The third-largest of the Big Five Canadian banks, Scotiabank (TSX:BNS)(NYSE:BNS), released its fourth quarter and full-year results for 2019 on November 26.
Scotia has leveraged its international footprint to fuel encouraging growth in recent years. It stood out compared to its peers in Q4, especially with TD Bank and Royal Bank putting out substandard fourth-quarter reports.
On an adjusted basis, Scotiabank posted net income of $9.41 billion in 2019 compared to $9.14 billion in the prior year. Diluted earnings per share rose to $7.14 over $7.11 in 2018.
Its International Banking segment achieved double-digit earnings growth for the full-year as net income rose to $3.38 billion.
Scotia’s bet on Pacific Alliance economic growth has been a good one, and it aims to leverage its footprint in the years to come. Global Banking and Markets also posted double-digit earnings growth to $1.53 billion for the year.
Scotiabank announced a quarterly dividend of $0.90 per share. This represents a 4.8% yield as of close on December 9. The bank has delivered dividend-growth for eight consecutive years.
Shares of Scotia possessed a price-to-earnings ratio of 11.2 as of close on December 9. It also had a price-to-book value of 1.4. This puts it in average range compared to its industry peers.
Investors who are on the hunt for a bank stock with some punch to its dividend should look to Scotia.
