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 28, 2026, 12:00 am

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

Royal Bank (RY) has garnered a mix of positive and cautious opinions among experts. Many regard RY as a strong choice among Canadian banks, often citing its stability, diversified revenue streams, and solid dividend growth as key strengths. The bank has shown robust earnings, with recent quarterly reports highlighting factors like cash reserves and a significant increase in capital markets earnings. However, there are concerns regarding its current valuation, which is perceived as high compared to historical averages. Experts suggest trimming positions in the stock, as the premium valuation could pose risks in a potentially softer economic environment. While some believe it remains a good long-term hold, others recommend waiting for a better entry point given the high price-to-earnings ratio.

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Consensus
Hold
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Valuation
Overvalued
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Similar
TD,TD
DON'T BUY
Doesn’t own any Canadian banks that have too much US exposure. Great Canadian franchise but hasn’t made any money in the US.
BUY
More involved as an investment bank which means more volatility. They have to deal with their US banking business, which is not working out. At these levels, you can make money. He likes it.
HOLD
Expanding into Europe and Asia. 3 Quarters of disappointing earnings. A little concerned. It’s a core holding.
TOP PICK
Was downgraded because of volatility of their capital markets but this should recover with the economy. Likes their expansion into wealth management internationally.
HOLD
Came out with some pretty poor results and disappointed a lot of their shareholders. People don’t like surprises from their bank. US assets indicate that the level of risk is still higher than estimated.
HOLD
Been a disappointment. Hasn’t done a lot. Tarnished more than other banks because in second quarter markets were slow. They are a big underwriter and important that stock markets are working. Their US subsidiary is in one of the poorer areas of the US and that is tarnishing them. They didn’t increase loan loss provisions, which is a positive thing. You will have a n opportunity to sell in the high 50’s if you hold out.
HOLD
Recently bought this and likes it going forward. Bank of Montreal (BMO-T) would be his top pick followed by TD (TD-T) and this one.
DON'T BUY
Has been a play on the US and on capital markets and revenues have been disappointing.
COMMENT
Has been the worst performing bank in the last 2 quarters. Historically, this could be a sign of the bank to Buy. Have had some issues recently.
WAIT
10 quarters in a row of bad quarters for their US operations. For 2 – 3 months you don’t want to buy this stock, but 2 – 3 years it is a buy. They are the best retail bank in Canada.
WEAK BUY
Doesn’t think you will make much money on banks. They are fairly priced. Can’t get excited about any of them. You should own some as dividends are attractive but he can do better elsewhere.
PAST TOP PICK
(A Top Pick Dec 3/09. Down 5.6%.) Sold his holdings.
BUY
Earnings due tomorrow. On a relative basis he suspects they won’t be as robust as National Bank’s (NA-T). Few problem areas in the US but very effective management team should take care of this. Extremely strong capital base. Buy for the long term.
DON'T BUY
Every bank has been charging into the wealth management business because they can charge ongoing fees. Acquisition of Phillips, Hager & North and move into the US has got them moving in the right direction. He values Cdn banks at around 10X earnings making them fairly valued.
DON'T BUY
Acting totally opposed to the other banks and in the first half there was a sell-off that was more than it should have been. 200 day moving average has flattened out and is just flirting with the stock price. There is also a down trend line, which does not show on any other bank. Go for Scotia (BNS-T), TD (TD-T) or Commerce (CM-T) instead, which are in a better technical position.
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