Royal Bank Of Canada (NYSE:RY) Increases Dividend to $1.54 Per Share

Key Points

• Royal Bank of Canada has increased its quarterly dividend to $1.54 per share, a significant 38.1% rise from the previous dividend of $1.12.
• The bank's dividend yield is now 4.2%, and it maintains a payout ratio of 41.9%, indicating that dividends are well-covered by earnings.
• As of the latest trading session, the stock price of Royal Bank of Canada reached $145.11, showing a strong performance against a 12-month high of $147.64.

Royal Bank Of Canada (NYSE:RY - Get Free Report) TSE: RY announced a quarterly dividend on Wednesday, August 27th, RTT News reports. Shareholders of record on Monday, October 27th will be given a dividend of 1.54 per share by the financial services provider on Monday, November 24th. This represents a c) dividend on an annualized basis and a yield of 4.2%. This is a 38.1% increase from Royal Bank Of Canada's previous quarterly dividend of $1.12.

Royal Bank Of Canada has a payout ratio of 41.9% meaning its dividend is sufficiently covered by earnings. Equities research analysts expect Royal Bank Of Canada to earn $10.10 per share next year, which means the company should continue to be able to cover its $4.27 annual dividend with an expected future payout ratio of 42.3%.

Royal Bank Of Canada Price Performance

NYSE:RY traded up $7.43 on Wednesday, reaching $145.11. 834,676 shares of the company's stock traded hands, compared to its average volume of 1,227,458. The company has a quick ratio of 0.82, a current ratio of 0.82 and a debt-to-equity ratio of 0.11. The stock has a 50-day simple moving average of $132.21 and a 200-day simple moving average of $123.59. The firm has a market cap of $203.91 billion, a PE ratio of 16.11, a P/E/G ratio of 1.57 and a beta of 0.89. Royal Bank Of Canada has a 12 month low of $106.10 and a 12 month high of $147.64.

Royal Bank Of Canada (NYSE:RY - Get Free Report) TSE: RY last posted its quarterly earnings results on Thursday, May 29th. The financial services provider reported $2.20 EPS for the quarter, missing analysts' consensus estimates of $2.25 by ($0.05). Royal Bank Of Canada had a net margin of 13.37% and a return on equity of 15.75%. The business had revenue of $11.38 billion for the quarter, compared to the consensus estimate of $15.77 billion. During the same period in the prior year, the business earned $2.92 earnings per share. Royal Bank Of Canada's revenue was up 10.7% compared to the same quarter last year. Equities research analysts forecast that Royal Bank Of Canada will post 9.16 earnings per share for the current year.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the business. Campbell & CO Investment Adviser LLC boosted its position in shares of Royal Bank Of Canada by 1,187.6% during the first quarter. Campbell & CO Investment Adviser LLC now owns 25,740 shares of the financial services provider's stock valued at $2,901,000 after buying an additional 23,741 shares during the period. Baskin Financial Services Inc. boosted its position in shares of Royal Bank Of Canada by 5.0% during the first quarter. Baskin Financial Services Inc. now owns 62,855 shares of the financial services provider's stock valued at $7,079,000 after buying an additional 3,006 shares during the period. Envestnet Asset Management Inc. boosted its position in shares of Royal Bank Of Canada by 1.1% during the first quarter. Envestnet Asset Management Inc. now owns 341,776 shares of the financial services provider's stock valued at $38,525,000 after buying an additional 3,767 shares during the period. PNC Financial Services Group Inc. boosted its position in shares of Royal Bank Of Canada by 4.0% during the first quarter. PNC Financial Services Group Inc. now owns 86,847 shares of the financial services provider's stock valued at $9,789,000 after buying an additional 3,358 shares during the period. Finally, JPMorgan Chase & Co. boosted its position in shares of Royal Bank Of Canada by 4.4% during the first quarter. JPMorgan Chase & Co. now owns 6,458,212 shares of the financial services provider's stock valued at $727,970,000 after buying an additional 271,531 shares during the period. Hedge funds and other institutional investors own 45.31% of the company's stock.

About Royal Bank Of Canada

Royal Bank of Canada operates as a diversified financial service company worldwide. The company's Personal & Commercial Banking segment offers checking and savings accounts, home equity financing, personal lending, private banking, indirect lending, including auto financing, mutual funds and self-directed brokerage accounts, guaranteed investment certificates, credit cards, and payment products and solutions; and lending, leasing, deposit, investment, foreign exchange, cash management, auto dealer financing, trade products, and services to small and medium-sized commercial businesses.

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