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-T) is widely viewed as a strong performer in the Canadian banking sector, with reviews highlighting its premium positioning and strong capital markets performance. Experts cite robust earnings growth driven by investments in technology, particularly in capital markets and wealth management, as key factors contributing to its resilience. While the valuation of RY is noted to be at a premium compared to historical averages, many analysts believe this premium is justified due to the bank's consistent performance, effective management, and growth potential, particularly following the acquisition of HSBC Canada. Despite some concerns about market valuations being high and potential economic headwinds, RY maintains a favorable outlook, with many recommending it as a core holding for long-term investors. Dividend growth is also a recurring theme, showcasing the bank's commitment to return capital to shareholders while supporting growth initiatives.

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Consensus
Buy
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Valuation
Overvalued
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Similar
TD
PAST TOP PICK
(A Top Pick July 6/10. Up 7.3%.)
DON'T BUY
Don’t worry about the lawsuit in the news recently. They have had some difficulty in the US. They have a spectacular Canadian business. We don’t know where they are going to invest their cash flow in the business now that they aren’t investing in the US.
PAST TOP PICK
(Top Pick Sep 9/10, Up 5.30% Total Return) All the banks have sagged except TD. Increased dividend 8% as with some of the others. He is solidly with the banks. Still adding for new clients.
STRONG BUY
At this price, it's a great buy. He is continuing to add it to new accounts.
BUY
Following the trend of the capital markets, which has not been that robust. In any 5 year rolling time, it will return some pretty good dividends and will perform very well.
PAST TOP PICK
(A Top Pick Jan 19/11. Up 0.55%.) Still likes.
SELL
Banks have had an incredible return to form after the recession. He would be thinking what his sell target is. They pay a good dividend. Only banks in the US interest him now.
HOLD
Has under performed the other banks. Used to be the premium bank with great franchises and it's big size. Has some issues with the US banking and has spent a lot of money buying wealth management companies. Market is unsure about their strategy.
SELL
At its peak was at the valuation high that it has been at for the last 60 years. When this happens with companies, he is inclined to Sell and let them go.
BUY
Has probably been beaten up the most out of all the banks. Got a pretty good price for selling their US division. Expect they will reinvest this in their Canadian operations and are generating gobs of cash in Canada. $60 a year from now.
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.
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