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
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.
BUY
One of his favourites. Expecting very handsome dividend increases over the next 12 months.
DON'T BUY
Banks have all virtually moved sideways over the last 4-5 months, this one in particular. Expects it will continue so don’t rush out to Buy. Prefers Bank of Nova Scotia (BNS-T).
BUY
Banks are pretty fully valued. It is a “quasi US bank”.
WEAK BUY
Favorite bank in terms of price because it under performed so. But he is not going aggressive in bank stocks right now.
BUY
Are trying to beef up their weak asset management business. It is the right strategy. They trade a rich premium to global banks but there is a reason for that. They have a stable environment, with stable assets and growth opportunities. Should hike dividends. 8-10% of return including dividends. Assets are fully priced in.
BUY
Seasonality for the Canadian banks is different from American. American Banks are strong after their year end December 31st. Canadian banks perform mid-October until April 12th. It’s a good bank because its been in the dog house.
DON'T BUY
Not crazy about banks from an earnings standpoint. Housing market is slowing down, which is a big part of their loan books. Doesn't expect unusual performance out of any of them.
TOP PICK
Under performed the other banks in the last 6 months or so. Challenged in the last 2 quarters because of their capital market side. Acquisition in the UK should work out well for them.
TOP PICK
Likes it because they stumbled and were put in the penalty box for a while. Believes management is taking steps to address that. Their margins in the wealth management business are not up to some of the their competitors. They acquired a company in great Britain that has grown incredibly over the last number of years. That will help contribute to margins in wealth management. 3.5% yield.
BUY
Likes Canadian banks. Have seen earnings growth come back into them in the last few quarters. Last quarter was shaky because volumes were sluggish. This one has been in the penalty box so you could combine it with the best one, Toronto Dominion (TD-T).
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