Royal Bank of Canada (NYSE:RY) Sees Strong Trading Volume – Should You Buy?

Royal Bank of Canada (NYSE:RY) (TSE:RY) saw strong trading volume on Tuesday . 3,330,852 shares changed hands during mid-day trading, an increase of 213% from the previous session’s volume of 1,063,929 shares.The stock last traded at $124.39 and had previously closed at $124.99.

Analyst Ratings Changes

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

Royal Bank of Canada Trading Up 0.1 %

The business’s 50-day simple moving average is $121.28 and its 200-day simple moving average is $110.95. The company has a market cap of $177.05 billion, a price-to-earnings ratio of 15.14, a PEG ratio of 2.06 and a beta of 0.86. The company has a debt-to-equity ratio of 0.12, a current ratio of 0.87 and a quick ratio of 0.87.

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

Royal Bank of Canada Cuts Dividend

The company 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. The ex-dividend date is Thursday, October 24th. This represents a $4.11 dividend on an annualized basis and a yield of 3.28%. Royal Bank of Canada’s dividend payout ratio (DPR) is 50.18%.

Hedge Funds Weigh In On Royal Bank of Canada

A number of institutional investors have recently modified their holdings of the company. Ridgewood Investments LLC purchased a new position in Royal Bank of Canada during the second quarter worth about $27,000. Grove Bank & Trust acquired a new position in Royal Bank of Canada during the 3rd quarter worth approximately $28,000. Whittier Trust Co. of Nevada Inc. boosted its holdings in Royal Bank of Canada by 110.3% in the 3rd quarter. Whittier Trust Co. of Nevada Inc. now owns 225 shares of the financial services provider’s stock worth $28,000 after acquiring an additional 118 shares during the period. Ashton Thomas Private Wealth LLC acquired a new stake in Royal Bank of Canada in the second quarter valued at approximately $33,000. Finally, Nisa Investment Advisors LLC raised its stake in shares of Royal Bank of Canada by 293.8% during the second quarter. Nisa Investment Advisors LLC now owns 508 shares of the financial services provider’s stock valued at $54,000 after purchasing an additional 379 shares during the period. Institutional investors and hedge funds own 45.31% of the company’s stock.

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.