{"id":19070,"date":"2025-08-05T22:44:33","date_gmt":"2025-08-05T22:44:33","guid":{"rendered":"https:\/\/finderica.com\/?p=19070"},"modified":"2025-08-05T22:44:33","modified_gmt":"2025-08-05T22:44:33","slug":"cibc-overtakes-scotiabank-in-market-value-after-stocks-47-run","status":"publish","type":"post","link":"https:\/\/finderica.com\/?p=19070","title":{"rendered":"CIBC overtakes Scotiabank in market value after stock\u2019s 47% run"},"content":{"rendered":"
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By Chaimae Chouiekh<\/strong><\/p>\n

(Bloomberg) \u2014 Canadian Imperial Bank of Commerce has inched past Bank of Nova Scotia in market capitalization to become Canada\u2019s fourth-most valuable bank, as investor sentiment shifts in favour of lenders with more exposure to the domestic market.\u00a0<\/p>\n

CIBC has been the top-performing major Canadian bank over the past year, with its shares soaring 47%, giving it a market value of C$94.6 billion ($68.9 billion) as of Friday\u2019s close. It hadn\u2019t outranked Scotiabank since the early 2000s, until this month.<\/p>\n

Scotiabank has been the worst performer of the group, with its shares rising 17% over the past 12 months. That\u2019s largely due to underwhelming earnings as the bank executes a long-term strategy of trying to shrink the capital it allocates to Latin America.\u00a0<\/p>\n

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\"CIBC<\/figure>\n<\/div>\n

\u201cI think there\u2019s been a decent culture shift now\u201d at CIBC, said Dan Rohinton, a portfolio manager at iA Global Asset Management. \u201cIt\u2019s been long enough and consistent enough that you can give them credit for the sustainability and durability of the work that they\u2019ve put forward.\u201d\u00a0<\/p>\n

With borrowing costs stabilizing and the Canadian housing market showing signs of resilience, investors have turned toward lenders with heavier exposure to domestic retail banking. CIBC has emerged as a relative safe haven amid global market volatility. The bank derived 63% of its earnings from Canadian personal, business and commercial banking and wealth management in the first six months of the fiscal year.\u00a0<\/p>\n

Investors and analysts have also pointed to improvements in CIBC\u2019s technology, costs and productivity as factors that have allowed the bank to outperform peers.<\/p>\n

Scotiabank is also pushing to win a bigger share of the Canadian market under CEO Scott Thomson, who took over the top job in 2023. But it\u2019s still in the middle stages of a strategic overhaul that has seen the firm shift investments away from Latin America \u2014 where political instability and inflation have cut into profitability \u2014 and toward Canada, the US and Mexico.<\/p>\n

\u201cThe fact that Scotia\u2019s differentiating factor really was a focus on international and Latin America, with the region not performing very well over the last few years, has obviously negatively impacted investors\u2019 view of their outlook,\u201d Jefferies analyst John Aiken said in an interview.<\/p>\n

After the most recent earnings report, RBC Capital Markets analyst Darko Mihelic wrote that Scotiabank\u2019s international banking segment is still in \u201ctransition mode,\u201d and the stock is trading at a low valuation in part because of struggles in growing its Canadian franchise.\u00a0<\/p>\n

A representative for Scotiabank declined to comment.<\/p>\n

\u00a92025 Bloomberg L.P.<\/em><\/p>\n

Visited 236 times, 242 visit(s) today<\/p>\n

banks big banks bloomberg Chaimae Chouiekh cibc Dan Rohinton Darko Mihelic John Aiken market capitalization scotiabank<\/p>\n

Last modified: August 5, 2025<\/p>\n<\/p><\/div>\n

Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

By Chaimae Chouiekh (Bloomberg) \u2014 Canadian Imperial Bank of Commerce has inched past Bank of Nova Scotia in market capitalization to become Canada\u2019s fourth-most valuable bank, as investor sentiment shifts in favour of lenders with more exposure to the domestic market.\u00a0 CIBC has been the top-performing major Canadian bank over the past year, with its<\/p>\n","protected":false},"author":1,"featured_media":19071,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"rank_math_lock_modified_date":false,"footnotes":""},"categories":[216],"tags":[5303,94,7641,3994,5908,108],"class_list":{"0":"post-19070","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-mortgage","8":"tag-cibc","9":"tag-market","10":"tag-overtakes","11":"tag-run","12":"tag-scotiabank","13":"tag-stocks"},"_links":{"self":[{"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/posts\/19070","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/finderica.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=19070"}],"version-history":[{"count":0,"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/posts\/19070\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/media\/19071"}],"wp:attachment":[{"href":"https:\/\/finderica.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=19070"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/finderica.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=19070"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/finderica.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=19070"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}