Bank of Nova Scotia (TSX:BNS)(NYSE:BNS) finds itself in the lower tier of valuation multiples among its peers, making this bank an interesting value play from this perspective, but also an attractive dividend play as its lower stock price has made its dividend yield increasingly attractive.
While some smaller banks may be at a greater risk of a dividend cut, most experts do believe that Canada’s largest banks are likely to remain in solid financial shape through this pandemic, barring an extraordinarily terrible scenario taking place.
In this current environment, Scotiabank’s current dividend yield I view as attractive and sustainable, making this stock a great income pick for investors with a relatively long-term investing time horizon.