BN vs. BNS: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at BN and BNS, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
BN’s market capitalization of 104.09 billion USD is substantially larger than BNS’s 67.95 billion USD, indicating a significant difference in their market valuations.
BN’s beta of 2.19 points to significantly higher volatility compared to BNS (beta: 1.21), suggesting BN has greater potential for both gains and losses relative to market movements.
| Symbol | BN | BNS |
|---|---|---|
| Company Name | Brookfield Corporation | The Bank of Nova Scotia |
| Country | CA | CA |
| Sector | Financial Services | Financial Services |
| Industry | Asset Management | Banks - Diversified |
| CEO | James Bruce Flatt | L. Scott Thomson |
| Price | 63.16 USD | 54.55 USD |
| Market Cap | 104.09 billion USD | 67.95 billion USD |
| Beta | 2.19 | 1.21 |
| Exchange | NYSE | NYSE |
| IPO Date | December 30, 1983 | June 7, 2002 |
| ADR | No | No |
Historical Performance
This chart compares the performance of BN and BNS by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
BN
1.34%
Asset Management Industry
- Max
- 34.25%
- Q3
- 18.22%
- Median
- 11.24%
- Q1
- 5.81%
- Min
- -5.72%
BN’s Return on Equity of 1.34% is in the lower quartile for the Asset Management industry. This indicates a less efficient generation of profit from its equity base when compared to its competitors.
BNS
7.96%
Banks - Diversified Industry
- Max
- 20.93%
- Q3
- 14.73%
- Median
- 12.33%
- Q1
- 9.14%
- Min
- 5.86%
BNS’s Return on Equity of 7.96% is in the lower quartile for the Banks - Diversified industry. This indicates a less efficient generation of profit from its equity base when compared to its competitors.
Return on Invested Capital
BN
1.44%
Asset Management Industry
- Max
- 42.18%
- Q3
- 20.06%
- Median
- 8.68%
- Q1
- 3.13%
- Min
- -16.42%
BN’s Return on Invested Capital of 1.44% is in the lower quartile for the Asset Management industry. This indicates a less efficient conversion of invested capital into profit compared to most of its competitors.
BNS
0.69%
Banks - Diversified Industry
- Max
- 4.52%
- Q3
- 2.95%
- Median
- 1.89%
- Q1
- 0.86%
- Min
- 0.18%
Return on Invested Capital is often not a primary measure of capital efficiency in the Banks - Diversified industry.
Net Profit Margin
BN
0.75%
Asset Management Industry
- Max
- 91.66%
- Q3
- 57.81%
- Median
- 29.48%
- Q1
- 15.70%
- Min
- -27.65%
Falling into the lower quartile for the Asset Management industry, BN’s Net Profit Margin of 0.75% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.
BNS
8.83%
Banks - Diversified Industry
- Max
- 33.40%
- Q3
- 26.40%
- Median
- 19.24%
- Q1
- 14.99%
- Min
- 7.95%
Falling into the lower quartile for the Banks - Diversified industry, BNS’s Net Profit Margin of 8.83% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.
Operating Profit Margin
BN
22.92%
Asset Management Industry
- Max
- 99.76%
- Q3
- 78.28%
- Median
- 34.76%
- Q1
- 21.75%
- Min
- -48.25%
BN’s Operating Profit Margin of 22.92% is around the midpoint for the Asset Management industry, indicating that its efficiency in managing core business operations is typical for the sector.
BNS
8.50%
Banks - Diversified Industry
- Max
- 50.90%
- Q3
- 37.76%
- Median
- 28.44%
- Q1
- 15.73%
- Min
- 8.60%
BNS’s Operating Profit Margin of 8.50% is below the typical range for the Banks - Diversified industry, suggesting challenges in generating profit from its core business activities relative to its peers.
Profitability at a Glance
| Symbol | BN | BNS |
|---|---|---|
| Return on Equity (TTM) | 1.34% | 7.96% |
| Return on Assets (TTM) | 0.12% | 0.47% |
| Return on Invested Capital (TTM) | 1.44% | 0.69% |
| Net Profit Margin (TTM) | 0.75% | 8.83% |
| Operating Profit Margin (TTM) | 22.92% | 8.50% |
| Gross Profit Margin (TTM) | 26.32% | 15.99% |
Financial Strength
Current Ratio
BN
1.11
Asset Management Industry
- Max
- 12.44
- Q3
- 5.76
- Median
- 3.04
- Q1
- 1.03
- Min
- 0.01
BN’s Current Ratio of 1.11 aligns with the median group of the Asset Management industry, indicating that its short-term liquidity is in line with its sector peers.
BNS
0.19
Banks - Diversified Industry
- Max
- 0.67
- Q3
- 0.49
- Median
- 0.39
- Q1
- 0.28
- Min
- 0.06
For the Banks - Diversified industry, the Current Ratio is often not the most suitable measure of short-term liquidity.
Debt-to-Equity Ratio
BN
5.43
Asset Management Industry
- Max
- 2.62
- Q3
- 1.42
- Median
- 0.76
- Q1
- 0.34
- Min
- 0.01
With a Debt-to-Equity Ratio of 5.43, BN operates with exceptionally high leverage compared to the Asset Management industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.
BNS
5.65
Banks - Diversified Industry
- Max
- 4.98
- Q3
- 3.65
- Median
- 3.13
- Q1
- 1.73
- Min
- 0.09
With a Debt-to-Equity Ratio of 5.65, BNS operates with exceptionally high leverage compared to the Banks - Diversified industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.
Interest Coverage Ratio
BN
1.10
Asset Management Industry
- Max
- 13.30
- Q3
- 6.30
- Median
- 2.71
- Q1
- 1.00
- Min
- -6.91
BN’s Interest Coverage Ratio of 1.10 is positioned comfortably within the norm for the Asset Management industry, indicating a standard and healthy capacity to cover its interest payments.
BNS
0.16
Banks - Diversified Industry
- Max
- 0.98
- Q3
- 0.78
- Median
- 0.55
- Q1
- 0.31
- Min
- 0.09
The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Banks - Diversified industry.
Financial Strength at a Glance
| Symbol | BN | BNS |
|---|---|---|
| Current Ratio (TTM) | 1.11 | 0.19 |
| Quick Ratio (TTM) | 0.96 | 0.19 |
| Debt-to-Equity Ratio (TTM) | 5.43 | 5.65 |
| Debt-to-Asset Ratio (TTM) | 0.50 | 0.34 |
| Net Debt-to-EBITDA Ratio (TTM) | 7.86 | 40.83 |
| Interest Coverage Ratio (TTM) | 1.10 | 0.16 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for BN and BNS. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
BN
0.67%
Asset Management Industry
- Max
- 26.09%
- Q3
- 11.60%
- Median
- 6.37%
- Q1
- 2.75%
- Min
- 0.00%
BN’s Dividend Yield of 0.67% is in the lower quartile for the Asset Management industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.
BNS
9.25%
Banks - Diversified Industry
- Max
- 7.73%
- Q3
- 4.16%
- Median
- 3.24%
- Q1
- 2.27%
- Min
- 0.00%
BNS’s Dividend Yield of 9.25% is exceptionally high, placing it well above the typical range for the Banks - Diversified industry. While this may seem attractive, an unusually high yield can sometimes be a warning sign, reflecting a falling stock price or market concerns about the dividend’s sustainability.
Dividend Payout Ratio
BN
108.21%
Asset Management Industry
- Max
- 1,034.88%
- Q3
- 127.70%
- Median
- 75.15%
- Q1
- 34.21%
- Min
- 0.00%
BN’s Dividend Payout Ratio of 108.21% is above 100%. This means the company is paying out more in dividends than it earned, a practice that is often unsustainable and could indicate a risk to future dividend stability.
BNS
86.66%
Banks - Diversified Industry
- Max
- 84.94%
- Q3
- 39.11%
- Median
- 26.91%
- Q1
- 0.00%
- Min
- 0.00%
At 86.66%, BNS’s Dividend Payout Ratio is exceptionally high, exceeding the typical range for the Banks - Diversified industry. While this provides a significant return to shareholders, it may limit funds for reinvestment and could be difficult to sustain.
Dividend at a Glance
| Symbol | BN | BNS |
|---|---|---|
| Dividend Yield (TTM) | 0.67% | 9.25% |
| Dividend Payout Ratio (TTM) | 108.21% | 86.66% |
Valuation
Price-to-Earnings Ratio
BN
155.22
Asset Management Industry
- Max
- 38.72
- Q3
- 23.40
- Median
- 11.45
- Q1
- 8.80
- Min
- 1.54
At 155.22, BN’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Asset Management industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.
BNS
14.01
Banks - Diversified Industry
- Max
- 14.13
- Q3
- 13.37
- Median
- 11.90
- Q1
- 9.29
- Min
- 7.43
A P/E Ratio of 14.01 places BNS in the upper quartile for the Banks - Diversified industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.
Forward P/E to Growth Ratio
BN
8.14
Asset Management Industry
- Max
- 6.38
- Q3
- 3.23
- Median
- 1.55
- Q1
- 0.89
- Min
- 0.02
BN’s Forward PEG Ratio of 8.14 is exceptionally high for the Asset Management industry. This suggests its stock price is very high relative to its expected earnings growth, signaling significant overvaluation risk.
BNS
1.12
Banks - Diversified Industry
- Max
- 1.98
- Q3
- 1.41
- Median
- 1.15
- Q1
- 0.77
- Min
- 0.45
BNS’s Forward PEG Ratio of 1.12 is within the middle range of its peers in the Banks - Diversified industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
Price-to-Sales Ratio
BN
1.28
Asset Management Industry
- Max
- 13.75
- Q3
- 7.92
- Median
- 4.87
- Q1
- 3.51
- Min
- 0.02
In the lower quartile for the Asset Management industry, BN’s P/S Ratio of 1.28 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.
BNS
1.24
Banks - Diversified Industry
- Max
- 4.15
- Q3
- 2.92
- Median
- 2.29
- Q1
- 1.83
- Min
- 0.94
The P/S Ratio is often not a primary valuation tool in the Banks - Diversified industry.
Price-to-Book Ratio
BN
2.10
Asset Management Industry
- Max
- 5.33
- Q3
- 2.75
- Median
- 1.06
- Q1
- 0.87
- Min
- 0.00
The P/B Ratio is often not a primary valuation metric for the Asset Management industry.
BNS
1.10
Banks - Diversified Industry
- Max
- 1.89
- Q3
- 1.47
- Median
- 1.23
- Q1
- 1.10
- Min
- 0.65
BNS’s P/B Ratio of 1.10 is in the lower quartile for the Banks - Diversified industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.
Valuation at a Glance
| Symbol | BN | BNS |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 155.22 | 14.01 |
| Forward PEG Ratio (TTM) | 8.14 | 1.12 |
| Price-to-Sales Ratio (P/S, TTM) | 1.28 | 1.24 |
| Price-to-Book Ratio (P/B, TTM) | 2.10 | 1.10 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | -28.98 | 4.40 |
| EV-to-EBITDA (TTM) | 11.37 | 49.95 |
| EV-to-Sales (TTM) | 4.15 | 6.78 |