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TSE:RY

Royal Bank (RY.TO)

296.26
-3.83 (1.28%)
as of Aug 18, 2026, 8:00:00 pm Market Open.
1478 watching
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Investor Insights
star iconAug 18, 2026, 12:00 am

This summary was created by AI, based on 58 opinions in the last 12 months.

Royal Bank (RY) is regarded as the top Canadian bank, benefiting significantly from its capital markets and wealth management divisions. The recent acquisition of HSBC has opened avenues for growth and product cross-selling. Analysts highlight the bank's ability to sustain its dividend, which has historically risen, as well as the positive regulatory changes that have reduced capital requirements, allowing for increased lending potential. While there is a general caution regarding high price-to-earnings ratios across Canadian banks, RY is viewed as a stable, defensible investment with robust growth prospects, even though some experts suggest caution due to its premium valuation. Overall, the bank's solid management, diversified operations, and strong market position contribute to its reputation as a reliable long-term investment.

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Consensus
Buy
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Valuation
Overvalued
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Similar
TD,TD
TOP PICK
Canada's premier bank. Good management. Continues to build its franchise. Hasn't been tagged with the US banking problems. 6.1% yield.
TOP PICK
Biggest and most profitable bank in Canada. Has successfully expanded in the Caribbean through the Royal Trust and in the southeastern US 1st of Alabama (?). Continue to execute very well. 5.7% yield.
BUY
HSBC (HBC-N) vs. Royal Bank (RY-T). Fantastic banks. Would lean more towards the Canadian banks because he knows them better.
HOLD
Thinks the financials have further to rally.
DON'T BUY
Relative to the other Canadian banks, it is probably the most overvalued at this time, especially because of their US exposure. Not putting any money into financials right now.
BUY
Raised $2 billion in equity and several hundred million in preferred shares. Solid balance sheet. Tier 1 capital. Good hold on a long-term basis. Dividends are secure. (See Top Picks.)
COMMENT
One of the premier banks globally. The whole Canadian banking sector will have headwinds going forward. Still worthwhile to own banks but doesn't think it's going to go anywhere.
TOP PICK
Thinks they are the strongest financial institution in Canada. Has a tremendous franchise. Thinks their US assets are manageable. Incredibly cheap at 9 X next year's earnings. Yield of 5.6%.
COMMENT
Just doing an equity issue at $35.25 and looks like a fairly good discount to the market. Seems to be going quite well. This should be enough to get them through the balance sheet concerns.
TOP PICK
(2 Top Picks are pair trades.) Buy Royal Bank (RY-T) and Short Cannacord (CCI-T). Once you see some predictability in the market (6 months?) you might consider getting out.
BUY
Look at how far it has dropped from 5 years ago. This could be the entry point providing you can deal with the fluctuating markets and that you have a 3-year view.
BUY
Canadian banks are the best capitalized banks globally. If you have any time horizon at all, he would own Canadian banks.
PARTIAL BUY
Earnings will be pressured and will be softer. Core retail banking is still there. By the time you wait for the earnings turn, these stocks will have long turned. You might nibble in over the next quarter or so.
DON'T BUY
Last bank to start going down. Relative to the rest of the banks, it is quite expensive. Until this one has its own setback in the market, Canadian banks overall will not be a Buy.
BUY ON WEAKNESS
Finance Minister has announced that banks going to get a $50 billion package. This bank will have to deal with its US subsidiaries and all the tuck-in acquisitions they have made. Still have very strong franchise and he has no concerns with this one.
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