Still Bullish on 2 Canadian Banks
For the most part, Canadian financial institutions bypassed all the troubles of their American and European counterparts, so not only did they avoid years of rebuilding but they're gaining international attention as banks of choice for investors around the world, notes Jack Adamo in Insiders Plus.
I've long been a fan of Canadian banks for their solid balance sheets and conservative operations. We currently have positions in Canadian Imperial Bank of Commerce (CM) and the Toronto-Dominion Bank (TD).
Both are making higher highs and higher lows on their long-term charts. Profitability is increasing modestly along with Canada's GDP, and their dividends, already better than American banks, have the fuel to grow. I expect these trends to continue. We will add 2% to each stock this week.
Canadian Imperial Bank of Commerce (CM)
Based in Toronto, CIBC provides various financial products and services to individuals, as well as small business, commercial, corporate, and institutional clients in Canada and internationally. It's one of the top four banks in Canada and, like the others, has very little in common with big US money center banks, having avoided the great majority of their pitfalls.
The shares have more than tripled in the last ten years, and recently hit a new all-time high.