Royal Bank of Canada (RY) Valuation — DCF, Graham & Comparables

Royal Bank of Canada (RY) — Price $202.98 (closing price, October 30, 2026) — Financial Services — Banks - Diversified — NYSE

Latest reported results:

Valuation dashboard for Royal Bank of Canada (RY) with P/E 17.86, P/B 2.72, EV/EBITDA 23.99 and dividend yield 2.39%. DCF, Graham Number, EPS growth, peer multiples and dividend discount models plus sector comparison against other Financial Services companies.

Royal Bank of Canada (RBC), established in 1864 and headquartered in Toronto, Canada, operates as a comprehensive global financial institution. Its Personal & Commercial Banking division caters to individual clients by providing essential services like checking and savings accounts, various lending options (including mortgages, personal loans, and auto financing), private banking, investment vehicles such as mutual funds and guaranteed investment certificates (GICs), along wi...

Analysis Summary

Royal Bank of Canada reported revenue of 137.36B CAD in the most recent fiscal year, growing at a 5-year CAGR of 17.6%. Net income reached 20.36B CAD, with a 12.2% 5-year CAGR.

Trailing-twelve-month margins: gross margin 48.5%, operating margin 20.3%, net margin 15.9%.

At $202.98 (closing price, October 30, 2026), RY trades at a P/E of 17.86 and an ROE of 16.11%. Market capitalisation stands at $281.5B, placing it among large-cap names.

Balance sheet quality for RY: current ratio of 0.1. A debt-to-equity below 1.0 typically signals conservative capital structure, while a current ratio above 1.5 indicates comfortable short-term liquidity.

Valuation Ratios

P/E Ratio17.86
Price / Book2.72
EV / EBITDA23.99
Dividend Yield2.39%

Valuation Models

DCF Fair Value$188.19
vs Current Price-7.3%

Peer Comparison

SymbolCompanyMarket CapP/EP/BROE
RYRoyal Bank of Canada$281.5B17.862.7216.1%
TD.TOThe Toronto-Dominion BankCAD 284.2B18.592.2612.8%
BMO.TOBank of MontrealCAD 166.3B19.451.9310.6%
CM.TOCanadian Imperial Bank of CommerceCAD 148.0B15.532.2115.4%
BNS.TOThe Bank of Nova ScotiaCAD 159.7B17.181.8211.4%
NA.TONational Bank of CanadaCAD 81.5B18.102.4314.4%

Price

Price$202.98 (closing price, October 30, 2026)
Market Cap$281.5B
ExchangeNYSE
CountryCA

Profitability

Return on Equity16.11%
Return on Invested Capital0.91%
Return on Assets0.91%
Gross Margin48.53%
Operating Margin20.34%
Net Margin15.92%

Related companies: TD.TO · BMO.TO · CM.TO · BNS.TO · NA.TO

Explore sector: Financial Services · Banks - Diversified

More sections of RY: Overview · Financials · Statistics · Estimates · Technical · Ownership · News · Events

Discover more: Weekly Radar: the S&P 500 through the Buffett and Lynch methods · Companies that pass the Buffett method today · Companies that pass the Lynch method today · Stocks that pass Graham's defensive investor test today · Investment Academy — learn to analyze stocks