Latest news with #RoyalBankOfCanada
Yahoo
a day ago
- Business
- Yahoo
Royal Bank of Canada Q2 Earnings Improve Y/Y on Higher Revenues
Royal Bank of Canada's RY second-quarter fiscal 2025 (ended April 30) adjusted net income available to common shareholders was C$4.41 billion ($3.10 billion), up 6.9% from the prior-year reflected the impacts of the specified items relating to the HSBC Canada transaction and integration costs, along with the amortization of acquisition-related intangibles. RY's quarterly results were aided by higher revenues, and marginal growth in loans and deposit balances. However, an increase in expenses and provisions were major headwinds. Probably because of the negatives, RY shares have lost 1.8% since the release of its results. Total revenues were C$15.67 billion ($11.03 billion), up 10.7% year over interest income was C$8.06 billion ($5.67 billion), growing 21.6% from the prior-year quarter. Non-interest income was C$7.62 billion ($5.36 billion), up 1.1% year over expenses were C$8.73 billion ($6.14 billion), up 5.1% from the prior-year company's provision for credit losses was C$1.42 billion ($999.1 million), soaring 54.8% year over year. As of April 30, 2025, Royal Bank of Canada's total loans were C$1.01 trillion ($730.8 billion), up marginally from the prior quarter. Deposits totaled C$1.45 trillion ($1.05 trillion), rising marginally from the previous quarter end. Total assets were C$2.24 trillion ($1.62 trillion), up 2.3% from the previous quarter. As of April 30, 2025, the company's Tier 1 capital ratio was 14.7%, up from the prior-year quarter's 14.1%. The total capital ratio was 16.5%, up from 16.1% in the prior-year Common Equity Tier 1 ratio was 13.2%, up from 12.8% in the prior-year quarter. Solid loan balances and a diversified product mix will likely keep driving Royal Bank of Canada's financials. However, higher provisions on the uncertain economic outlook remains a near-term concern. Royal Bank Of Canada price-consensus-eps-surprise-chart | Royal Bank Of Canada Quote Currently, Royal Bank of Canada carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. HSBC Holdings HSBC reported a first-quarter 2025 (ended March 31) pre-tax profit of $9.48 billion, which declined 25% from the prior-year quarter. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)HSBC's results were affected by a year-over-year fall in revenues, higher expected credit losses and other credit impairment charges, partially offset by a fall in Bank DB reported first-quarter 2025 earnings attributable to its shareholders of €1.78 billion ($2.01 billion), up 39.2% year over results were aided by a rise in revenues and lower expenses. However, higher provision for credit losses was a spoilsport. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Deutsche Bank Aktiengesellschaft (DB) : Free Stock Analysis Report Royal Bank Of Canada (RY) : Free Stock Analysis Report HSBC Holdings plc (HSBC) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Globe and Mail
2 days ago
- Business
- Globe and Mail
Bank of Canada expected to remain on pause after strong economic data
The Bank of Canada is expected to hold its key interest rate steady on Wednesday after inflation and economic growth figures were stronger than anticipated, though analysts believe rate cuts will come later this year amid trade uncertainty and the potential for a recession. Financial market odds of a rate cut dipped slightly to 20 per cent as of Friday, according to Bloomberg data, after Statistics Canada's gross domestic product report showed the economy grew at an annualized rate of 2.2 per cent in the first quarter. The central bank's decision 'will still be a close call, but with economic data holding up better than feared ... a second consecutive hold on the overnight rate looks more likely than a cut at this stage,' wrote Royal Bank of Canada assistant chief economist Nathan Janzen in a client note on Friday. The Bank of Canada held its key interest rate at 2.75 per cent in April, a decision Governor Tiff Macklem justified by pointing to the uncertainty clouding the trade outlook. 'At this meeting, we decided to hold our policy rate unchanged as we gain more information about both the path forward for U.S. tariffs and their impacts,' Mr. Macklem said on April 16. Some forecasters were anticipating the central bank to follow up with a rate cut in June, but new economic data swayed expectations. Canada's inflation rate fell to 1.7 per cent in April, a decrease that was driven by the removal of the consumer carbon price. But underlying price pressures were stronger than expected, with both of the Bank of Canada's preferred measures of core inflation accelerating from the previous month. Economists still expect the central bank to cut interest rates at some point this year to support an economy facing U.S. tariffs and heightened uncertainty. Signs of weakness have already emerged in the labour market, with the unemployment rate rising to 6.9 per cent in April. Stephen Brown, deputy chief North America economist at Capital Economics, noted that the first-quarter GDP report was helped by an increase in exports as U.S. companies stockpiled ahead of tariffs. 'Rather than weigh on the economy, the tariffs have had a kind of a temporary boost to GDP, but we know that that will be reversed before long,' Mr. Brown said in an interview. The impact of U.S. tariffs on Canadian goods exports is expected to be captured in second- and third-quarter growth data. Mr. Brown said the weak economic outlook for the coming months is why he's still expecting a rate cut this week. 'It doesn't really matter if the [central] bank cuts in June or July, I don't suppose. But I think when it can see a reason to cut, the bank has tended to cut rather than wait to be 100 per cent sure,' he said. 'So I'm not going to give up on the call just yet, but it's not something I'm particularly confident in.' Andrew Hencic, a senior economist at Toronto-Dominion Bank, said trade uncertainty makes it difficult to predict the path for interest rates. Mr. Hencic expects the central bank to cut interest rates two more times this year, which he said 'would probably provide enough support for the economy to keep chugging along.' Last Wednesday, the U.S. Court of International Trade ruled that President Donald Trump does not have 'unbound' authority to impose tariffs and ordered the administration to lift many of its duties, including the ones placed on Canada and Mexico on fentanyl-related grounds. The tariffs were then temporarily reinstated by an appellate court. Sector-specific duties – such as those pertaining to Canadian steel, aluminum and vehicles – were unaffected by the ruling and remain in place. Mr. Hencic said those kinds of developments make it difficult for the Bank of Canada to set its policy, let alone provide any clarity on where interest rates are headed. 'From the Bank of Canada's perspective, it's unfortunate that they have to adjust and make decisions in a period of time where it's highly uncertain, and there's going to be an element of data dependency in trying to forecast forward,' he said.
Business Insider
3 days ago
- Business
- Business Insider
Bank of America Securities Sticks to Its Buy Rating for Royal Bank Of Canada (RY)
In a report released on May 29, Ebrahim Poonawala from Bank of America Securities maintained a Buy rating on Royal Bank Of Canada (RY – Research Report), with a price target of C$194.00. Confident Investing Starts Here: Poonawala covers the Financial sector, focusing on stocks such as JPMorgan Chase, Morgan Stanley, and US Bancorp. According to TipRanks, Poonawala has an average return of 11.3% and a 66.27% success rate on recommended stocks. In addition to Bank of America Securities, Royal Bank Of Canada also received a Buy from Barclays's Brian Morton in a report issued yesterday. However, on the same day, National Bank downgraded Royal Bank Of Canada (NYSE: RY) to a Hold. Based on Royal Bank Of Canada's latest earnings release for the quarter ending January 31, the company reported a quarterly revenue of $16.72 billion and a net profit of $5.13 billion. In comparison, last year the company earned a revenue of $13.76 billion and had a net profit of $3.58 billion Based on the recent corporate insider activity of 73 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of RY in relation to earlier this year.
Business Insider
3 days ago
- Business
- Business Insider
Jefferies Remains a Buy on Royal Bank Of Canada (RY)
In a report released yesterday, John Aiken from Jefferies maintained a Buy rating on Royal Bank Of Canada (RY – Research Report), with a price target of C$198.00. Confident Investing Starts Here: Aiken covers the Financial sector, focusing on stocks such as Royal Bank Of Canada, Canadian Bank of Commerce, and Great-West Lifeco. According to TipRanks, Aiken has an average return of 0.0% and a 51.19% success rate on recommended stocks. In addition to Jefferies, Royal Bank Of Canada also received a Buy from Barclays's Brian Morton in a report issued yesterday. However, on the same day, National Bank downgraded Royal Bank Of Canada (NYSE: RY) to a Hold. The company has a one-year high of $129.46 and a one-year low of $102.44. Currently, Royal Bank Of Canada has an average volume of 1.36M. Based on the recent corporate insider activity of 73 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of RY in relation to earlier this year.
Daily Mail
5 days ago
- Business
- Daily Mail
British tourist, 29, who was arrested and extradited to Portugal two years after teenager was killed 'in bottle attack' is a banking executive - and now faces decades in foreign prison
A British banking executive could spend the rest of his life behind bars in a Portuguese prison after being extradited following the horrific killing of a teenager with a broken bottle in Lisbon. Daniel Dunbar, who is set to be tried by Portuguese officials over the death of Daniel Galhanas in 2023, has been working in the Investor Management Department at the Royal Bank of Canada, The Sun reports. This is the first time rugby-playing 29-year-old, from Bexleyheath, Kent, has been named by authorities following a two-year-long manhunt. Teen Galhanas died after being stabbed in the neck with the sharp glass object in the early hours of October 14 2023. Dunbar was forced on a flight back to Portugal and remanded in custody after failed appeals against his return. It is said the attack against the 19-year-old victim occurred in Lisbon's Bairro Alto neighbourhood. Initial reports suggest he was targeted while trying to defend a friend who was part of a gang of thieves that tried to rob the suspected killer and his friends. The stabbing victim was first identified as one of the gang members who attacked the group, allegedly British tourists, in the Portuguese capital. Family members have denied Daniel was involved with the gang and said he was only trying to help his friend. According to the family, one of the tourists threw a bottle at Daniel's friend after the group was approached. The bottle broke and the unnamed suspect picked up the smashed bottle, using it to slash at Daniel, who had come between the group and his friend. A horrifying video shows the moment the male tourist launches a bottle at Daniel's friend before stabbing the victim, who then stumbles and collapses in a pool of blood in the street. The group of tourists are then seen running away. Daniel went into cardiac arrest and was taken alive to São José Hospital after being found by volunteer firefighters - but did not survive his injuries. Video footage from above the street shows about a dozen people clashing in the road as cars pass at the intersection of Calçada do Combro and Largo do Calhariz. Police say the gang targets foreign tourists on weekend evenings as they walk through the city after a night out. Confirming the arrest and extradition, Portugal's police force said: 'The Policia Judiciaria, with the collaboration of the police and judicial authorities of the United Kingdom, located, arrested and extradited to Portugal a 27-year-old man who is strongly suspected of committing a first degree murder.' They added: 'The crime took place in the early hours of 14 October, 2023, between 4am and 5am, following an altercation between two rival groups. 'The victim ended up being hit in the neck with a broken glass bottle, which caused serious injuries and led to his death on the spot. 'After the incident, both the suspect and the other members of his group fled the scene. 'Investigative work carried out by the PJ's Lisbon and Tagus Valley Directorate, which is leading the investigation, led to the identification of the suspected perpetrator and the issuing of an international arrest warrant. 'The suspect, a foreign national, was eventually located and arrested in the United Kingdom, where he travelled to the day after the murder. 'After being brought before judicial authorities in Portugal, he was remanded in pre-trial custody.'
