Strong earnings beat with broad segment strength and credit improvement supports a positive outlook. Monitor for Q3 charge related to the Stonepeak divestiture (~$1.1B pre-tax) and details on the 19.9% equity stake reinvestment, which will impact reported earnings but is presented as an adjusting item.
Price Chart
Executive Summary
BMO reported strong Q2 2026 results with net income of $2,630M (+34% YoY) and EPS of $3.53 (+41% YoY), driven by broad-based revenue growth across all segments and a sharp decrease in provisions for credit losses. The filing also announced a definitive agreement to sell its Transportation Finance and Vendor Finance businesses to Stonepeak, with an expected ~$1.1B pre-tax charge in Q3, and an increased quarterly dividend to $1.71 per share.
Key Facts
- Reported net income of $2,630M (+34% YoY) and adjusted net income of $2,733M (+34% YoY)
- Reported EPS of $3.53 (+41% YoY) and adjusted EPS of $3.67 (+40% YoY)
- Provision for credit losses decreased to $739M from $1,054M in Q2 2025
- Dividend increased to $1.71 per share (+5% YoY, +2% QoQ)
- Agreed to sell Transportation Finance and Vendor Finance businesses to Stonepeak; expects ~$1.1B pre-tax charge in Q3
- Purchased 6.0M shares for cancellation at avg. $193.47 per share during Q2
- CET1 ratio of 13.0% (vs 13.5% YoY, down from 13.1% Q1)
Financial Impact
Reported net income increased ~$668M YoY; EPS up $1.03 YoY; PCL down $315M; dividend up $0.08/share YoY
Risk Factors
- Expected ~$1.1B pre-tax charge from Stonepeak divestiture in Q3 (classified as adjusting item)
- CET1 ratio declined to 13.0% from 13.5% YoY due to buybacks and RWA growth
- U.S. dollar weakness reduced U.S. Banking reported net income by 5%
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 5 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 6-K Filing (Primary) | 0000927971-26-000088 |
| Document: q22026form6k-earningreleas.htm | 0000927971-26-000088 |
| Document: 0000927971-26-000088-index-headers.html | 0000927971-26-000088 |
| Document: 0000927971-26-000088-index.html | 0000927971-26-000088 |
| Document: 0000927971-26-000088.txt | 0000927971-26-000088 |
Track record builds as more directional reports settle.
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
May 27, 2026 21w ago | 6-K | $21.49 $21.43 | ▼ −0.28% | ▼ −2.16% | $19.23 (−10.52%) |
May 27, 2026 21w ago | 6-K | $21.49 $21.43 | ▼ −0.28% | ▼ −2.16% | $19.23 (−10.52%) |
May 27, 2026 21w ago | 6-K | $21.49 $21.43 | ▼ −0.28% | ▼ −2.16% | $19.23 (−10.52%) |
May 27, 2026 21w ago | 6-K | $21.49 $21.43 | ▼ −0.28% | ▼ −2.16% | $19.23 (−10.52%) |
May 27, 2026 21w ago | 6-K | $21.49 $21.43 | ▼ −0.28% | ▼ −2.16% | $19.23 (−10.52%) |
US Market Status
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