TSE:RY

Royal Bank (RY.TO)

300.09
-0.61 (0.20%)
as of Aug 17, 2026, 8:00:00 pm Market Open.
1478 watching
0
Investor Insights
star iconAug 16, 2026, 12:00 am

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

Royal Bank (RY-T) is widely regarded as the top Canadian bank and has excelled in capital markets and wealth management. Recent reviews highlight its strategic decisions, such as the acquisition of HSBC, which position it well for future growth through cross-selling products. While the Canadian banking sector has performed strongly, the stock is trading at historical highs in terms of price-to-earnings ratios, prompting concerns about valuation among some analysts. The bank's dividend yield, while lower than 3%, has shown a consistent upward trend. Many experts see RY as a cornerstone holding in their portfolios due to its stable growth and ability to maintain capital during market uncertainties. Despite the current high valuations, RY continues to be recommended as a solid long-term investment, with potential for growth as market conditions evolve.

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Consensus
Buy
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Valuation
Overvalued
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Similar
TD, TD
DON'T BUY
Fully valued. Corporate finance had a good run, but those numbers cannot be extrapolated into the future.
BUY
Good bank. Clicking away in all the right places. Have a great core franchise in retail. Good level.
BUY
All of the banks have retraced a little bit. If your time horizon is long enough, this is a buying opportunity. Can see a possible 15% one-year return at low risk.
PAST TOP PICK
(A Top Pick Nov 22/05. Up 8%.) This was for a Jan/08 call option which probably tripled.
TOP PICK
This is selling a covered call. Dividend of about 3% gives you a cash flow. Because banks are correcting based on fears of interest rates going up further, this is not a bad way to play the banks for the next 2/3 months.
BUY
They have addressed their problems in the US and have turned it around. A reasonable story. Bank stocks are vulnerable to the interest-rate environment in the short-term. Great place to be for the long term. Very little competition.
HOLD
Banks are not cheap, by traditional measures. They are all trading above their historical price to earnings ratio levels. Substantially more expensive than the American/New York money central banks. As interest rates go up, he expects banks to lose their momentum.
HOLD
Canadian banks look a little expensive compared to US banks but, on the other hand, they are in a much stronger competitive position. Mutual-fund sales have been excellent.
BUY
Prefers Toronto Dominion (TD-T) and Bank of Nova Scotia (BNS-T). This would be her third choice. It has made the turn on its US operations.
DON'T BUY
The outlook for financials has been quite good and continues to be good. Used to be the best run bank, but went through a period where it was tripping over itself. The quality of management has been picking up. Has had a big run and is probably overpriced.
BUY
Not expensive. Management has done a good job of building value in the last year or two. We'll be growing their franchises in the US.
HOLD
Had an excellent quarter. Has phenomenal ROE. The operations in Canada, particularly the retail banking, wealth management, capital markets business are all performing extremely well. Not crazy about banks at this time but a good holding.
BUY
The preferred bank in Canada. Always more expensive, but it's always better to pay more for a better company. Dividend keeps increasing. Well-managed. Prefers companies that have better growth profiles then banks.
DON'T BUY
Has recovered very well from a year ago. Still feels their are some longer term questions with their strategy. Have been having better news lately and their earnings have been coming in strong. Pretty well priced. Would consider taking profits if you own.
WEAK BUY
RBC Financial has lagged behind in 2005 because of the problems with their US division. They have addressed these problems and the turn around seems to be in place. It is reasonable value. RBC is her third favourite bank, prefers TD and Bank of Nova Scotia.
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