Topic: How To Invest

Pat: Is it better to go with one of the other big banks over Canadian Western? Is it too regionally bound? Thanks.

Article Excerpt

Canadian Western Bank, $29.23, symbol CWB on Toronto (Shares outstanding: 80.4 million; Market cap: $2.4 billion; www.cwbank.com), offers business and personal banking services across the four western provinces. It’s the biggest Canadian bank headquartered in Western Canada and the country’s eighth-largest. The bank’s wholly owned subsidiaries include National Leasing Group, Canadian Western Trust Company, Valiant Trust Company, Canadian Direct Insurance and Canadian Western Financial. In the three months ended January 31, 2015, Canadian Western Bank’s earnings rose 6.8%, to $52.4 million, or $0.65 a share. A year earlier, it earned $49.1 million, or $0.61. Revenue improved 6.1%, to $150.9 million from $142.2 million. Low interest rates continue to spur loan demand. As well, the bank set aside $7.0 million to cover future bad loans, down 8.5% from $7.6 million a year earlier. In February 2015, Canadian Western announced a new plan to focus on its main banking businesses. As a result, it agreed to sell Canadian Direct Insurance to Intact Financial, symbol IFC on…