Royal Bank Of Canada (RY): Today's Featured Banking Laggard

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

Royal Bank Of Canada ( RY) pushed the Banking industry lower today making it today's featured Banking laggard. The industry as a whole closed the day up 0.3%. By the end of trading, Royal Bank Of Canada fell $1.02 (-1.7%) to $59.84 on heavy volume. Throughout the day, 822,842 shares of Royal Bank Of Canada exchanged hands as compared to its average daily volume of 487,300 shares. The stock ranged in price between $59.39-$60.92 after having opened the day at $60.85 as compared to the previous trading day's close of $60.86. Other companies within the Banking industry that declined today were: Village Bank and Trust Financial Corporatio ( VBFC), down 7.8%, Emclaire Financial Corporation ( EMCF), down 6.5%, Monarch Financial Holdings ( MNRK), down 5.9%, and Unity Bancorp ( UNTY), down 5.3%.
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Royal Bank of Canada provides personal and commercial banking, wealth management, insurance, investor and treasury, and capital markets services worldwide. Royal Bank Of Canada has a market cap of $88.26 billion and is part of the financial sector. The company has a P/E ratio of 11.9, below the S&P 500 P/E ratio of 17.7. Shares are up 0.9% year to date as of the close of trading on Tuesday. Currently there are three analysts that rate Royal Bank Of Canada a buy, no analysts rate it a sell, and two rate it a hold.

TheStreet Ratings rates Royal Bank Of Canada as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity and expanding profit margins. However, as a counter to these strengths, we find that we feel that the company's cash flow from its operations has been weak overall.

On the positive front, Bank of the James Financial Group ( BOTJ), up 7.2%, PSB Holdings ( PSBH), up 5.2%, Patriot National Bancorp ( PNBK), up 4.5%, and Cascade Bancorp ( CACB), up 4.4%, were all gainers within the banking industry with KeyCorp ( KEY) being today's featured banking industry leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the banking industry could consider KBW Bank ETF ( KBE) while those bearish on the banking industry could consider ProShares Short KBW Regional Bankng ( KRS).

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