RY Stock Overview
Royal Bank of Canada operates as a diversified financial service company worldwide.
No risks detected for RY from our risk checks.
Royal Bank of Canada Competitors
Price History & Performance
|Historical stock prices|
|Current Share Price||CA$125.90|
|52 Week High||CA$149.60|
|52 Week Low||CA$118.24|
|1 Month Change||-1.15%|
|3 Month Change||0.45%|
|1 Year Change||-3.86%|
|3 Year Change||27.39%|
|5 Year Change||35.44%|
|Change since IPO||1,904.38%|
Recent News & Updates
Royal Bank of Canada (TSE:RY) Is Increasing Its Dividend To CA$1.28
Royal Bank of Canada's ( TSE:RY ) dividend will be increasing from last year's payment of the same period to CA$1.28 on...
|RY||CA Banks||CA Market|
Return vs Industry: RY matched the Canadian Banks industry which returned -4.7% over the past year.
Return vs Market: RY underperformed the Canadian Market which returned -2% over the past year.
|RY Average Weekly Movement||2.6%|
|Banks Industry Average Movement||3.1%|
|Market Average Movement||10.8%|
|10% most volatile stocks in CA Market||19.4%|
|10% least volatile stocks in CA Market||4.3%|
Stable Share Price: RY is less volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: RY's weekly volatility (3%) has been stable over the past year.
About the Company
Royal Bank of Canada operates as a diversified financial service company worldwide. The company’s Personal & Commercial Banking segment offers checking and savings accounts, home equity financing, personal lending, private banking, indirect lending, including auto financing, mutual funds and self-directed brokerage accounts, guaranteed investment certificates, credit cards, and payment products and solutions; and lending, leasing, deposit, investment, foreign exchange, cash management, auto dealer financing, trade products, and services to small and medium-sized commercial businesses. This segment offers financial products and services through branches, automated teller machines, and mobile sales network.
Royal Bank of Canada Fundamentals Summary
|RY fundamental statistics|
Is RY overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|RY income statement (TTM)|
|Cost of Revenue||CA$0|
Last Reported Earnings
Apr 30, 2022
Next Earnings Date
Aug 24, 2022
|Earnings per share (EPS)||11.61|
|Net Profit Margin||32.28%|
How did RY perform over the long term?See historical performance and comparison
4.1%Current Dividend Yield
Is RY undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score 3/6
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Key Valuation Metric
Which metric is best to use when looking at relative valuation for RY?
Other financial metrics that can be useful for relative valuation.
|What is RY's n/a Ratio?|
Price to Earnings Ratio vs Peers
How does RY's PE Ratio compare to its peers?
|RY PE Ratio vs Peers|
|Company||PE||Estimated Growth||Market Cap|
TD Toronto-Dominion Bank
BNS Bank of Nova Scotia
BMO Bank of Montreal
CM Canadian Imperial Bank of Commerce
RY Royal Bank of Canada
Price-To-Earnings vs Peers: RY is expensive based on its Price-To-Earnings Ratio (10.8x) compared to the peer average (9.1x).
Price to Earnings Ratio vs Industry
How does RY's PE Ratio compare vs other companies in the North American Banks Industry?
Price-To-Earnings vs Industry: RY is expensive based on its Price-To-Earnings Ratio (10.8x) compared to the Canadian Banks industry average (9.2x)
Price to Earnings Ratio vs Fair Ratio
What is RY's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
|Current PE Ratio||10.8x|
|Fair PE Ratio||13.7x|
Price-To-Earnings vs Fair Ratio: RY is good value based on its Price-To-Earnings Ratio (10.8x) compared to the estimated Fair Price-To-Earnings Ratio (13.7x).
Share Price vs Fair Value
What is the Fair Price of RY when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: RY (CA$125.9) is trading below our estimate of fair value (CA$227.74)
Significantly Below Fair Value: RY is trading below fair value by more than 20%.
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
Analyst Forecast: Target price is less than 20% higher than the current share price.
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How is Royal Bank of Canada forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?
Future Growth Score2/6
Future Growth Score 2/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: RY's forecast earnings growth (2.9% per year) is above the savings rate (1.6%).
Earnings vs Market: RY's earnings (2.9% per year) are forecast to grow slower than the Canadian market (7.8% per year).
High Growth Earnings: RY's earnings are forecast to grow, but not significantly.
Revenue vs Market: RY's revenue (7% per year) is forecast to grow faster than the Canadian market (6.3% per year).
High Growth Revenue: RY's revenue (7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: RY's Return on Equity is forecast to be low in 3 years time (16.5%).
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How has Royal Bank of Canada performed over the past 5 years?
Past Performance Score4/6
Past Performance Score 4/6
Growing Profit Margin
Earnings vs Industry
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: RY has high quality earnings.
Growing Profit Margin: RY's current net profit margins (32.3%) are higher than last year (29.6%).
Past Earnings Growth Analysis
Earnings Trend: RY's earnings have grown by 7.1% per year over the past 5 years.
Accelerating Growth: RY's earnings growth over the past year (16%) exceeds its 5-year average (7.1% per year).
Earnings vs Industry: RY earnings growth over the past year (16%) underperformed the Banks industry 20.1%.
Return on Equity
High ROE: RY's Return on Equity (15.8%) is considered low.
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How is Royal Bank of Canada's financial position? (This company is analysed differently as a bank or financial institution)
Financial Health Score6/6
Financial Health Score 6/6
Allowance for Bad Loans
Low Risk Liabilities
Low Risk Deposits
Level of Bad Loans
Financial Position Analysis
Debt to Equity History and Analysis
Financial Institutions Analysis
Asset Level: RY's Assets to Equity ratio (17.7x) is moderate.
Allowance for Bad Loans: RY has a sufficient allowance for bad loans (167%).
Low Risk Liabilities: 66% of RY's liabilities are made up of primarily low risk sources of funding.
Loan Level: RY has an appropriate level of Loans to Assets ratio (42%).
Low Risk Deposits: RY's Loans to Deposits ratio (67%) is appropriate.
Level of Bad Loans: RY has an appropriate level of bad loans (0.3%).
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What is Royal Bank of Canada current dividend yield, its reliability and sustainability?
Dividend Score 4/6
Future Dividend Coverage
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: RY's dividend (4.07%) is higher than the bottom 25% of dividend payers in the Canadian market (1.93%).
High Dividend: RY's dividend (4.07%) is low compared to the top 25% of dividend payers in the Canadian market (5.39%).
Stability and Growth of Payments
Stable Dividend: RY's dividends per share have been stable in the past 10 years.
Growing Dividend: RY's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Earnings Coverage: With its reasonably low payout ratio (39.8%), RY's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years or that it will be covered by earnings.
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How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Dave McKay (59 yo)
Mr. David I. McKay, also known as Dave, has been the President of Royal Bank of Canada since February 26, 2014 and its Chief Executive Officer and Director since August 1, 2014. Mr. McKay is responsible fo...
CEO Compensation Analysis
Compensation vs Market: Dave's total compensation ($USD13.06M) is above average for companies of similar size in the Canadian market ($USD8.23M).
Compensation vs Earnings: Dave's compensation has increased by more than 20% in the past year.
Experienced Management: RY's management team is considered experienced (2.8 years average tenure).
Experienced Board: RY's board of directors are considered experienced (7.8 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Royal Bank of Canada's employee growth, exchange listings and data sources
- Name: Royal Bank of Canada
- Ticker: RY
- Exchange: TSX
- Founded: 1864
- Industry: Diversified Banks
- Sector: Banks
- Implied Market Cap: CA$176.525b
- Shares outstanding: 1.40b
- Website: https://www.rbc.com
Number of Employees
- Royal Bank of Canada
- 200 Bay Street
- M5J 2J5
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2022/08/10 00:00|
|End of Day Share Price||2022/08/10 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.