Royal Bank Of Canada (NYSE:RY) Stock Short Interest Climbs 140.9%

Key Points

• Royal Bank of Canada’s short interest surged 140.9% to 6.1 million shares as of September 30, representing 0.4% of shares outstanding and 5.6 days to cover.
• RBC reported quarterly EPS of $3.07, exceeding the $2.89 consensus estimate, while revenue of $13.22 billion also topped expectations.
• The bank declared a quarterly dividend of C$1.76, equivalent to C$7.04 annually and a 3.7% yield; analysts maintain a “Moderate Buy” consensus with a $225 target price.

Royal Bank Of Canada (NYSE:RY - Get Free Report) TSE: RY was the recipient of a significant increase in short interest in the month of September. As of September 30th, there was short interest totaling 6,095,117 shares, an increase of 140.9% from the September 15th total of 2,530,636 shares. Currently, 0.4% of the shares of the company are sold short. Based on an average trading volume of 1,080,834 shares, the days-to-cover ratio is currently 5.6 days.

Institutional Investors Weigh In On Royal Bank Of Canada

Hedge funds and other institutional investors have recently modified their holdings of the stock. GK Wealth Management LLC bought a new stake in shares of Royal Bank Of Canada during the third quarter valued at about $100,000. Balefire LLC lifted its holdings in Royal Bank Of Canada by 10.5% in the third quarter. Balefire LLC now owns 1,624 shares of the financial services provider's stock worth $319,000 after purchasing an additional 154 shares during the period. Riversedge Advisors LLC grew its position in Royal Bank Of Canada by 3.0% in the 3rd quarter. Riversedge Advisors LLC now owns 2,996 shares of the financial services provider's stock valued at $589,000 after buying an additional 88 shares in the last quarter. Wedmont Private Capital grew its position in Royal Bank Of Canada by 1.8% in the 3rd quarter. Wedmont Private Capital now owns 3,949 shares of the financial services provider's stock valued at $753,000 after buying an additional 71 shares in the last quarter. Finally, Mn Services Vermogensbeheer B.V. grew its position in Royal Bank Of Canada by 1.6% in the 3rd quarter. Mn Services Vermogensbeheer B.V. now owns 413,777 shares of the financial services provider's stock valued at $81,588,000 after buying an additional 6,500 shares in the last quarter. 45.31% of the stock is currently owned by institutional investors.

Royal Bank Of Canada Stock Performance

Shares of NYSE RY opened at $192.78 on Tuesday. Royal Bank Of Canada has a 12-month low of $143.13 and a 12-month high of $218.57. The company has a market cap of $266.80 billion, a PE ratio of 16.87, a P/E/G ratio of 1.72 and a beta of 0.80. The stock has a 50 day simple moving average of $204.73 and a 200-day simple moving average of $195.62. The company has a current ratio of 0.81, a quick ratio of 0.81 and a debt-to-equity ratio of 0.10.

Royal Bank Of Canada (NYSE:RY - Get Free Report) TSE: RY last posted its earnings results on Thursday, August 27th. The financial services provider reported $3.07 EPS for the quarter, beating the consensus estimate of $2.89 by $0.18. The firm had revenue of $13.22 billion for the quarter, compared to analysts' expectations of $12.98 billion. Royal Bank Of Canada had a return on equity of 17.79% and a net margin of 16.17%. On average, equities research analysts forecast that Royal Bank Of Canada will post 11.83 EPS for the current year.

Royal Bank Of Canada Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, November 24th. Stockholders of record on Monday, October 26th will be paid a C$1.76 dividend. The ex-dividend date of this dividend is Monday, October 26th. This represents a $7.04 annualized dividend and a dividend yield of 3.7%. Royal Bank Of Canada's dividend payout ratio is presently 43.39%.

Analyst Upgrades and Downgrades

A number of equities analysts have issued reports on RY shares. Weiss Ratings raised shares of Royal Bank Of Canada from a "buy (b+)" rating to a "buy (a-)" rating in a report on Wednesday, July 29th. Barclays reaffirmed an "overweight" rating on shares of Royal Bank Of Canada in a report on Friday, August 21st. TD Securities reaffirmed a "buy" rating on shares of Royal Bank Of Canada in a report on Wednesday, August 12th. Scotiabank reiterated an "outperform" rating on shares of Royal Bank Of Canada in a research report on Friday, August 28th. Finally, Canadian Imperial Bank of Commerce reissued a "neutral" rating on shares of Royal Bank Of Canada in a report on Wednesday, August 19th. One equities research analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating and five have issued a Hold rating to the company. According to data from MarketBeat, Royal Bank Of Canada currently has a consensus rating of "Moderate Buy" and a consensus target price of $225.00.

Royal Bank Of Canada Company Profile

Royal Bank of Canada NYSE: RY is a diversified financial services company headquartered in Toronto, Canada. Founded in 1864, it operates under the RBC brand and serves individuals, businesses, institutional clients and governments.

RBC provides personal and commercial banking services, including deposit accounts, lending, mortgages, credit cards, payment solutions and financial advice. Its wealth management operations offer investment management, brokerage, trust, private banking and financial planning services to individuals, families and institutions.

Through RBC Capital Markets, the company provides investment banking, corporate banking, securities, sales and trading, and financial advisory services.

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