The big Canadian banks concluded earnings season this week as experts and analysts pondered whether or not the institutions could exceed the impressive performance in 2018. Although the largest Canadian institutions continue to be an attractive option, regional banks have also emerged to boast good income in recent years.
Let’s look at two banks today that could be a great addition to your portfolio heading into the winter months.
Canadian Western Bank (TSX:CWB) has yet to release its fourth quarter results for 2017. The Edmonton-based bank mainly serves personal and commercial clients Western Canadian provinces. Shares of Canadian Western Bank have increased 18.6% in 2017. In the third quarter the bank posted net income of 24% to $56.3 million as well as record total revenue of $184.4 million – up 9% from the prior year. The stock offers an annual dividend of $0.76 representing a dividend yield of 3%.
Laurentian Bank of Canada (TSX:LB) is a Montreal-based regional bank that services retail clients in Quebec. The stock was down 1.45% at the bottom of the noon hour on December 6, and has declined 4.5% in 2017. The bank released its fourth quarter results on December 5.
The bank posted revenue of $268 million which was up from the $236.4 million reported in the prior year. It also reported adjusted earnings of $66.5 million or $1.63 per diluted share compared to $50.5 million or $1.47 per diluted share in Q4 2016. Laurentian Bank hiked its quarterly dividend to $0.63 per share representing a 4.5% dividend yield.
