About BMO Dividend Returns
Bank of Montreal (BMO) is a dividend-paying stock. When dividends are reinvested through a DRIP (Dividend Reinvestment Plan), they purchase additional shares, which then generate their own dividends—creating a compounding effect that can significantly boost long-term returns.
How We Calculate Total Return
Our total return calculator simulates dividend reinvestment (DRIP) by assuming each dividend payment is used to purchase additional shares at the closing price on the ex-dividend date. This methodology provides an accurate representation of how a dividend reinvestment plan would perform.
Frequently Asked Questions
Q1What is the total return of BMO over the past year?
Bank of Montreal (BMO) delivered a total return of 44.54% over the past year when dividends are reinvested. The price-only return was 39.98%, meaning dividends contributed an additional 4.55 percentage points to total returns.
Q2How much would $10,000 invested in BMO be worth today?
A $10,000 investment in Bank of Montreal one year ago would be worth $14,454 today with dividends reinvested (DRIP). Without reinvesting dividends, the same investment would be worth $13,998. Dividend reinvestment added $455 to the portfolio value.
Q3Does BMO pay dividends?
Yes, Bank of Montreal (BMO) pays dividends. In the last year, BMO paid approximately $6.96 per share in dividends (3.53% yield). Reinvesting these dividends through a DRIP can significantly boost long-term returns — over 20+ years, dividend compounding can account for 30–50% of total returns for dividend-paying stocks.
Q4Did BMO beat the S&P 500?
Yes, Bank of Montreal (BMO) outperformed the S&P 500 by 29.09 percentage points over the past year. BMO delivered a total return of 44.54%, compared to the S&P 500's 15.45%. This 29.09pp alpha means investors in BMO earned more than a passive S&P 500 index fund.
Q5What is BMO's worst drawdown?
Bank of Montreal (BMO) experienced a maximum drawdown of -14.86% over the past year, declining from its peak on 2025-02-28 to its trough on 2025-04-08. The stock recovered to its prior peak by 2025-05-16. Maximum drawdown measures the worst peak-to-trough decline and is an important risk metric for investors.
Q6What is BMO's long-term total return over 10, 20, or 30 years?
Bank of Montreal (BMO) has delivered strong long-term returns with dividends reinvested. Over 10 years, the total return is 227.9% (12.6% CAGR) — $10,000 would have grown to $32,790. Over 20 years: 240.5% total return (6.3% CAGR) — $10,000 → $34,052. Over 30 years: 1789.0% total return (10.3% CAGR) — $10,000 → $188,897. Long-term investors benefit from compounding: dividends buy additional shares, which generate their own dividends, creating an exponential growth effect.
Q7What was BMO's best and worst year?
Bank of Montreal's best calendar year was 2009 with a total return of 101.1%. Its worst year was 2008 with a total return of -54.1%. This range shows the volatility investors should expect — the difference between the best and worst year is 155.2 percentage points.
Find the Best Dividend Stocks
Screen for dividend stocks with the highest total returns (including DRIP).