Scotiabank's Share Price Rally: Valuation Reassessed

Bank of Nova Scotia's share price has risen 91% over five years, with a current price of around CA$98.30. The bank's valuation score is 2/6, indicating it is not a slam dunk bargain on traditional metrics. However, the Excess Returns model suggests the stock is 36.9% undervalued, implying the market is discounting its ability to keep earning attractive returns on a stable book value.