Royal Bank Valuation
| RY-PM Preferred Stock | CAD 24.20 0.06 0.25% |
At this time, the company appears to be overvalued. Royal Bank holds a recent Real Value of C$21.61 per share. The prevailing price of the company is C$24.2. Our model determines the value of Royal Bank from analyzing the company fundamentals such as Shares Outstanding of 1.44 B, operating margin of 0.41 %, and Return On Equity of 0.14 as well as examining its technical indicators and probability of bankruptcy.
Overvalued
Today
Please note that Royal Bank's price fluctuation is very steady at this time. Calculation of the real value of Royal Bank is based on 3 months time horizon. Increasing Royal Bank's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Royal Bank's intrinsic value may or may not be the same as its current market price of 24.20, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 24.2 | Real 21.61 | Hype 24.2 | Naive 24.28 |
The intrinsic value of Royal Bank's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Royal Bank's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Royal Bank of helps investors to forecast how Royal preferred stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Royal Bank more accurately as focusing exclusively on Royal Bank's fundamentals will not take into account other important factors: Royal Bank Total Value Analysis
Royal Bank of is at this time anticipated to have takeover price of (244.12 B) with market capitalization of 190.84 B, debt of 111.46 B, and cash on hands of 565.95 B. The negative valuation of Royal Bank may imply that the market is not capable to price the future growth of the company or it is pricing it at zero value. It may also suggest that takeover valuation may not have captured all of the outstanding financial obligations of the company both on and off balance sheet. Investors should thoroughly investigate all of the Royal Bank fundamentals.| Takeover Price | Market Cap | Debt Obligations | Cash |
(244.12 B) | 190.84 B | 111.46 B | 565.95 B |
Royal Bank Asset Utilization
The concept of asset utilization usually refers to the revenue earned for every dollar of assets a company currently reports. The newest return on assets of Royal implies not a very effective usage of assets in November.Royal Bank Ownership Allocation
Royal Bank owns a total of 1.44 Billion outstanding shares. 30% of Royal Bank of outstanding shares are owned by third-party entities. Institutional investors are typically referred to investors that purchase positions in a given stock to benefit from reduced commissions. Consequently, institutional investors are subject to different rules and regulations than regular investors. Please look out for any change in current institutional holding as this could mean something significant has changed at the company or is about to change. Please note that no matter how many assets the company maintains, if the real value of the company is less than the current market value, you may not be able to make money on it.Royal Bank Profitability Analysis
The company reported the revenue of 56.26 B. Net Income was 14.86 B with profit before overhead, payroll, taxes, and interest of 48.5 B.About Royal Bank Valuation
The preferred stock valuation mechanism determines Royal Bank's current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of Royal Bank based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of Royal Bank. We calculate exposure to Royal Bank's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Royal Bank's related companies.Royal Bank of Canada operates as a diversified financial service company worldwide. The company was founded in 1864 and is headquartered in Toronto, Canada. ROYAL BANK operates under Banks - Global classification in Canada and is traded on Toronto Stock Exchange. It employs 84087 people.
8 Steps to conduct Royal Bank's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Royal Bank's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Royal Bank's valuation analysis, follow these 8 steps:- Gather financial information: Obtain Royal Bank's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Royal Bank's revenue streams: Identify Royal Bank's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Royal Bank's industry and market trends, including the size of the market, growth rate, and competition.
- Establish Royal Bank's growth potential: Evaluate Royal Bank's management, business model, and growth potential.
- Determine Royal Bank's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Royal Bank's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Additional Tools for Royal Preferred Stock Analysis
When running Royal Bank's price analysis, check to measure Royal Bank's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Royal Bank is operating at the current time. Most of Royal Bank's value examination focuses on studying past and present price action to predict the probability of Royal Bank's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Royal Bank's price. Additionally, you may evaluate how the addition of Royal Bank to your portfolios can decrease your overall portfolio volatility.