- Royal Bank of Canada (RBC) reported an adjusted earnings per share (EPS) of C$3.62, surpassing estimates of C$3.26.
- The bank’s provision for credit losses stood at C$1.05 billion, which was higher than the anticipated C$896 million.
- RBC achieved an adjusted return on equity (ROE) of 17.2%, exceeding the expected 15.4%.
- The actual return on equity was recorded at 16.8%.
- Net income for RBC was reported at C$5.13 billion.
- Insurance operations contributed C$272 million to overall net income.
- Capital Markets division netted an income of C$1.43 billion.
- RBC’s total revenue reached C$16.74 billion, beating estimates of C$15.72 billion.
- The bank incurred non-interest expenses amounting to C$9.26 billion, which were above the projected C$8.87 billion.
- Analyst recommendations for RBC include 15 buy ratings, 2 hold ratings, and 2 sell ratings.
Royal Bank Of Canada on Smartkarma
Analysts on Smartkarma are buzzing about Royal Bank of Canada (RBC) following a recent report by Baptista Research, where they highlighted the bank’s strong performance in the fourth quarter of 2024. The report, titled “Royal Bank of Canada (RBC): Capital Markets Pipeline & Growth Trends Fueling Our Bullishness! – Major Drivers,” dives into RBC’s earnings, which reached $4.2 billion, including a boost from its acquisition of HSBC Canada. Adjusted earnings saw an impressive 18% year-over-year increase to $4.4 billion, driven by market appreciation and robust client activities.
The bullish sentiment from Baptista Research reflects confidence in RBC’s growth potential and underlying strengths amid potential challenges. This analysis sheds light on the bank’s strategic positioning and hints at positive trends that could fuel further growth in the future. With such insights from independent analysts on platforms like Smartkarma, investors gain valuable perspectives that can inform their decision-making when it comes to Royal Bank of Canada.
A look at Royal Bank Of Canada Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 3 | |
| Growth | 3 | |
| Resilience | 2 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.0 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on Smartkarma Smart Scores, Royal Bank of Canada showcases a solid outlook for the long term. Its particular strengths lie in Momentum, where it received a score of 4, indicating a strong growth potential in the future. This positive momentum suggests that the company is well-positioned to capitalize on opportunities and sustain its growth trajectory.
While the company scored moderately across Value, Dividend, and Growth factors with scores of 3, its Resilience score of 2 indicates a slight weakness in this aspect. Despite this, Royal Bank of Canada’s diversified financial services offering and global operations provide a stable foundation for continued growth and performance in the market.
### Royal Bank of Canada is a diversified financial services company. The Company provides personal and commercial banking, wealth management services, insurance, corporate and investment banking, and transaction processing services. Royal Bank offers its services to personal, business, public sector and institutional clients with operations worldwide. ###
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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