Tweeking TP Analysts have tweaked their price targets in the wake of Royal Bank of Canada’s (RY-T) quarterly earnings on Thursday, providing a relatively upbeat assessment of a first quarter that saw a 6% boost to profit.
The median price target is now C$150, up $5 from a month ago, according to Eikon data.
Retail banking profit was up 10 per cent, even as profit margins on loans shrank. Spending and borrowing by consumers and businesses has been picking up, and loans to personal and commercial customers were 8 per cent higher year over year, driven primarily by a growing mortgage book. Fees from managing investments and mutual funds also surged amid a strong run for stock markets.
But there are also mounting geopolitical tensions as Russia invaded Ukraine, which has compounded existing risks to the global economy from supply chain disruptions, labour shortages and high levels of inflation.
Among the price target changes were: Scotiabank raising its target to C$163 from C$162; and Canaccord Genuity cutting its target to C$147 from $150.