RY Stock Analysis: Royal Bank of Canada | NYSE
Banks - Diversified | NYSE, USA | Market Cap: 270.891m USD | 12M Return: 35.8% | CA7800871021 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 207M
EPS Trend: 83.1%
Qual. Beats: 1
Rev. Trend: 88.2%
Qual. Beats: 0
Warnings
Tailwinds
Seasonality 11.7 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Royal Bank of Canada (NYSE: RY) is a Toronto-based diversified financial services company founded in 1864, operating across five main segments: Personal Banking, Commercial Banking, Wealth Management, Insurance, and Capital Markets. The bank offers a full range of consumer and commercial products, including deposits, lending, mortgages, credit cards, mutual funds, insurance, wealth and asset management, and capital markets services to corporate, institutional, and government clients worldwide.
As a member of Canadas Big Six banks, RBC operates under a universal banking model that combines retail, commercial, wealth, and investment banking under one entity. The company is classified within the GICS Diversified Banks sub-industry, a sector characterized by consolidated national banking markets and significant regulatory oversight.
- Net interest margin expands as Bank of Canada holds rates steady
- Capital Markets revenue surges on trading and M&A advisory activity
- Wealth Management AUM growth accelerates fee-based income expansion
| Net Income: 22.7b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.01 > 0.02 and ΔFCF/TA -3.24 > 1.0 |
| NWC/Revenue: 35.65% < 20% (prev -747.4%; Δ 783.0% < -1%) |
| CFO/TA 0.01 > 3% & CFO 16.5b > Net Income 22.7b |
| Net Debt (358b) to EBITDA (32.0b): 11.19 < 3 |
| Current Ratio: 4.85 > 1.5 & < 3 |
| Outstanding Shares: last quarter (991.7m) vs 12m ago -29.65% < -2% |
| Gross Margin: 48.53% > 18% (prev 44.14%; Δ 4.39% > 0.5%) |
| Asset Turnover: 6.04% > 50% (prev 6.12%; Δ -0.08% > 0%) |
| Interest Coverage Ratio: 0.42 > 6 (EBIT TTM 29.1b / Interest Expense TTM 69.5b) |
| A: 0.02 (Total Current Assets 64.2b - Total Current Liabilities 13.2b) / Total Assets 2500b |
| B: 0.04 (Retained Earnings 104b / Total Assets 2500b) |
| C: 0.01 (EBIT TTM 29.1b / Avg Total Assets 2364b) |
| D: 0.06 (Book Value of Equity 145b / Total Liabilities 2355b) |
| Altman-Z'' = 0.42 = B |
As of October 10, 2026, the stock is trading at USD 191.91 with a total of 691,507 shares traded. Over the past week, the price has changed by -1.92%, over one month by -7.20%, over three months by -7.44% and over the past year by +35.76%.
Current recommended Stop Loss: 187.50 (which is 2.3% or 1.4 ATR below the current price).
Royal Bank of Canada has received a consensus analysts rating of 3.87. Therefore, it is recommended to buy RY.
- StrongBuy: 5
- Buy: 4
- Hold: 5
- Sell: 1
- StrongSell: 0
| Analysts Target Price | 207.5 | 8.1% |
Market Cap CAD = 386b (271b USD * 1.4254 USD.CAD)
P/E Trailing = 17.5804
P/E Forward = 16.0
P/S = 4.0341
P/B = 2.9499
P/EG = 2.2567
Revenue TTM = 143b CAD
EBIT TTM = 29.1b CAD
EBITDA TTM = 32.0b CAD
Long Term Debt = 364b CAD (from longTermDebt, last quarter)
Short Term Debt = 13.2b CAD (from shortTermDebt, last quarter)
Debt = 423b CAD (from shortLongTermDebtTotal, last quarter) + Leases 4.59b
Net Debt = 358b CAD (calculated: Debt 423b - CCE 64.2b)
Enterprise Value = 745b CAD (386b + Debt 423b - CCE 64.2b)
Interest Coverage Ratio = 0.42 (Ebit TTM 29.1b / Interest Expense TTM 69.5b)
EV/FCF = 52.75x (Enterprise Value 745b / FCF TTM 14.1b)
FCF Yield = 1.90% (FCF TTM 14.1b / Enterprise Value 745b)
FCF Margin = 9.88% (FCF TTM 14.1b / Revenue TTM 143b)
Net Margin = 15.92% (Net Income TTM 22.7b / Revenue TTM 143b)
Gross Margin = 48.53% ((Revenue TTM 143b - Cost of Revenue TTM 73.5b) / Revenue TTM)
Gross Margin QoQ = 51.23% (prev 48.66%)
Tobins Q-Ratio = 0.30 (Enterprise Value 745b / Total Assets 2500b)
Interest Expense / Debt = 16.45% (Interest Expense 69.5b / Debt 423b)
Taxrate = 21.82% (6.34b / 29.0b)
NOPAT = 22.7b (EBIT 29.1b * (1 - 21.82%))
Current Ratio = 4.85 (Total Current Assets 64.2b / Total Current Liabilities 13.2b)
Debt / Equity = 2.91 (Debt 423b / totalStockholderEquity, last quarter 145b)
Debt / EBITDA = 11.19 (Net Debt 358b / EBITDA 32.0b)
Debt / FCF = 25.39 (Net Debt 358b / FCF TTM 14.1b)
Total Stockholder Equity = 141b (last 4 quarters mean from totalStockholderEquity)
RoA = 0.96% (Net Income 22.7b / Total Assets 2500b)
RoE = 16.11% (Net Income TTM 22.7b / Total Stockholder Equity 141b)
RoCE = 5.76% (EBIT 29.1b / Capital Employed (Equity 141b + L.T.Debt 364b))
RoIC = 0.91% (NOPAT 22.7b / Invested Capital 2493b)
WACC = 10.45% (E(386b)/V(809b) * Re(7.81%) + D(423b)/V(809b) * Rd(16.45%) * (1-Tc(0.22)))
Discount Rate = 7.81% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -64.16 | Cagr: -14.59%
[DCF] Terminal Value 65.68% ; FCFF base≈42.4b ; Y1≈37.2b ; Y5≈30.0b
[DCF] Fair Price = 0.21 (EV 359b - Net Debt 358b = Equity 288.4m / Shares 1.38b; r=10.45% [WACC]; 5y FCF grow -15.0% → 2.50% )
EPS Correlation: 83.13 | EPS CAGR: 8.28% | SUE: 0.86 | # QB: 1
Revenue Correlation: 88.20 | Revenue CAGR: 6.66% | SUE: 0.79 | # QB: 0
EPS current Quarter (2027-01-31): EPS=4.38 | Chg30d=+2.90% | Revisions=+50% | Analysts=6
EPS current Year (2026-10-31): EPS=16.39 | Chg30d=+1.55% | Revisions=+80% | GrowthEPS=+13.6% | GrowthRev=+8.7%
EPS next Year (2027-10-31): EPS=17.88 | Chg30d=+1.19% | Revisions=+53% | GrowthEPS=+9.1% | GrowthRev=+5.5%
[Analyst] Revisions Ratio: +77% (up=25, down=2)