TSE:RY

Royal Bank (RY.TO)

295.01
+1.34 (0.46%)
as of Jul 24, 2026, 8:00:00 pm Market Open.
1479 watching
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Investor Insights
star iconJul 26, 2026, 12:00 am

This summary was created by AI, based on 57 opinions in the last 12 months.

Royal Bank (RY) is widely recognized as the leading bank in Canada, benefiting from a favorable regulatory environment and robust investments in capital markets and wealth management. Many analysts have reiterated it as a 'Top Pick,' citing its strong earnings growth and consistent dividend payments. Despite its strong performance, concerns about valuation persist, particularly with the stock trading at high multiples compared to historical averages. Comments on future growth potential highlight the bank's ability to adapt in the current economic climate, although some experts advise exercising caution due to high valuation levels. Overall, RY is considered a stable, long-term investment with significant upside potential, supported by growing cash reserves and elevated return on equity targets.

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Consensus
Positive
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Valuation
Overvalued
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Similar
TD, TD
PAST TOP PICK
(A Top Pick Dec 20/10. Up 8.41%.) Still likes.
DON'T BUY
Why has it taken off so suddenly and what do you think will happen if European financials go down the drain? His model price is $50.28 giving it a negative of 4%-5%. People in US and Canada are looking for yield now so all banks will have some sort of lift because of that. Regarding Europe, we have already seen the results.
HOLD
Seasonal trends tend to be favorable this time of the year. A downtrend was broken. You will probably not get much resistance until $55 so it is a reasonable hold.
PAST TOP PICK
(A Top Pick Jan 6/11. Up 5.54%.) At the time, it had come off and looked quite cheap. Reported a good quarter shortly after and ran but, like all the banks, has pulled back. Good dividend.
BUY
For a long-term hold? Canadian banks have been the best-performing bank stocks globally and this one is our leader. Went through a tough period in 2011. Was in the doghouse most of the year and is now starting to come out. Their US situation is now behind them, rather than ahead of them.
SELL
Done very well the last little while. It is in the period of seasonal strength that us end of October to today. Take profits Tuesday morning.
BUY
Very cheap stock right now. Unduly punished for mistakes it made 5 years ago by going into the US. Those mistakes are now behind it and he feels their results were quite strong. Have a terrific franchise, particularly on the investment side and the personal wealth management side. Pays a nice yield and dividends are due to go up.
BUY
Good entry point.
DON'T BUY
Not a big fan of the banks in general. Cdn banks are probably the highest quality banks globally, which is great, but a lot of money came into them and the valuations became high compared to other stocks and other banks outside of Canada. This one has been a disappointment and he doesn't see this changing soon.
BUY
We are coming into a $47-$48 range. There will be some significant resistance when it reaches $50. Probably due for a little bit of a pullback, maybe to $47 but it could be bought now. You'll have to be patient with it.
BUY ON WEAKNESS
He is light in the banks, only owns NA-T because they have the best balance sheet in North America. RY had trouble investing their money outside of Canada. This one is on their radar and they will own it at the right price. Wait before buying banks.
DON'T BUY
Feels there is a lot of compression in the earnings of the stock and he doesn't see a major catalyst to any of the bank stocks going up a lot.
DON'T BUY
There is a lot of concern on how much 2nd party risks and contagion from Europe for all banks. Dividend is pretty stable and secure but what is a 5% dividend to stock is down 20%.
HOLD
Used to trade at a premium to all banks but is now trading at a discount to them. Thinks it will earn $4.50 this year and more next year. Trading at 10X earnings.
DON'T BUY
All Cdn banks have been pretty volatile sideways traders from around 2005. Considers that more as yield plays, not growth stories. In the short-term, they are being compressed on interest margins. There has also been a decline in consumer spending and mortgage lending has been flat. They could trade off a little more.
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