Royal Bank of Canada (NYSE:RY) Hits New 52-Week High – Should You Buy?

Royal Bank of Canada (NYSE:RY) (TSE:RY) reached a new 52-week high during trading on Thursday . The stock traded as high as $126.89 and last traded at $126.50, with a volume of 9938 shares trading hands. The stock had previously closed at $126.11.

Wall Street Analyst Weigh In

Several research analysts recently commented on RY shares. BMO Capital Markets increased their price objective on Royal Bank of Canada from $151.00 to $165.00 and gave the company an “outperform” rating in a research note on Thursday, August 29th. UBS Group started coverage on Royal Bank of Canada in a research note on Tuesday, July 2nd. They issued a “buy” rating for the company. Finally, StockNews.com downgraded Royal Bank of Canada from a “hold” rating to a “sell” rating in a research note on Saturday, July 20th. One research analyst has rated the stock with a sell rating, one has assigned a hold rating, five have assigned a buy rating and one has given a strong buy rating to the company’s stock. According to data from MarketBeat, Royal Bank of Canada currently has a consensus rating of “Moderate Buy” and an average target price of $142.50.

Royal Bank of Canada Trading Up 0.4 %

The company has a current ratio of 0.87, a quick ratio of 0.87 and a debt-to-equity ratio of 0.12. The company has a fifty day simple moving average of $119.64 and a 200-day simple moving average of $110.08. The company has a market capitalization of $179.09 billion, a PE ratio of 15.65, a PEG ratio of 1.99 and a beta of 0.86.

Royal Bank of Canada (NYSE:RY) (TSE:RY) last issued its earnings results on Wednesday, August 28th. The financial services provider reported $2.38 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.15 by $0.23. The company had revenue of $10.68 billion during the quarter, compared to analysts’ expectations of $10.40 billion. Royal Bank of Canada had a return on equity of 15.17% and a net margin of 12.28%. Analysts predict that Royal Bank of Canada will post 8.91 EPS for the current year.

Royal Bank of Canada Cuts Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, November 22nd. Shareholders of record on Thursday, October 24th will be issued a $1.028 dividend. This represents a $4.11 annualized dividend and a yield of 3.25%. The ex-dividend date is Thursday, October 24th. Royal Bank of Canada’s payout ratio is currently 51.99%.

Hedge Funds Weigh In On Royal Bank of Canada

A number of hedge funds have recently modified their holdings of RY. National Bank of Canada FI grew its holdings in shares of Royal Bank of Canada by 16.7% during the 2nd quarter. National Bank of Canada FI now owns 20,232,204 shares of the financial services provider’s stock worth $2,141,681,000 after purchasing an additional 2,901,033 shares during the period. Capital World Investors boosted its holdings in Royal Bank of Canada by 75.0% during the 1st quarter. Capital World Investors now owns 6,320,246 shares of the financial services provider’s stock valued at $637,460,000 after acquiring an additional 2,708,534 shares during the period. Canada Pension Plan Investment Board boosted its holdings in Royal Bank of Canada by 40.5% during the 1st quarter. Canada Pension Plan Investment Board now owns 5,039,171 shares of the financial services provider’s stock valued at $508,739,000 after acquiring an additional 1,452,127 shares during the period. Vanguard Group Inc. boosted its holdings in Royal Bank of Canada by 1.8% during the 1st quarter. Vanguard Group Inc. now owns 55,695,544 shares of the financial services provider’s stock valued at $5,618,566,000 after acquiring an additional 964,898 shares during the period. Finally, MUFG Securities EMEA plc purchased a new position in Royal Bank of Canada during the 2nd quarter valued at about $29,254,000. 45.31% of the stock is currently owned by hedge funds and other institutional investors.

Royal Bank of Canada Company Profile

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.