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Canadian (TSX) Banks Industry Analysis
UpdatedMay 22, 2025
DataAggregated Company Financials
Companies9
- 7D1.0%
- 3M2.8%
- 1Y18.2%
- YTD3.2%
Over the last 7 days, the Banks industry has remained flat. The past year has been better, since the industry has gained 18% in that time. Earnings are forecast to grow by 6.4% annually.
Industry Valuation and Performance
Has the Canadian Banks Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Fri, 23 May 2025 | CA$743.6b | CA$207.7b | CA$51.1b | 13.8x | 14.6x | 3.6x |
| Sun, 20 Apr 2025 | CA$677.5b | CA$207.7b | CA$51.1b | 12.6x | 13.3x | 3.3x |
| Tue, 18 Mar 2025 | CA$688.4b | CA$207.7b | CA$51.1b | 13.1x | 13.5x | 3.3x |
| Thu, 13 Feb 2025 | CA$722.2b | CA$202.5b | CA$49.4b | 14.2x | 14.6x | 3.6x |
| Sat, 11 Jan 2025 | CA$721.8b | CA$203.6b | CA$49.6b | 14.8x | 14.5x | 3.5x |
| Mon, 09 Dec 2024 | CA$731.2b | CA$195.5b | CA$50.2b | 14.5x | 14.6x | 3.7x |
| Wed, 06 Nov 2024 | CA$696.4b | CA$206.4b | CA$47.7b | 12.9x | 14.6x | 3.4x |
| Fri, 04 Oct 2024 | CA$694.4b | CA$206.4b | CA$47.7b | 12.5x | 14.6x | 3.4x |
| Sun, 01 Sep 2024 | CA$663.8b | CA$206.4b | CA$47.7b | 12x | 13.9x | 3.2x |
| Tue, 30 Jul 2024 | CA$638.6b | CA$202.7b | CA$49.6b | 11.8x | 12.9x | 3.2x |
| Thu, 27 Jun 2024 | CA$605.8b | CA$202.7b | CA$49.6b | 11.1x | 12.2x | 3x |
| Sat, 25 May 2024 | CA$618.8b | CA$199.9b | CA$48.7b | 10.6x | 12.7x | 3.1x |
| Mon, 22 Apr 2024 | CA$608.2b | CA$199.0b | CA$49.4b | 10.4x | 12.3x | 3.1x |
| Wed, 20 Mar 2024 | CA$615.7b | CA$199.0b | CA$49.4b | 10.8x | 12.5x | 3.1x |
| Fri, 16 Feb 2024 | CA$592.4b | CA$195.5b | CA$44.8b | 11x | 13.2x | 3x |
| Sun, 14 Jan 2024 | CA$596.8b | CA$195.5b | CA$44.8b | 10.8x | 13.3x | 3.1x |
| Tue, 12 Dec 2023 | CA$576.7b | CA$195.3b | CA$44.7b | 10.3x | 12.9x | 3x |
| Thu, 09 Nov 2023 | CA$541.2b | CA$197.4b | CA$51.6b | 9.3x | 10.5x | 2.7x |
| Sat, 07 Oct 2023 | CA$540.7b | CA$197.4b | CA$51.6b | 9.4x | 10.5x | 2.7x |
| Mon, 04 Sep 2023 | CA$575.5b | CA$197.4b | CA$51.6b | 10.2x | 11.1x | 2.9x |
| Wed, 02 Aug 2023 | CA$600.2b | CA$192.7b | CA$52.1b | 10.8x | 11.5x | 3.1x |
| Fri, 30 Jun 2023 | CA$578.3b | CA$192.7b | CA$52.1b | 10x | 11.1x | 3x |
| Sun, 28 May 2023 | CA$568.6b | CA$192.5b | CA$52.2b | 9.9x | 10.9x | 3x |
| Tue, 25 Apr 2023 | CA$596.0b | CA$192.7b | CA$57.6b | 9.7x | 10.3x | 3.1x |
| Thu, 23 Mar 2023 | CA$573.2b | CA$192.7b | CA$57.6b | 9.3x | 10x | 3x |
| Sat, 18 Feb 2023 | CA$637.8b | CA$191.8b | CA$65.6b | 9.4x | 9.7x | 3.3x |
| Mon, 16 Jan 2023 | CA$612.0b | CA$191.8b | CA$65.6b | 8.8x | 9.3x | 3.2x |
| Wed, 14 Dec 2022 | CA$591.9b | CA$191.8b | CA$65.6b | 8.5x | 9x | 3.1x |
| Fri, 11 Nov 2022 | CA$608.1b | CA$185.3b | CA$61.0b | 9.8x | 10x | 3.3x |
| Sun, 09 Oct 2022 | CA$559.2b | CA$185.3b | CA$61.0b | 8.6x | 9.2x | 3x |
| Tue, 06 Sep 2022 | CA$582.9b | CA$185.3b | CA$61.0b | 8.9x | 9.6x | 3.1x |
| Thu, 04 Aug 2022 | CA$600.9b | CA$188.4b | CA$63.0b | 9.3x | 9.5x | 3.2x |
| Sat, 02 Jul 2022 | CA$590.3b | CA$188.4b | CA$63.0b | 9.1x | 9.4x | 3.1x |
| Mon, 30 May 2022 | CA$650.5b | CA$188.7b | CA$63.0b | 10.2x | 10.3x | 3.4x |
Price to Earnings Ratio
10.3x
Current Industry PE
- Investors are optimistic on the Canadian Banks industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 14.6x which is higher than its 3-year average PE of 11.8x.
- The 3-year average PS ratio of 3.2x is lower than the industry's current PS ratio of 3.6x.
Past Earnings Growth
- The earnings for companies in the Banks industry have declined 6.7% per year over the last three years.
- Meanwhile revenues for these companies have grown 3.3% per year.
- This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased, which has decreased profits.
Industry Trends
Which industries have driven the changes within the Canadian Financials industry?
| CA Market | 0.88% | |
| Financials | 0.04% | |
| Banks | 0.95% | |
| Diversified Banks | 0.97% | |
| Regional Banks | -1.77% | |
Industry PE
- Investors are most optimistic about the Diversified Banks industry which is trading above its 3-year average PE ratio of 11.8x.
- Analysts are expecting annual earnings growth of 6.4%, which is lower than the prior year's growth of 17.2% per year.
- Investors are most pessimistic about the Regional Banks industry, which is trading close to its 3-year average of 9.2x.
Forecasted Growth
- Analysts are most optimistic on the Regional Banks industry, expecting annual earnings growth of 13% over the next 5 years.
- This is better than its past earnings decline of 15% per year.
- In contrast, the Diversified Banks industry is expected to see its earnings grow by 6.4% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| TD Toronto-Dominion Bank | CA$92.81 | 2.3% +CA$3.7b | 22.8% | PB1.4x | |
| RY Royal Bank of Canada | CA$175.41 | 0.7% +CA$1.7b | 22.1% | PB2x | |
| CM Canadian Imperial Bank of Commerce | CA$92.85 | 1.2% +CA$1.0b | 40.3% | PB1.5x | |
| NA National Bank of Canada | CA$128.29 | 0.5% +CA$254.3m | 12.6% | PB2x | |
| BMO Bank of Montreal | CA$143.73 | 0.06% +CA$58.2m | 10.7% | PB1.2x |