TSE:RY

Royal Bank (RY.TO)

270.60
-0.34 (0.13%)
as of Jun 5, 2026, 8:00:00 pm Market Open.
1475 watching
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Investor Insights
star iconJun 5, 2026, 12:00 am

This summary was created by AI, based on 52 opinions in the last 12 months.

Royal Bank (RY) has received largely positive feedback from various analysts, positioning it as a strong player within the Canadian banking sector. The bank is praised for its diversified operations, strong capital markets presence, and significant wealth management capabilities. Analysts note an annual return on equity (ROE) of around 16% and have highlighted recent quarterly earnings that show an increase in net income and cash reserves. However, some experts express caution regarding its valuation, suggesting that while it remains a solid hold, there may be more attractive opportunities in the sector as the stock is trading at a premium. Overall, analysts recommend maintaining positions and viewing RY as a long-term investment, despite fluctuations and concerns about future growth in the Canadian economy.

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Consensus
Buy
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Valuation
Overvalued
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Similar
TD,TDD
DON'T BUY
Has had a wonderful upbull. In 2000 it was $35 and got up to $65. About January 2004 the stock started to meander. There was a dividend, but not much capital appreciation. It is currently at a crossroad. Put a stop/loss in at $61.50.
BUY
Expects bank stocks will do quite well over a 5 year horizon. They do well in retail, wealth management and sometimes in international growth. Have a lot of cash on their balance sheets and can buy back stocks, pay extra dividends or do acquisitions. In the next 12 months the return will be lower than previous.
BUY
Q: Coming into an inheritance. What is a buy for a long term hold that pays dividends? A: Good dividend. 2/3 of gains over time are made from dividends. Good long term hold.
WAIT
Not too excited on the near term prospects on it, but you shouldn't lose a lot here. Really need to address problems in the US. Have a great Canadian franchise. Return on Equity (ROE) is lower than the group and their capital ratios are not as good. Balance sheet is weaker. Until you see them focusing on their US problems, stay clear.
TOP PICK
Was up 4% last year with the group when the majors were up 13%. Essentially a 10% laggard to the group. Whenever a bank has lagged that much, it will catch up. It's hopefully a fixable problem. 2 aspects in the US, mortgages making only a little bit of money, and the broker side.
WAIT
Good long term hold. Would hold off buying until they clean up the mess in the US.
BUY
#1 bank for value today is National. Differential of 21% between what they think it's worth and the current stock price. Toronto Dominion is #2 and Royal is #3. Not much difference between the current price and their model price. Banks have paused here for awhile.
BUY
Has stumbled in the last couple of years because of its US strategy. Reasonable value, but prefers Bank of Nova Scotia and Toronto Dominion.
TOP PICK
Market is discounting all the bad news on the stock. The US franchise has to be sorted out and that's a big issue, but people are overlooking that the broker part of the US business is doing OK. Have to get out of the insurance business because it makes no sense to be in insurance in the US. 3 1/2% yield.
WEAK BUY
A range trader. A very defensive name. Not his favourite play in the bank sector.
TOP PICK
Top Short Has ongoing US problems. Uptrend has been broken. The small rally was only able to reach the uptrend line. If interest rates go up, it is going to have some problems.
BUY
Banks are trading at about 60% of the same price earnings multiple of the market, so not a problem. Not a bad place to be for long term stability.
DON'T BUY
Not a fan of the banks. Historically, they are all trading at 55 valuation highs and have always had major corrections.
DON'T BUY
Earnings for Cdn banks are coming in disappointing and the stocks are showing this. A more interesting area in Cdn financials would be life insurance companies.
PAST TOP PICK
(A Top Pick Sep 9/04. Up 6%.) Thinks the situation in the US is gradually turning around. Doesn't expect a spectacular quarter this time, but things are improving.
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