TSE:RY

Royal Bank (RY.TO)

288.01
-1.11 (0.38%)
as of Jun 26, 2026, 8:00:00 pm Market Open.
1477 watching
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Investor Insights
star iconJun 27, 2026, 12:00 am

This summary was created by AI, based on 55 opinions in the last 12 months.

Royal Bank (RY-T) has been a strong performer, with a consensus appreciation for its stability, especially in its capital markets and wealth management divisions. Experts praise the bank's robust earnings, dividends that have grown consistently, and its strategic acquisition of HSBC Canada, which is expected to enhance its global platform. However, there are concerns regarding its current high valuation relative to historical standards and the overall Canadian banking sector, leading some to suggest trimming positions. While many maintain a positive outlook on RY due to its dominance and management quality, the general sentiment reflects caution against buying at elevated prices with potential headwinds from slowing loan growth and economic pressures.

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Consensus
Hold
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Valuation
Overvalued
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Similar
TD,TD
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.
DON'T BUY
Still having to deal with its US operations. Have done well in wealth management. Valuations are very high relative to the rest. Loan and deposit growth is starting to mature and slow down. Will probably not raise dividends for a little while.
TOP PICK
It was in the penalty box but last quarter looked pretty good. Others have increased dividends so he thinks RY will before the end of the year. The under performing bank soon becomes the top performer.
BUY
Two periods of strong seasonality (end of Feb until end of May and (end of Oct until end of Dec) Last year didn’t show very well. Right now it is on an upward trend, out performing the market. We are testing the resistance level now. You want to see it break that during this seasonality. Probably they will raise their dividend in their next report. During the summer you are going to see the stock break to an all time high. Buy at current prices.
BUY
Canada is going to be broadening its appeal to international investors. The first place they will look is the commodity area and next will be banks because they have been so well behaved. Getting into a period of accelerating earnings. Likes it long term.
BUY
The banks trade together. RY has been a laggard. Last quarter was a surprise. Credit metrics have gotten better. He is concerned about commercial real estate exposure in the US. They are getting their act back together. If they make acquisitions, he would see them catching up.
BUY ON WEAKNESS
Cdn banks are in a sweet spot on a global basis. May have a 2-3 year window where they are so financially strong compared to their global peers that they will be able to do mergers and take market share without a lot of risk. Well positioned and well managed.
TOP PICK
Has lagged the other banks for the last couple of years because of problems in their US operations. They’re the major player in capital markets in Canada and when trading revenues do well, they do well.
WATCH
Has been the under performer of all the Cdn banks. Reporting very soon, so you’ll have to wait. If they disappoint viz. a viz. the other banks, it’s going to be ugly.
DON'T BUY
This is not one of the Canadian banks that he favours. Doesn’t like the US exposure which is becoming a big part of the bank and which they virtually earn no money but actually lose money. Would prefer National (NA-T) or Bank of Nova Scotia (BNS-T). If you want one with US exposure, Toronto Dominion (TD-T) would be a better one to own.
COMMENT
Reporting on March 3. Concerned about their US holdings so this bank is not at the top of his list. Think they will be OK. Not sure they will increase their dividends.
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