ducovest

CWB:CA:TSX-Canadian Western Bank

EQUITY | Banks | Toronto Stock Exchange

Last Closing

CAD 35.36

Change

+0.56 (+1.61)%

Market Cap

CAD 2.52B

Volume

0.40M

Analyst Target

CAD 39.07
Analyst Rating

Verdict

ducovest Verdict

Verdict

About

Canadian Western Bank along with its subsidiaries operates in the financial services areas of banking, trust, insurance and wealth management. The Company has a network of 41 banking branches.

Company Website : http://www.cwbankgroup.com

Currency: CAD

Country : Canada

Unadjusted Closing Price

Adjusted Closing Price

Share Volume

Relative Performance (Total Returns)

Compare
Relative Returns (From:    To: 2018-05-22 )

Largest Industry Peers for Banks

ETFs Containing CWB:CA

CNDA Concord Acquisition II Co.. 0.00 % 0.70 %

-0.01 (0%)

 USD 0.23B
HEF.A:CA 0.00 % 1.61 %

N/A

 N/A

Market Performance

  Market Performance vs. Industry/Classification (Banks) Market Performance vs. Exchange (Toronto Stock Exchange)
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
YTD  
Capital Gain -9.91% 7% C- 17% F
Dividend Return 0.64% 8% B- 23% F
Total Return -9.27% 7% C- 17% F
Trailing 12 Months  
Capital Gain 38.29% 98% N/A 94% A
Dividend Return 3.75% 26% F 48% F
Total Return 42.04% 98% N/A 94% A
Trailing 5 Years  
Capital Gain 24.03% 79% B- 67% D+
Dividend Return 15.22% 22% F 40% F
Total Return 39.25% 74% C 66% D+
Average Annual (5 Year Horizon)  
Capital Gain 2.93% 78% C+ 56% F
Dividend Return 5.96% 78% C+ 57% F
Total Return 3.03% 39% F 54% F
Risk Return Profile  
Volatility (Standard Deviation) 26.08% 5% F 29% F
Risk Adjusted Return 22.84% 28% F 34% F
Market Capitalization 2.52B 94% A 93% A

Key Financial Ratios

  Ratio vs. Industry/Classification (Banks) Ratio vs. Market (Toronto Stock Exchange)
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
Market Value  
Price / Earning Ratio 12.30 17% 30%
Price/Book Ratio 1.43 20% 41%
Price / Cash Flow Ratio -3.60 96% 91%
Price/Free Cash Flow Ratio -12.91 96% 84%
Management Effectiveness  
Return on Equity 9.87% 23% 60%
Return on Invested Capital 8.31% 28% 61%
Return on Assets 0.92% 84% 47%
Debt to Equity Ratio 69.25% 15% 40%

Annual Financials (CAD)

Quarterly Financials (CAD)

Analyst Rating

Target Price Action Rating Action Analyst Rating Price Date

This is a composite scorecard based on the application of evaluation criteria deemed most important by analysts. This is not a buy or sell recommendation.

What to like:
Superior return on assets

The company management has delivered better return on assets in the most recent 4 quarters than its peers, placing it in the top quartile.

High dividend returns

The stock has outperformed its sector peers on average annual dividend returns basis in the past 5 years (for a hold period of at least 12 months) and is in the top quartile. This can be a good buy, especially if it is outperforming on total return basis , for investors seeking high income yields.

High market capitalization

This is one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.

Superior Revenue Growth

This stock has shown top quartile revenue growth in the previous 5 years compared to its sector.

What to not like:
Poor risk adjusted returns

This company is delivering below median risk adjusted returns in its peers. Even if it is outperforming on returns , the returns are unpredictable. Proceed with caution.

Highly leveraged

The company is in the bottom half compared to its sector peers on debt to equity and is highly leveraged. However, do check the news and look at its sector and management statements. Sometimes this is high because the company is trying to grow aggressively.

Poor capital utilization

The company management has delivered below median return on invested capital in the most recent 4 quarters compared to its peers.

Poor return on equity

The company management has delivered below median return on equity in the most recent 4 quarters compared to its peers.

Overpriced compared to book value

The stock is trading high compared to its peers median on a price to book value basis.

Overpriced compared to earnings

The stock is trading high compared to its peers on a price to earning basis and is above the sector median.

Below median total returns

The company has under performed its peers on annual average total returns in the past 5 years.

High volatility

The total returns for this company are volatile and above median for its sector over the past 5 years. Make sure you have the risk tolerance for investing in such stock.

Negative cashflow

The company had negative total cash flow in the most recent four quarters.

Negative free cash flow

The company had negative total free cash flow in the most recent four quarters.

Low Earnings Growth

This stock has shown below median earnings growth in the previous 5 years compared to its sector