57.75 0.00 (0.00%)
After hours: 4:17PM EST
|Bid||57.74 x 1000|
|Ask||57.75 x 800|
|Day's range||57.37 - 57.84|
|52-week range||48.34 - 58.22|
|Beta (3Y monthly)||1.27|
|PE ratio (TTM)||11.27|
|Earnings date||6 Feb 2017 - 10 Feb 2017|
|Forward dividend & yield||2.76 (4.80%)|
|1y target est||72.27|
Brian Porter has been the CEO of The Bank of Nova Scotia (TSE:BNS) since 2013. This report will, first, examine the...
(Bloomberg) -- Baking under the Caribbean sun and hemmed in between the banks of the polluted Isabela and Ozama rivers, the impoverished neighborhood of Capotillo in the Dominican Republic’s capital, Santo Domingo, is a face of this nation outsiders rarely see.Here and in other neighborhoods like it, the long-ruling Dominican Liberation Party, or PLD, is struggling to retain support ahead of elections next year.“The economy grows, but it doesn’t flow down to us,” says 68-year-old Luis Tomas Solano, who works with the Fundacion Escoba, a community organization that works to pick up garbage and fumigate against mosquitoes. “There is no drainage system, water arrives every three days, and the lights goes out for 24 hours at a time.”The PLD, has, with the exception of four years in the early 2000s, held the presidency since 1996. The Dominican Republic has had the highest growth in the Americas after Panama over the last decade, led by tourism and construction.In poor districts like Capotillo, however, the government’s successes can be harder to see. Some 40% of the population still lives in poverty, according to the World Food Programme.Combined with a recent feud within the PLD between current President Danilo Medina and former President Leonel Fernandez, this disconnect has helped erode support for the party.‘Dangerous Pass’Prelimary results showed Fernandez losing the Oct. 6 primary by a razor-thin margin to Medina’s chosen successor, former Minister of Public Works Gonzalo Castillo. Fernandez is alleging fraud and is demanding a review of the balloting overseen by international observers.“Things have come to a very dangerous pass now,” says Minou Tavarez Mirabal, who served in the Dominican congress from 2002 to 2014 and was a longtime member of the PLD, subsequently resigning from the party. She has since helped form a new party, the Alliance for Democracy.Tavarez Mirabal said that the country’s despotic political tradition and fragile democratic institutions have combined to become “an authoritarian power project” by the ruling party.Medina’s proposal to change the constitution to allow him to seek a third term set off alarm bells in a country that only emerged from dictatorship in the 1970s, even though he eventually relented.The PLD’s control of congress, the judiciary and the presidency has bred a sense of impunity and allowed graft to flourish, the party’s critics say.Some of the hundreds of millions of dollars paid out in bribes by Brazilian construction firm Odebrecht ended up in the Dominican Republic. Seven current and former officials have been charged for alleged malfeasance in connection with the company’s operations in the country.Deep DivideThe Medina government has refused requests that an independent commission investigate alleged kickbacks over a Odebrecht-built coal plant southwest of the capital.“There is a great institutional crisis,” said Miguel Ceara-Hatton, an economist at the Center for Economic and Social Studies at Santo Domingo’s Pontifical Catholic University, who is affiliated with the opposition Modern Revolutionary Party. “The justice system is controlled by the government. The Supreme Court is made up of recognized militants of the official party. And the case of Odebrecht and the prosecutor’s action showed a willingness to protect members of the current government.”The PLD has strongly pushed back against allegations of corruption.“The government has been taking action since 2012, when the president took office,” Minister of Finance Donald Guerrero Ortiz said in an interview, citing a series of measures that criminalize corruption and tax fraud. Long before the Odebrecht scandal, “the government was already taking steps to increase transparency levels and improve the processes of purchase and contracting by the state,” he said.In 2017 and 2018, tens of thousands of demonstrators took to the streets to protest against corruption in the so-called Green March movement. Some saw a possible reordering of the nation’s political map in the offing.The PLD saw that, too, and last year, managed to pass a law placing a series of restrictions on political competition in the country. The law is being challenged in the courts.‘And Getting Better’It is not hard to find supporters of the government in the nation’s business sector.“The Dominican Republic is an out-performer in the region,,” said Jan Ortiz, the treasurer with the Bank of Nova Scotia’s local unit. “The last 15 years have been really good for the economy in general. The opportunities we see here are good and getting better.”Despite that, the minimum wage for workers in one of the nation’s more than 700 free-trade zones -- areas where goods can be assembled and packaged and exported without being subject to customs duties -- is 10,000 pesos per month, a little under $200, and the wage divide is felt sharply in neighborhoods like Capotillo.“In order to buy a television set, our families have to stop eating,” Solano says. “There is no worker in this neighborhood who says, ‘look, I went on vacation,’ because the salary is barely enough to cover a quarter of what the family expenses are. We have a population that spends another day in misery, in destitution.”To contact the reporter on this story: Michael Deibert in San Juan at firstname.lastname@example.orgTo contact the editors responsible for this story: Matthew Bristow at email@example.com, Robert JamesonFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg) -- Terms of Trade is a daily newsletter that untangles a world embroiled in trade wars. Sign up here. Prime Minister Justin Trudeau, fighting for his political life three weeks away from an election, is seeking a second mandate from voters to increase the nation’s debt to deliver tax cuts and spending.In a costed platform released Sunday, the incumbent Liberals detailed a C$57 billion ($43 billion) plan over four years -- worth about half a percent of annual gross domestic product -- and pledged to pay for it with fresh borrowing, should they retain power.The plan represents a doubling down by Trudeau on deficit spending his team says is needed to stoke growth and provide struggling households, many of them with high levels of personal debt, with help. The prime minister’s critics, however, say the Liberals have been spending too much in good times and aren’t setting enough fiscal ammunition aside for when a recession hits.Under the Liberal plan, Canada’s deficit would peak at C$27.4 billion next year, bringing it above 1% of GDP for the first time since 2012, before dropping to C$21 billion by 2023. That far exceeds the C$14 billion deficit recorded in 2018. In total, the plan would add an additional C$31.5 billion in deficits and bring the cumulative budget gap over the next four years to C$93 billion.Politically, the Liberals hope the higher deficits will give them a potential wedge issue in a campaign where the two major parties have rolled out similar policy objectives -– from tax cuts to helping first time home buyers and seniors. Conservative Leader Andrew Scheer has yet to release his full fiscal projection but has promised to eventually return the budget to balance, though only over five years.Rate ImplicationsIn fact, given Scheer’s reluctance for a quick return to balance, both the Liberal and Conservative plans are poised to deliver a boost to the economy next year, no matter who wins. It’s perhaps even enough to prompt the Bank of Canada to reconsider cutting interest rates, according to Jean-Francois Perrault, chief economist at Bank of Nova Scotia in Toronto.“It seems clear whoever is in power, you are looking at a bigger deficit than had there not been an election,” Perrault said in a telephone interview.Opinion polls show the Liberals are running neck and neck with the Conservatives, despite Trudeau’s campaign being jolted by revelations he wore black and brownface makeup numerous times as a younger man. Seat projections tabulated by the Canadian Broadcasting Corp. show neither party holding enough support to win a majority.Deficits matter in Canada, with a collective aversion to debt that was cemented in the mid-1990s amid ratings agency downgrades, a falling currency and a national unity crisis. It remains an explosive issue, even though Trudeau’s deficits have hovered at less than 1% of GDP, far below many other western nations. The U.S. budget deficit is close to 5% of GDP.In the 2015 election campaign, Trudeau pledged to run deficits but for only three years and no more than a cumulative C$25 billion. By 2019, Canada’s budget would be back in balance.Since taking power however, his budget gaps have escalated and Trudeau has abandoned any willingness to balance the budget. In fact, he’s using his deficits as a lever to attack the opposition Conservatives, claiming they plan to bring austerity measures that will slow the economy and eliminate government services.“I will let the Conservatives explain why cuts and austerity -- if they really think so -- are going to help Canadians,” Trudeau told reporters at a Toronto-area campaign stop Sunday.Deficit TrackTrudeau’s first three budgets were in the negative by a cumulative C$52 billion. His last budget in March projected a deficit for the current fiscal year of about C$20 billion.The Liberals would retain their existing fiscal anchor, which is to keep the nation’s debt as a share of GDP on a downward trajectory -- but just barely. The debt-to-GDP ratio would fall to 30.2% by 2023, from 30.9% last year. That’s well above the 28.6% the government had projected in four years’ time in its last budget in March. They also pledged to preserve Canada’s AAA credit rating.There are new revenue raising measures, totaling C$25.4 billion over four years, in the Liberal platform.The tax measures announced Sunday are short on details, but will be focused on corporations and wealthier Canadians, according to the documents. The Liberals believe they can raise an additional C$2 billion as early as next year by undertaking “a new comprehensive review of government spending and tax expenditures, to ensure that wealthy Canadians do not benefit from unfair tax breaks.”They also expect to raise C$1.7 billion in 2020 by cracking down on corporate tax loopholes that allow companies to deduct debt. Other new measures include a 3% value-added-tax on digital companies with worldwide revenue of more than C$1 billion. It would take effect April 1 and be expected to raise more than C$500 million next year. The Liberals also plan to impose a 10% luxury tax on cars and boats worth more than C$100,000.(Updates with details throughout.)\--With assistance from Erik Hertzberg, David Scanlan and Eric Lam.To contact the reporter on this story: Theophilos Argitis in Ottawa at firstname.lastname@example.orgTo contact the editors responsible for this story: Theophilos Argitis at email@example.com, Stephen Wicary, Chris FournierFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Higher revenues, and decent loan and deposit growth support Bank of Montreal's (BMO) fiscal Q3 earnings. However, increase in credit costs is a headwind.
The Bank of Nova Scotia's (BNS) third-quarter fiscal 2019 (ended Jul 31) earnings reflect higher revenues, its solid capital levels and elevated expenses.
Swiss Universal Bank, a unit of Credit Suisse (CS) will transform its branch to a digital branch with the creation of direct banking unit, effective Sep 1.
Bank of Nova Scotia (BNS) delivered earnings and revenue surprises of 2.92% and -0.80%, respectively, for the quarter ended July 2019. Do the numbers hold clues to what lies ahead for the stock?
Rising operating expenses are likely to affect Golar LNG's (GLNG) Q2 performance. However, strength in the shipping market is expected to aid quarterly results.
Marvell's (MRVL) fiscal second-quarter results are likely to be hurt by a weak storage and networking business. However, the Cavium business is likely to be a key growth driver.
StealthGas' (GASS) second-quarter 2019 results are likely to be aided by lower costs. However, the company may suffer on the top-line front.
Bank of Nova Scotia (BNS) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Canadian banks are expected to report decent earnings growth, driven by slight rise in interest income. However, dismal non-interest income performance and higher expenses may act as dampeners.