| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 71 | 11.4x | 17.3x | Top tier | |
Growth | 70 | 51.2% | 7.1% | Top tier | |
Quality | 67 | — | — | Top tier | |
Safety | 10 | — | — | Bottom tier | |
Capital Return | 97 | 3.71% | 0.06% | Top tier | |
Momentum | 97 | 43.7% | -1.6% | Top tier | |
Sentiment | 96 | 8 | 3 | Top tier |
10-year US Treasury yield 4.96% as of 2026-10-22. Estimates computed from company data and analyst targets, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
The Bank of Nova Scotia, listed under the ticker BNS, generates income from lending, deposit-taking, Canadian and international banking, wealth management, capital markets, and investment banking. Net revenue consists of net interest income after deducting interest expense, alongside fees, commissions, and trading and investment activities. Its strategy centers on deepening customer relationships through accounts, cards, insurance, and investments, and expanding services across Canada, the United States, and Mexico, rather than relying on a single lending product.
In quarter 3 of fiscal year 2026, ended 2026-07-31, net revenue reached 10.3 billion Canadian dollars, up 8.8% compared with the same quarter of the previous fiscal year, while net income reached 2.9 billion Canadian dollars and diluted earnings per share were 2.3 Canadian dollars. The operating margin calculated by EL7 was 38.2%, compared with 35.7% in quarter 2 of fiscal year 2026. These results reflect improved quarterly profitability, but the longer annual comparison presents a more cautious picture: net revenue in fiscal year 2025, ended 2025-10-31, was approximately 37.7 billion Canadian dollars, while net income was 7.8 billion Canadian dollars.
Segment earnings in quarter 3 of fiscal year 2026 were distributed across Canadian Banking at 1.1 billion Canadian dollars, International Banking at 725 million Canadian dollars, Global Banking and Markets at 647 million Canadian dollars, and Global Wealth Management at 515 million Canadian dollars. The Other segment recorded a loss of 42 million Canadian dollars. International segment figures are presented at constant exchange rates and exclude divested operations; these figures therefore do not provide a direct numerical reconciliation to consolidated net income. The mix highlights the bank's reliance on its Canadian banking base, with important contributions from international operations, wealth management fees, and capital markets.
Q3 FY2026
When: 2026-12-02
Sustaining net revenue at the level of 10.3 billion Canadian dollars
Provision for credit losses ratio compared with the level of 56 basis points
The industry-multiple valuation is 113 dollars, within a range of 97 dollars to 128 dollars, and measures the bank's value based on its book value at a median multiple of 1.6 across 16 companies. The median analyst target is 73 dollars, within a range of 67 dollars to 76 dollars in the 2026-10-19 snapshot. This is an indicative, low-confidence estimate because it relies on two analysts and reflects their expectations for growth and profitability. The two methods diverge, as the analyst target range falls entirely below the industry-multiple valuation range; the former reflects expectations for future performance, while the latter prices book value based on peer multiples. Analyst targets tend to be optimistic by nature according to the general comparison across companies, but this does not change the fact that their estimate here is lower than the valuation based on the industry multiple.
Figures in the text are as of 2026-10-20; the live price is shown at the top of the page.
BNS combines net interest income from lending and deposits with wealth management, card, and insurance fees, and income from capital markets activities. In quarter 3 of fiscal year 2026, ended 2026-07-31, Canadian Banking generated earnings of 1.1 billion Canadian dollars, compared with 515 million Canadian dollars for Global Wealth Management and 647 million Canadian dollars for Global Banking and Markets. International Banking earnings reached 725 million Canadian dollars at constant exchange rates and excluding divested operations, making Canadian operations the largest of the segments mentioned in terms of earnings.
Operating performance itself improved in quarter 3 of fiscal year 2026, ended 2026-07-31, as net revenue grew 8.8% compared with the same quarter of the previous fiscal year to 10.3 billion Canadian dollars, and net income reached 2.9 billion Canadian dollars compared with 2.4 billion Canadian dollars a year earlier. At the same time, the diluted share count fell to 874.0 million shares from 1.25 billion shares in quarter 3 of fiscal year 2025, a decline of 29.8%, which is a factor affecting earnings per share. The bank announced the repurchase of 8.6 million shares during quarter 3 of fiscal year 2026, but this information is insufficient to attribute the entire decline in the share count to buybacks.
Automated analysis for informational purposes only — not investment advice.
When: Quarter 4 of fiscal year 2026
Maintaining the Common Equity Tier 1 capital ratio at 13%
Provisions for credit losses declined to 1.1 billion Canadian dollars, at a ratio of 56 basis points, in quarter 3 of fiscal year 2026, ended 2026-07-31, and the ratio fell 10 basis points compared with the previous quarter. However, the gross impaired loans ratio rose to 100 basis points, and pockets of weakness persisted in Canadian mortgages and in Chile and the Caribbean. The bank also recorded an additional provision of 57 million Canadian dollars for a corporate account in Brazil during the same quarter, so the improvement represents progress in managing losses and does not mean that risks have disappeared.
On the 2026-08-25 call, management focused on expanding capital markets services, wealth management, and operational relationships across the three countries. It explained that the acquisition of MapleMark, a small commercial bank in Texas, serves to build capabilities and attract deposits to fund them, while describing the Key stake as an investment. In quarter 3 of fiscal year 2026, ended 2026-07-31, Global Banking and Markets loans rose 7% compared with the previous quarter, alongside deposit growth of 9%, illustrating the link between expansion and gathering funding from customers.
The industry-multiple valuation is 113 dollars within a range of 97 dollars to 128 dollars, based on book value and a median multiple of 1.6 across 16 companies. The median analyst target in the 2026-10-19 snapshot is 73 dollars within a range of 67 dollars to 76 dollars, and remains indicative and low-confidence because coverage is limited to two analysts. The difference reflects the fact that analyst targets price expectations for growth and profitability, while the industry-multiple method measures book value according to peer pricing, so the two methods do not provide an identical assessment.
The next expected earnings announcement date is 2026-12-02. An important test is the bank's ability to keep its Common Equity Tier 1 capital ratio around 13% in quarter 4 of fiscal year 2026, after reaching 13.1% in quarter 3 of fiscal year 2026, ended 2026-07-31. The provision for credit losses ratio warrants monitoring against the level of 56 basis points in quarter 3 of fiscal year 2026, alongside assessing whether net revenue can be sustained after reaching 10.3 billion Canadian dollars in that quarter.