RY Relative Valuation
RY's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, RY is overvalued; if below, it's undervalued.
Historical Valuation
Royal Bank of Canada (RY) is now in the Overvalued zone, suggesting that its current forward PE ratio of 14.95 is considered Overvalued compared with the five-year average of 11.91. The fair price of Royal Bank of Canada (RY) is between 123.48 to 141.77 according to relative valuation methord. Compared to the current price of 160.56 USD , Royal Bank of Canada is Overvalued By 13.25%.
Relative Value
Fair Zone
123.48-141.77
Current Price：160.56
13.25%
Overvalued
14.95
PE
1Y
3Y
5Y
Trailing
Forward
0.00
EV/EBITDA
Royal Bank of Canada. (RY) has a current EV/EBITDA of 0.00. The 5-year average EV/EBITDA is 0.00. The thresholds are as follows: Strongly Undervalued below 0.00, Undervalued between 0.00 and 0.00, Fairly Valued between 0.00 and 0.00, Overvalued between 0.00 and 0.00, and Strongly Overvalued above 0.00. The current Forward EV/EBITDA of 0.00 falls within the Strongly Undervalued range.
NaN
EV/EBIT
Royal Bank of Canada. (RY) has a current EV/EBIT of NaN. The 5-year average EV/EBIT is NaN. The thresholds are as follows: Strongly Undervalued below NaN, Undervalued between NaN and NaN, Fairly Valued between NaN and NaN, Overvalued between NaN and NaN, and Strongly Overvalued above NaN. The current Forward EV/EBIT of NaN falls within the range.
4.49
PS
Royal Bank of Canada. (RY) has a current PS of 4.49. The 5-year average PS is 3.56. The thresholds are as follows: Strongly Undervalued below 2.85, Undervalued between 2.85 and 3.20, Fairly Valued between 3.91 and 3.20, Overvalued between 3.91 and 4.27, and Strongly Overvalued above 4.27. The current Forward PS of 4.49 falls within the Strongly Overvalued range.
0.00
P/OCF
Royal Bank of Canada. (RY) has a current P/OCF of 0.00. The 5-year average P/OCF is 0.00. The thresholds are as follows: Strongly Undervalued below 0.00, Undervalued between 0.00 and 0.00, Fairly Valued between 0.00 and 0.00, Overvalued between 0.00 and 0.00, and Strongly Overvalued above 0.00. The current Forward P/OCF of 0.00 falls within the Strongly Undervalued range.
0.00
P/FCF
Royal Bank of Canada. (RY) has a current P/FCF of 0.00. The 5-year average P/FCF is 0.00. The thresholds are as follows: Strongly Undervalued below 0.00, Undervalued between 0.00 and 0.00, Fairly Valued between 0.00 and 0.00, Overvalued between 0.00 and 0.00, and Strongly Overvalued above 0.00. The current Forward P/FCF of 0.00 falls within the Strongly Undervalued range.
Royal Bank of Canada (RY) has a current Price-to-Book (P/B) ratio of 2.54. Compared to its 3-year average P/B ratio of 1.89 , the current P/B ratio is approximately 34.50% higher. Relative to its 5-year average P/B ratio of 1.92, the current P/B ratio is about 32.13% higher. Royal Bank of Canada (RY) has a Forward Free Cash Flow (FCF) yield of approximately 0.00%. Compared to its 3-year average FCF yield of -22.46%, the current FCF yield is approximately -100.00% lower. Relative to its 5-year average FCF yield of -20.29% , the current FCF yield is about -100.00% lower.
2.54
P/B
Median3y
1.89
Median5y
1.92
-11.56
FCF Yield
Median3y
-22.46
Median5y
-20.29
Competitors Valuation Multiple
The average P/S ratio for RY's competitors is , providing a benchmark for relative valuation. Royal Bank of Canada Corp (RY) exhibits a P/S ratio of , which is NaN% above the industry average. Given its robust revenue growth of 18.40%, this premium appears unsustainable.
P/S
P/E
EV/EBITDA
EV/EBIT
P/S
Revenue Growth
Market Cap
Performance Decomposition
1Y
3Y
5Y
Market capitalization of RY increased by 33.23% over the past 1 year. The primary factor behind the change was an increase in Revenue Growth from 14.01B to 16.59B.
The secondary factor is the Margin Expansion, contributed 8.69%to the performance.
Overall, the performance of RY in the past 1 year is driven by Revenue Growth. Which is more sustainable.
People Also Watch
FAQ
Is Royal Bank of Canada (RY) currently overvalued or undervalued?
What is Royal Bank of Canada (RY) fair value?
How does RY's valuation metrics compare to the industry average?
What is the current P/B ratio for Royal Bank of Canada (RY) as of Dec 05 2025?
What is the current FCF Yield for Royal Bank of Canada (RY) as of Dec 05 2025?
What is the current Forward P/E ratio for Royal Bank of Canada (RY) as of Dec 05 2025?