This Top Bank Stock Is Down 6% Over the Past 3 Months and Could Be a Great Buy Today

Bank of Montreal (TSX:BMO)(NYSE:BMO) has fallen more than 6% over the past three months, and the stock could be a solid pick up for investors today.

Bank stocks as a whole have been a bit underwhelming in 2019 as concerns around a slowdown in the economy and mortgages being more difficult to obtain have weighed on expectations.

What we do know is that, over the long term, bank stocks will rise in value. At around $99 per share, BMO has generally had a lot of support at this level since 2017.

While there have been occasional dips below this, the stock has always bounced back. And with returns being down since the start of 2017, the stock could be well overdue for a big rally.

A good earnings report coming up could push the stock well above the $100 mark, the only question is whether it will stay there or if the industry needs something bigger to help give bank stocks some much-needed momentum.

However, with a dividend that’s now yielding around 4.2%, it’s a great payout for one of the country’s top banks. And with dividend payments likely to increase over the years, it could be a good option for investors to just buy and forget about the stock.

BMO’s place is secure as one of the top bank stocks on the TSX and although it may take sometime before the stock finally stays above $100, there’s little doubt that it won’t rise from where it is today.

In five years, BMO’s share price has risen by around 24%.