TSE:RY

Royal Bank (RY.TO)

270.60
-0.34 (0.13%)
as of Jun 5, 2026, 8:00:00 pm Market Open.
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Investor Insights
star iconJun 6, 2026, 12:00 am

This summary was created by AI, based on 52 opinions in the last 12 months.

Royal Bank (RY) has been reviewed positively by multiple financial experts, highlighting its stable performance and strong management. It has shown substantial growth, with a commendable increase in both profit margin and market position, benefiting from a robust capital markets business and the successful acquisition of HSBC Canada. However, some experts express caution, pointing out that RY is trading at high valuation metrics, with premium multiples that may lead to a restrictive growth outlook. A consensus emerges that while RY maintains its status as a leading Canadian bank with solid fundamentals, the valuation may limit near-term upside. Many analysts recommend holding the stock due to potential for steady dividends and modest growth in the longer term, suggesting RY is a core holding yet requiring vigilance concerning market fluctuations.

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Consensus
Buy
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Valuation
Overvalued
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Similar
TD,TD
COMMENT
Toronto Dominion (TD-T) versus Royal Bank (RY-T) for a long-term hold and dividend yield? TD has been building a strong retail franchise and is his favourite. There consumer loan book has been growing. Likes their acquisition of Chrysler Financial. Royal has had way too much leverage/exposure to trading revenue.
DON'T BUY
Cnd banks are under pressure because of rising consumer debt levels and the probability of slow loan growth. Hitting this bank a little harder than others that might have international exposure. Basically closed down their US operations and retreated back into the Canadian marketplace.
BUY
Likes it. From a risk point of view, they have committed themselves to being a retail Canadian bank (because they sold there US asset), an asset manager and an investment bank. Volatility is from the investment banking side. Question is can they grow that business to a size where it makes a difference on the bottom line. Retail franchise is very strong. Selling US asset was a good thing, but where they invest the money is a question.
TOP PICK
Banks have all started increasing dividends, which is positive. Have always traded at a premium to the group because of their higher ROE but their valuation now is more in line with the group. Decided to get out of the retail and got a relatively good price for it.
TOP PICK
Selling off their US retail operations, which is a great move. Going forward, this allows them to refocus on what their effort in the US is going to be. Will probably be in more profitable areas like wealth management and capital, which is what they excel in.
BUY
To him, all of the banks are a gift. Dividend yield with most of the banks is higher than 5-year government bonds and they’ll probably continue to raise them.
HOLD
Banks are economy stocks so he is looking for a bit slower growth over the next 4 to 6 months. His top pick would be Bank of Nova Scotia (BNS-T), TD (TD-T) second and Royal would be third.
BUY
Royal bank (RY-T) or Toronto Dominion (TD-T)? Likes TD better because of the strong consumer brand both in Canada and US. Royal has a lot more capital markets’ revenues and profitability so there is more lumpiness. Both of them are still excellent stocks.
COMMENT
Should caller trim at this price? Stock has traded from $52 to $60 so you may want to trim. If you are a nimble trader, it makes some sense. Expects they will increase their dividend on May 27. 3.3% dividend.
BUY
Thinks they will raise their dividend this year and next. Thinks earnings are going to be good. There’s no bad news out there for the banks. Favorite is NA and also owns BNS.
BUY
His number 2 banks based on the fact that it fell the most. Sees things turning around a little bit. A good entry point/
HOLD
Been range bound for awhile, which is mildly encouraging. Usual seasonal strength is from the end of February to the end of May. Seems to be hanging in there so far. Hitting its head against the all time high of $62.30. Suggests you hold until month end. Good possibility it may increase Its dividend and the anticipation will help the stock on a short term basis.
BUY ON WEAKNESS
Seasonality for banks is January until April 15th. He sold his holdings in April. Technically it could pull back to about $54. His concern is if it went below that. Good entry point would be to wait for it to get to the $54 area, pull back up a little and showing some strength with good volume. Cdn banks start to outperform at the beginning of October.
DON'T BUY
Not getting him overly excited right now. Prefers National Bank or CIBC. When the market turns, it will be the financials that lead the market. Thinks they might sell off their US assets.
BUY
Reasonably good entry point. Worse performing bank last year but has picked up a little bit this year. With its current valuation and yield and with last year’s performance, it’s probably the best value in the banking sector now.
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