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Royal Bank of Canada (TSX:RY.PR.F.PFD) Peter Lynch Fair Value : N/A (As of Dec. 13, 2024)


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What is Royal Bank of Canada Peter Lynch Fair Value?

Peter Lynch Fair Value applies to growing companies. The ideal range for the growth rate is between 10 - 20% a year. Peter Lynch thinks that the fair P/E value for a growth company equals its growth rate, that is PEG = 1. The earnings here is trailing twelve month (TTM) earnings. For non-bank companies, the growth rate we use is the average growth rate for EBITDA per share over the past 5 years. For Banks, the growth rate we use is the average growth rate for Book Value per share over the past 5 years. If 5-Year Growth Rate is greater than 25% a year, we use 25. If 5-Year Growth Rate is smaller than 5% a year, we do not calculate Peter Lynch Fair Value.


The historical rank and industry rank for Royal Bank of Canada's Peter Lynch Fair Value or its related term are showing as below:


During the past 13 years, the highest Price to Peter Lynch Fair Value Ratio of Royal Bank of Canada was 1.57. The lowest was 1.02. And the median was 1.20.


TSX:RY.PR.F.PFD's Price-to-Peter-Lynch-Fair-Value is not ranked *
in the Banks industry.
Industry Median: 0.94
* Ranked among companies with meaningful Price-to-Peter-Lynch-Fair-Value only.

Note: Please don't confuse Peter Lynch Fair Value with the value reached in Peter Lynch Chart.


Royal Bank of Canada Peter Lynch Fair Value Historical Data

The historical data trend for Royal Bank of Canada's Peter Lynch Fair Value can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Royal Bank of Canada Peter Lynch Fair Value Chart

Royal Bank of Canada Annual Data
Trend Oct15 Oct16 Oct17 Oct18 Oct19 Oct20 Oct21 Oct22 Oct23 Oct24
Peter Lynch Fair Value
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Royal Bank of Canada Quarterly Data
Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24
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Competitive Comparison of Royal Bank of Canada's Peter Lynch Fair Value

For the Banks - Diversified subindustry, Royal Bank of Canada's Price-to-Peter-Lynch-Fair-Value, along with its competitors' market caps and Price-to-Peter-Lynch-Fair-Value data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Royal Bank of Canada's Price-to-Peter-Lynch-Fair-Value Distribution in the Banks Industry

For the Banks industry and Financial Services sector, Royal Bank of Canada's Price-to-Peter-Lynch-Fair-Value distribution charts can be found below:

* The bar in red indicates where Royal Bank of Canada's Price-to-Peter-Lynch-Fair-Value falls into.



Royal Bank of Canada Peter Lynch Fair Value Calculation

Royal Bank of Canada's Peter Lynch Fair Value for today is calculated as

Peter Lynch Fair Value=PEG Ratio*5-Year TTM Book Value Growth Rate***EPS without NRI (TTM)
=1* N/A *
=N/A

Royal Bank of Canada's EPS without NRI for the trailing twelve months (TTM) uses the latest annual data, which was C$0.00.

* Note that for companies that do not have enough quarterly data to calculate the 5-Year TTM EBITDA Growth Rate, we use the annual data for the calculation.


* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

** Please be aware that the 5-Year TTM Book Value Growth Rate is calculated based on TTM data over the last 5 years. For quarterly reported companies, the TTM data is the latest quarter data. For companies that report semi-annually, annually, or do not have enough quarterly data, GuruFocus uses the annual data as the TTM data.

If 5-Year Earnings Growth Rate is greater than 25% a year, we use 25.

If 5-Year Earnings Growth Rate is smaller than 5% a year, we do not calculate Peter Lynch Fair Value.

Please note that we use the 5-year average growth rate of EBITDA per share as the growth rate for non-bank companies, as EBITDA growth is subject to less manipulations than net earnings per share. For banks, we use the 5-year average growth rate of Book Value per share as the growth rate. The reason is that EBITDA is not applicable to Banks and Book value is a relative important measurement for Banks. In the calculation, PEG=1 because Peter Lynch thinks that the fair P/E ratio of the growth stock is equal to its earnings growth rate.


Royal Bank of Canada  (TSX:RY.PR.F.PFD) Peter Lynch Fair Value Explanation

Peter Lynch Fair Value applies to growing companies. The ideal range for the growth rate is between 10 - 20% a year.

Peter Lynch thinks that the fair P/E value for a growth company equals its growth rate, that is PEG = 1. The earnings here is trailing twelve month (TTM) earnings. For non-bank companies, the growth rate we use is the average growth rate for EBITDA per share over the past 5 years. For Banks, the growth rate we use is the average growth rate for Book Value per share over the past 5 years.

Please don't confuse Peter Lynch Fair Value with the value reached in Peter Lynch Chart. In Peter Lynch chart, a fixed P/E ratio of 15 is used to draw the Earnings Line. Therefore the value reached has a P/E ratio of 15. But in Peter Lynch Fair Value calculation, P/E equals to the growth rate of Book Value per share over the past 5 years, which is 0 instead of 15 in this case.

Royal Bank of Canada's Price to Peter Lynch Fair Value Ratio for today is calculated as

Price to Peter Lynch Fair Value=Share Price/Peter Lynch Fair Value
=25.10/N/A
=N/A

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Royal Bank of Canada Peter Lynch Fair Value Related Terms

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Royal Bank of Canada Business Description

Address
1 Place Ville Marie, Corporate Secretary\'s Department, Montreal, QC, CAN, H3B 3A9
Royal Bank of Canada is one of the two largest banks in Canada. It is a diversified financial services company, offering personal and commercial banking, wealth-management services, insurance, corporate banking, and capital markets services. The bank is concentrated in Canada, with additional operations in the US and other countries.

Royal Bank of Canada Headlines

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