Royal Bank of Canada

Find Ratings Reports
RY : NYSE : Financial
$71.51 | %
Today's Range: 0.0 - 0.0
Avg. Daily Volume: 1070700.0
04/25/17 - 4:03 PM ET

Financial Analysis


ROYAL BANK OF CANADA's gross profit margin for the first quarter of its fiscal year 2017 has increased when compared to the same period a year ago. The company managed to grow both sales and net income at a faster pace than the average competitor in its industry this quarter as compared to the same quarter a year ago.

At the same time, stockholders' equity ("net worth") has remained virtually unchanged only increasing by 3.24% from the same quarter last year.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. To learn more visit www.TheStreetRatings.com.



Income Statement Q1 FY17 Q1 FY16
Net Sales ($mil)11430.011172.0
EBITDA ($mil)4648.04085.0
EBIT ($mil)4234.03699.0
Net Income ($mil)3015.02426.0


Balance Sheet Q1 FY17 Q1 FY16
Cash & Equiv. ($mil)246049.0238820.0
Total Assets ($mil)1161766.01200352.0
Total Debt ($mil)184889.0173977.0
Equity ($mil)71566.069315.0


Profitability Q1 FY17 Q1 FY16
Gross Profit Margin84.0978.7
EBITDA Margin40.6636.56
Operating Margin37.0433.11
Sales Turnover0.040.04
Return on Assets0.940.82
Return on Equity14.9314.0
Debt Q1 FY17 Q1 FY16
Current Ratio0.00.0
Debt/Capital0.720.72
Interest Expense631.0567.0
Interest Coverage6.716.52


Share Data Q1 FY17 Q1 FY16
Shares outstanding (mil)1475.031487.82
Div / share0.630.56
EPS1.971.58
Book value / share48.5246.59
Institutional Own % n/a n/a
Avg Daily Volume1054667.0919710.0

Valuation


HOLD. ROYAL BANK OF CANADA's P/E ratio indicates a significant discount compared to an average of 23.41 for the Commercial Banks industry and a significant discount compared to the S&P 500 average of 24.92. To use another comparison, its price-to-book ratio of 1.47 indicates a significant discount versus the S&P 500 average of 2.99 and a premium versus the industry average of 1.26. The current price-to-sales ratio is above the S&P 500 average, but below the industry average. The valuation analysis reveals that, ROYAL BANK OF CANADA seems to be trading at a discount to investment alternatives within the industry.


Price/Earnings
1 2 3 4 5
premium   discount
  Price/Cash Flow
1 2 3 4 5
premium   discount
RY 9.93 Peers 23.41   RY 3.74 Peers 7.49

Discount. A lower P/E ratio than its peers can signify a less expensive stock or lower growth expectations.

RY is trading at a significant discount to its peers.

 

Discount. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.

RY is trading at a significant discount to its peers.

 
Price/Projected
Earnings
1 2 3 4 5
premium   discount
  Price to
Earnings/Growth
1 2 3 4 5
premium   discount
RY NA Peers 80.68   RY NA Peers 1.37

Neutral. A lower price-to-projected earnings ratio than its peers can signify a less expensive stock or lower future growth potential.

Ratio not available.

 

Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.

Ratio not available.

 
Price/Book
1 2 3 4 5
premium   discount
  Earnings Growth
1 2 3 4 5
lower   higher
RY 1.47 Peers 1.26   RY 7.50 Peers 6.94

Premium. A higher price-to-book ratio makes a stock less attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.

RY is trading at a premium to its peers.

 

Average. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.

RY is expected to keep pace with its peers on the basis of earnings growth.

 
Price/Sales
1 2 3 4 5
premium   discount
  Sales Growth
1 2 3 4 5
premium   discount
RY 2.26 Peers 2.69   RY 9.14 Peers 4.72

Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.

RY is trading at a discount to its industry on this measurement.

 

Higher. A sales growth rate that exceeds the industry implies that a company is gaining market share.

RY has a sales growth rate that significantly exceeds its peers.

 

 

Latest Stock Upgrades/Downgrades