Canadian stock alert

CANA

CLOSING UPDATE: Royal Bank of Canada increases a further 0.01%, led market higher 19 January 2018 18:23 EST

NEWS BITES - NORTH AMERICA

This is an end of day Alert, produced after today's Canadian market close. It concludes the BSS News Bites intra-day Alert series (summaries below).

Royal Bank of Canada, Canada's largest bank by market capitalisation, has increased 0.8% to trade at CAD107.72 vs. the S&P/TSX 60 Index which strengthened 3.5 points (or 0.4%) to 969.6. Representing a weighting of about 9.1% of the index, the stock accounted for 19.1% of today's gain. Trading volume was 1.2 times average at the end of the day. Compared with the S&P/TSX 60 Index which rose 3.5 points (or 0.4%) in the day, this represented a relative price increase of 0.4%.

Technical indicators complementing today's significant uptrend:

+ The positive 1.29 MACD (Moving Average Convergence Divergence) indicator suggests a bullish signal.

+ In the last one month the stock has hit a new 52-week high nine times and in the last three months seventeen times, pointing to a significant uptrend.

+ The price lifted 2.4% in the last week and climbed 4.9% in the last month.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Undervaluation:

+ Return on Equity 15.6% [12.8%]

+ Return on Assets 0.9% [0.8%]

+ Year-on-Year Earnings Growth of 11.5% [6.4%]

Other Bullish Signals include:

+ Tobin's Q Ratio is 0.1. Compared with the rest of the market the stock is undervalued and ranks in the top 2% of stock by value of Q Ratio.

+ Net profit margin has averaged 43.2% in the last 3 years. This is considered superior and suggests a high margin of safety.

+ The Brand Value represents an impressive 9.3% of the estimated Enterprise Value of CAD138 billion (US$111.1 billion).

+ As per the Du Pont analysis, Return on Equity of 15.6% is better than sector average of 12.8%.

Note

Overbought/Bearish:

The 0.2% discount to 12-month high of CAD107.97 against the 19.8% premium to 12-month low of CAD89.90 suggests the climb might be peaking.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Overvaluation:

Price/Earnings/Growth of 1.71 [0.2]

Dividend yield of 3.2% [6.3%]

TODAY'S ALERT

Afternoon Alert: Royal Bank of Canada increases 0.7%, leads market higher

19 January 2018 12:16 EST

Royal Bank of Canada (TSX:RY) has increased 0.7% to trade at CAD107.71 vs. the S&P/TSX 60 Index which strengthened 1.5 points (or 0.2%) to 967.6. Representing a weighting of about 9.1% of the index, the stock accounted for 42.6% of today's gain. The shares have outperformed 86% of the market in the past week.

RECENT ALERTS

CLOSING UPDATE: Royal Bank of Canada decreases gains by 0.1%, led market higher

17 January 2018 18:24 EST

Royal Bank of Canada, Canada's largest bank by market capitalisation, has increased 0.5% to trade at CAD106.28 vs. the S&P/TSX 60 Index which strengthened 1.4 points (or 0.1%) to 967.6. Representing a weighting of about 9.0% of the index, the stock accounted for 28.9% of today's gain. Trading volume was 1.1 times average at the end of the day. Compared with the S&P/TSX 60 Index which rose 1.4 points (or 0.1%) in the day, this represented a relative price increase of 0.3%.

Afternoon Alert: Royal Bank of Canada increases 0.6%, leads market higher

17 January 2018 14:43 EST

Royal Bank of Canada (TSX:RY) has increased 0.6% to trade at CAD106.43 vs. the S&P/TSX 60 Index which strengthened 2.2 points (or 0.2%) to 968.4. Representing a weighting of about 9.0% of the index, the stock accounted for 24.4% of today's gain. Trading volume was 89% of average so far today.

Royal Bank of Canada (T:RY; TSE:RY; N:RY; CN:RY)

ISIN: CA7800871021

PermID: 4297085562

CIK: Royal Bank of Canada

Source: www.BuySellSignals.com