Royal Bank (RY.TO)

Good risk management company. High quality management team with excellent franchise value. Does not think interest rates will fall as quickly as expected. Credit losses will not be as high as predicted. Good long term investment. 

The support level is at $119 which would be a good buying opportunity. It should get back to the mid $120's by the end of the year. Set your stop loss at $113. CIBC and TD are his big bank holdings. Prices will be affected by positive inflation and interest rate news.

Banks are reflecting lots of bad news in the Canadian economy. Likes the HSBC acquisition, should add to long-term growth. Diversified. Attractive multiple around 10.5x earnings, 1.4x book. Loan loss provisions will climb a bit, but manageable. Banks report next week. Highly regulated industry. Hopes City National in US to stabilize soon. Yield is 4.52%.

An excellent company and buying pullbacks is a fine strategy. They're diversified geographically, in business (personal and commercial banking here and the US), dominant wealth management franchise in Canada, and have grown their dividend 7% compounded over the last decade. Now pays under 5%. You're paid to wait. Expect a double-digit return over a cycle.

The price per book is just over 1.5 down from an average of 1.8 over the past 10 years. The book value has increased for 29 years in a row, It is rare to be able to buy it at less than 10X earnings where it is now.     Buy 10  Hold 6  Sell 1

Try RY for wealth management, or TD for US retail banking. His preferences in the space, and he owns both.

Hands-down is the best Canadian bank.

Trades at a premium. More growth for 2024 than the others. Benefit of HSBC transaction. Great wealth builder over time, but there are better opportunities in the market right now. He'd step in at 5-10% lower.

"Baby with bathwater." Net interest margin compression, credit provisions picking up. Credit cycles follow interest cycles like night follows day. Nothing likely to derail the dividend, verging on 5% and growing at 7-8%. HSBC acquisition will cement leading position further in Canadian banking.

He's no trader, but a long-term investor. Perhaps the best of the Canadian banks, which are hated now because bonds are safer and pay high yields. This will change. Eventually, people will see that banks offer growth and pay dividends. 

Banks have performed poorly this year. Great dividend yield. Fears of recession are real, but won't be hurt too badly in mortgage market. Not expecting a big increase in non-performing loans. Loan books are in great shape, as regulations result in bigger risks shifting to non-bank lenders.

Still likes Canadian banks, even with the pullback. Positioned well defensively. Great dividends that aren't going anywhere, even as the stock price fluctuates. A preference for her in the space, based on valuation and potential upside. Over the long run, more consistent and less volatile. 

Canada's top bank, leading in digital adoption like AI to drive growth.  Pays a 4.5% dividend, growing 7% compounded over the past decade. He forecasts a double-digit return in the coming decade. RY has outperformed the TSX in the last 19 of 25 years.

(Analysts’ price target is $138.52)

Good time to purchase shares with price down.
Recently beat analyst expectations on quarterly report.
Able to grow loan book last 1-2 years despite interest rate hikes.
Gaining market share in GIC market.
HSBC acquisition hoping to close in 2024 - good for business.
Will benefit from inflow of immigration into Canada. 

Least volatile of them all. Spits out its dividend, stock's always going up. Good time to buy. Not hugely risky, but make sure it stays above $118 or start reducing. Downside potential is $108-109, so size your position according to that.