National Bank of Canada Beats Q3 Estimates, Stock Falls on Integration Timeline
National Bank of Canada posted strong third-quarter 2026 results, exceeding analyst estimates on both earnings per share and revenue. The bank's EPS rose 26% year over year to CAD 3.39, beating forecasts by 6.6%, while revenue increased 18% to CAD 4.05 billion, surpassing the estimated CAD 3.86 billion.
The lender attributed its profit growth to broad-based strength across personal and commercial banking, wealth management, and capital markets. Mortgage growth, in particular, remained a key driver, with personal mortgages increasing 14% year over year due to renewal activity and market share gains.
Despite the earnings beat, National Bank's stock fell 5.15% to $211.07, suggesting investors were focused on the delayed AIRB conversion timeline and lower-than-expected capital benefits from the CWB integration. Management reiterated its target of more than 17% return on equity by 2027 and said it expects to end fiscal 2026 above its 16% ROE goal.