August 26, 2010 | In: Financial
Royal Bank of Canada missed the estimates for the third quarter and revenue fell to 18% to US $1.21 billion from a year earlier. But there is nothing to be worried about, both BMO, and CIBC missed the estimates as well, and they’re all blaming it on the decline in trading activity (Canadian banks charge anything between $7 to $40 for a trade).
Take a look at the BMO stock that missed the estimates on Tuesday, the stock went down almost $5 dollars and started its ascent yesterday at 10:18 from a bottom of $51.14 on very high volume (2.5 X average). The stock is already trading 1% higher in the pre-market.
RY is a huge buy at $45, if the stock goes down to that level, $46 even $47 is not bad at all as an entry to the stock. The 52 week low of RY is $46.53, reached yesterday.
RBC is by far the largest bank in Canada, probably the only economy in the G8 that was only slightly affected by the recession of 2008 – 2009. Buy a few hundred shares, and your investment will definitely go up by a few hundred dollars by end of day tomorrow or Friday. RY is currently trading at $46.35 in the pre-market, what are you waiting for?