of Montreal has a one year low of $104.08 and a one year high of $163.44. The business’s 50-day moving average price is $147.59 and its two-hundred day moving average price is $139.01. The company has a market capitalization of $113.56 billion, a P/E ratio of 17.20, a price-to-earnings-growth ratio of 0.92 and a beta of 0.94.

Bank Of Montreal Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, August 26th. Shareholders of record on Thursday, July 30th will be paid a $1.71 dividend. This represents a $6.84 dividend on an annualized basis and a yield of 4.2%. This is an increase from Bank Of Montreal’s previous quarterly dividend of $1.67. The ex-dividend date is Thursday, July 30th. Bank Of Montreal’s dividend payout ratio is presently 55.75%.

Analyst Ratings Changes

BMO has been the subject of a number of research analyst reports. Wall Street Zen upgraded Bank Of Montreal from a “sell” rating to a “hold” rating in a report on Sunday, February 8th. Canadian Imperial Bank of Commerce reiterated an “outperform” rating on shares of Bank Of Montreal in a report on Thursday. Desjardins reissued a “hold” rating on shares of Bank Of Montreal in a research report on Thursday. National Bank Financial reissued a “sector perform” rating on shares of Bank Of Montreal in a research note on Wednesday, February 25th. Finally, Zacks Research lowered Bank Of Montreal from a “strong-buy” rating to a “hold” rating in a research report on Monday, April 27th. Four analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the stock presently has an average rating of “Hold” and a consensus price target of $163.00.

Read Our Latest Research Report on BMO

Bank Of Montreal News Summary

Here are the key news stories impacting Bank Of Montreal this week:

Positive Sentiment: BMO reported better-than-expected Q2 results, with earnings per share of $3.67 topping estimates and revenue of $7.04 billion also ahead of forecasts. Net income rose 34% year over year, showing broad improvement in profitability. BMO Financial Group Reports Second Quarter 2026 Results
Positive Sentiment: The bank increased its quarterly common dividend to $1.71 per share, up 2% from the prior quarter and 5% from a year ago, signaling confidence in its capital position and earnings outlook. BMO Financial Group Increases Common Share Dividend by 4 cents from the prior quarter, up 5 percent from the prior year
Positive Sentiment: Management highlighted record or improved profitability metrics, including higher ROE and lower provision for credit losses, while wealth-related strength was noted in earnings commentary. Bank of Montreal (BMO) Q2 2026 Earnings Call Highlights: Record Net Income and Strong Wealth …
Neutral Sentiment: Broader coverage of Canada’s big-bank earnings season put BMO’s results in context alongside peers, but did not introduce a new company-specific catalyst. RBC, CIBC, TD Bank, BMO, National Bank and Scotiabank: A breakdown of the big banks’ second-quarter earnings
Negative Sentiment: One note of caution was weaker credit data, which showed little improvement despite a stronger freight market, suggesting some ongoing pressure in the loan book. BMO’s credit data shows little improvement despite stronger freight market

Institutional Investors Weigh In On Bank Of Montreal

Large investors have recently made changes to their positions in the company. AQR Capital Management LLC lifted its stake in Bank Of Montreal by 87.1% in the first quarter. AQR Capital Management LLC now owns 5,742 shares of the bank’s stock valued at $548,000 after acquiring an additional 2,673 shares during the last quarter. Arrowstreet Capital Limited Partnership acquired a new position in shares of Bank Of Montreal during the 2nd quarter worth $1,018,000. Cerity Partners LLC increased its stake in shares of Bank Of Montreal by 1.4% during the 2nd quarter. Cerity Partners LLC now owns 12,364 shares of the bank’s stock worth $1,368,000 after purchasing an additional 167 shares during the last quarter. Qube Research & Technologies Ltd raised its holdings in shares of Bank Of Montreal by 166.3% during the 2nd quarter. Qube Research & Technologies Ltd now owns 411,108 shares of the bank’s stock valued at $45,518,000 after purchasing an additional 256,755 shares in the last quarter. Finally, NewEdge Advisors LLC lifted its stake in shares of Bank Of Montreal by 5,614.3% in the 2nd quarter. NewEdge Advisors LLC now owns 2,800 shares of the bank’s stock valued at $310,000 after purchasing an additional 2,751 shares during the last quarter. Institutional investors own 45.82% of the company’s stock.

Bank Of Montreal Company Profile

(Get Free Report)

Bank of Montreal (NYSE:BMO), commonly known as BMO Financial Group, is one of Canada’s largest and longest-established banks. Founded in Montreal and headquartered in Montreal, Quebec, the bank provides a broad range of financial services to retail, commercial, corporate and institutional clients. BMO is publicly listed in both Canada and the United States and operates under a consolidated financial services model that integrates banking, capital markets, wealth management and asset management activities.

BMO’s core businesses include personal and commercial banking—offering checking and savings accounts, lending, mortgages, and small-business services—alongside wealth management and private banking through its asset and investment management divisions.