RY.TO - Royal Bank of Canada

Toronto - Toronto Delayed Price. Currency in CAD
107.56
+0.61 (+0.57%)
As of 10:54AM EDT. Market open.
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Previous Close106.95
Open107.09
Bid107.57 x 0
Ask107.58 x 0
Day's Range107.09 - 107.57
52 Week Range90.10 - 108.25
Volume516,096
Avg. Volume2,722,243
Market Cap154.251B
Beta (3Y Monthly)1.00
PE Ratio (TTM)12.27
EPS (TTM)8.77
Earnings DateDec 4, 2019
Forward Dividend & Yield4.20 (3.92%)
Ex-Dividend Date2019-10-23
1y Target Est108.27
  • Bloomberg

    Deripaska Says Raid of His Ex-Company Was About U.S. Politics

    (Bloomberg) -- Russian billionaire Oleg Deripaska says that U.S. prosecutors’ efforts to gain access to records seized from a U.K. company associated with him are motivated by American political “infighting.”British authorities raided a storage unit last December owned by Terra Services Ltd., a real estate firm that until last year was controlled by Deripaska, as part of a possible offshoot of U.S. Special Counsel Robert Mueller’s investigation of Russian election interference. The aluminum magnate’s business dealings with convicted former Trump campaign chairman Paul Manafort were a subject of Mueller’s inquiry.Terra Services is challenging the lawfulness of the search warrant, which seized at least 25,000 electronic documents, and has asked a London judge to prevent the documents from being handed over to the Americans.“The Terra raid that happened around a year ago and the recent publicity in relation to it is yet another hopeless attempt to drag me into never-ending U.S. political infighting,” Deripaska said in a written statement on Monday. “Washington bureaucrats are desperate to link me to Manafort, who I haven’t dealt with for years as I have repeatedly stated. They are chasing a ghost.”READ: Deripaska-Linked Firm Was Raided for Undisclosed U.S. ProbeU.S. authorities are seeking evidence of “money laundering, tax offenses and fraud offenses” from 18 individuals and companies including Terra Services, Bloomberg News reported last Friday, citing documents filed in a London court.Deripaska handed control of Terra Services in January 2018 to an individual named Pavel Ezubov, whose name matches that of the billionaire’s cousin, Russian media group RBC reported last year. The firm owns several properties in San Tropez and Paris, RBC said. It has just six employees, according to a U.K. corporate registry.To contact the reporters on this story: Yuliya Fedorinova in Moscow at yfedorinova@bloomberg.net;Jonathan Browning in London at jbrowning9@bloomberg.netTo contact the editors responsible for this story: Lynn Thomasson at lthomasson@bloomberg.net, David S. Joachim, Christopher ElserFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.

  • Oleg Deripaska-Linked Firm Was Raided for Undisclosed U.S. Inquiry
    Bloomberg

    Oleg Deripaska-Linked Firm Was Raided for Undisclosed U.S. Inquiry

    (Bloomberg) -- U.S. prosecutors aren’t done with Oleg Deripaska, the Russian billionaire who figured prominently in Special Counsel Robert Mueller’s case against Donald Trump’s campaign chairman.In what could be an offshoot of Mueller’s work, federal authorities are seeking records seized from a U.K. company associated with Deripaska, according to documents filed in a London court this week. As part of the previously undisclosed inquiry, U.S. authorities are seeking evidence of “money laundering, tax offenses and fraud offenses” from 18 individuals and companies including Terra Services Ltd., a real estate firm that until last year was controlled by Deripaska, the filings say.The inquiry is “live and ongoing,” according to a U.K. government filing Thursday. Terra, in another filing, said the search request appears to have been made “in connection with the special counsel investigation being conducted in the U.S.” into Russian election interference.The investigation came to light because Terra is challenging a search warrant that led to the December 2018 seizure of at least 25,000 electronic documents from a British storage unit it owned. Terra asked a London judge to prevent the documents from being handed over to the Americans.Redacted ReportThe presiding U.K. judge who granted the search warrant in December 2018 said that any seized materials could be helpful “in an ongoing U.S. investigation into a number of criminal offenses committed by two U.S. subjects, Paul Manafort and Rick Gates,” according to court documents. But by that time Manafort had been convicted and was awaiting sentencing. Gates had already pleaded guilty and was cooperating with prosecutors.Mueller’s team ended its work earlier this year, referring several matters to other U.S. prosecutors. Many of those haven’t been made public. Parts of Mueller’s report dealing with Manafort and Gates are redacted to avoid interfering with unspecified ongoing investigations.According to Mueller’s report, one-time Trump campaign chairman Manafort had a business dispute with Deripaska that he was looking to resolve, and he offered Deripaska briefings and internal polling data. Manafort was convicted of multiple crimes and is serving a sentence of more than seven years; Deripaska wasn’t accused of wrongdoing.U.S. RequestThe U.S. request named 18 entities including Terra Services and two U.K.-based lawyers. The documents available in the London case don’t include the U.S. request for a search, or the corresponding U.K. search warrant, but quote from parts of the warrant. The filings don’t say which U.S. authorities are currently handling the matter.The U.K. National Crime Agency, which carried on the search, and the U.S. Department of Justice declined to comment.Judges have so far denied requests by Terra and others to see the U.S. letter.‘Degree of Confusion’“There is a degree of confusion as to what exactly is being investigated,” Terra’s lawyer, Monica Carss-Frisk, said in court.Deripaska’s office in Moscow referred queries to Terra Services. A lawyer for the U.K. firm declined to comment.Deripaska, who grew rich in Russia’s aluminum business, is one of the highest-profile Russians caught up in waves of U.S. sanctions against the country since its 2014 annexation of Crimea and support for separatists in eastern Ukraine. Some companies formerly controlled by Deripaska were removed from the blacklist in January, following an administration effort to lift the sanctions that was supported by Senate Majority Leader Mitch McConnell.One of Deripaska’s companies subsequently committed funds to a new aluminum plant to be built in McConnell’s home state, Kentucky.The billionaire himself remains under U.S. sanction, which means American citizens and entities are prohibited from dealing with him.The British warrant said that the owners would seek to destroy or conceal evidence if it wasn’t issued, according to filings in the London case.Just days before the warrant was issued, the NCA conducted its own search of the storage unit to “assist a money laundering investigation.” The British search, authorized under legislation that allows for covert surveillance, should have been approved by a judge, Terra said in its filing. It’s unclear if the investigations are related.Cable DealManafort and Deripaska fell out in 2008 over a deal to buy a cable company in Ukraine. Lawsuits filed by Deripaska in 2014 describe how Gates, Manafort’s deputy, failed to respond to requests for information on the investment around the same time. In September 2010, Deripaska asked Gates to account for the $18.9 million he’d invested, but the report was never delivered, according to court documents.Documents unsealed in June 2018 showed that Manafort and his wife acknowledged on a 2010 tax return that they owed $10 million to Deripaska.Deripaska handed control of Terra Services in January 2018 to an individual named Pavel Ezubov, whose name matches that of the billionaire’s cousin, Russian media group RBC reported last year. The firm owns several properties in San Tropez and Paris, RBC said. It has just six employees, according to a U.K. corporate registry.(Releads and updates with Deripaska firm’s commitment to Kentucky aluminum plant.)\--With assistance from David Voreacos and Yuliya Fedorinova.To contact the reporter on this story: Jonathan Browning in London at jbrowning9@bloomberg.netTo contact the editors responsible for this story: Anthony Aarons at aaarons@bloomberg.net, ;Jeffrey D Grocott at jgrocott2@bloomberg.net, David S. JoachimFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.

  • CNW Group

    Royal Bank of Canada to redeem subordinated debentures

    Royal Bank of Canada to redeem subordinated debentures

  • CNW Group

    RBC Global Asset Management Inc. announces RBC ETF cash distributions for October 2019

    RBC Global Asset Management Inc. announces RBC ETF cash distributions for October 2019

  • CNW Group

    YouthfulCities welcomes 60 young leaders to Edmonton for first-ever Future of Urban Work Summit

    Facilitated with support from national and regional sponsors, including RBC Future Launch and the Edmonton Economic Development Corporation (EEDC), the summit puts young people at the forefront of insights and ideas around urban work and its future. The Future of Urban Work Summit is an extension of the 2019 YouthfulCities Urban Work Index, launched in February, 2019.

  • Team RBC welcomes 55 elite Canadian athletes to RBC Olympians program
    CNW Group

    Team RBC welcomes 55 elite Canadian athletes to RBC Olympians program

    Team RBC welcomes 55 elite Canadian athletes to RBC Olympians program

  • CNW Group

    New survey from RBC Global Asset Management uncovers diverging views on responsible investing among institutional investors

    TORONTO , Oct. 16, 2019 /CNW/ - Institutional investors in Canada , the United States and the United Kingdom who apply environmental, social and governance (ESG) principles are committing more of their assets to this approach than ever before, according to the 2019 RBC Global Asset Management (RBC GAM) Responsible Investing Survey.

  • More large-scale investors are skittish about an ESG strategy at the expense of returns: survey
    MarketWatch

    More large-scale investors are skittish about an ESG strategy at the expense of returns: survey

    Some institutional investors remain increasingly unconvinced that responsible investing will boost their returns.

  • Eight Corporate Jets: What Is This, the '80s?
    Bloomberg

    Eight Corporate Jets: What Is This, the '80s?

    (Bloomberg Opinion) -- The activist investors are on the tarmac at Emerson Electric Co.D.E. Shaw Group on Tuesday released a letter calling for the $42 billion industrial company to spin off its climate division and make productivity and corporate-governance improvements, including culling its fleet of eight corporate jets and a helicopter. The public pressure follows reports late last month that D.E. Shaw was seeking a breakup of the company and Emerson’s subsequent announcement that it would review its operations.In its letter, D.E. Shaw takes issue with the lack of tangible commitments and deadlines for Emerson’s strategic review and stresses that some of its recommendations – such as making all board directors subject to annual elections – shouldn’t require that much deliberation in this day and age.D.E. Shaw is justified in its wariness of Emerson kicking the can down the road. CEO David Farr has been in his role for 19 years and, according to analysts, he’s signaled he will retire in fiscal 2021 or 2022 and would prefer to leave any decision on a breakup to his successor. RBC analyst Deane Dray speculated earlier this month that a preliminary update on the outcome of Emerson’s strategic review may not come until the company’s annual analyst meeting in February. Emerson is 129 years old and on track to generate $18.5 billion in revenue this year; change doesn’t happen quickly at companies like that. But in a way, that reinforces the activist investor’s argument.Emerson needs to reckon with its remaining vestiges of crusty corporate habits and old-school sprawl. Examples include the high personal usage by the CEO of that corporate jet fleet (which is managed by 40-plus employees and an intern, apparently), guaranteed three-year and staggered terms for board directors, and a jaw-dropping 18 separate office and factory buildings in the Houston area. Let's hope none of those corporate jets fly empty behind Farr’s plane, in the vein of the reported practices of former General Electric Co. CEO Jeff Immelt.Calling attention to those practices is a smart tactic that will resonate with fellow shareholders irked by Emerson’s lackluster returns, and should ramp up pressure on management to make changes more quickly. I would add to D.E. Shaw’s list of grievances a bias toward less transparency: Emerson is the only major industrial company I cover that declines to routinely webcast its presentations at major conferences.The biggest change advocated by D.E. Shaw is a breakup of Emerson. It’s an idea that’s long been bandied about because the Emerson division that sells air-conditioner controls and food-disposal systems has little to do with the unit purveying automation equipment. The company has slimmed down already, divesting about $6 billion of revenue, including the network power business it cobbled together through billions of dollars worth of disappointing acquisitions. Analysts aren’t convinced that a bigger split would pay off in the stock price.Emerson should be valued at about $73 a share based on the sum of its parts, according to the average of three analysts’ estimates. That’s just 3% higher than where Wall Street on average expected Emerson’s stock to rise over the next year before reports of D.E. Shaw’s involvement. The hedge fund, for its part, estimates Emerson could be valued at $77 if its parts were valued comparably to the average of its peers, a meaningful improvement but not a knock-your-socks-off game-changer. The real value comes through the combination of a breakup with the cost-cutting initiatives. In that scenario, D.E. Shaw sees the potential for Emerson’s valuation to rise to $101 a share. Analysts have long recognized that typical sum-of-the-parts estimates tend to underestimate the efficiency gains that come from more focused management teams, so there may be something to this kind of analysis. The prospect of a deepening downturn in the industrial sector should add to the sense of urgency for the cost-cutting opportunities D.E. Shaw has identified. Emerson in August warned that $350 million of projects planned for 2019 had been pushed to next year, while $450 million of 2020 projects had been delayed to 2021. Analysts are bracing for those numbers to get worse when the company reports its fiscal-fourth-quarter results in November, and for its 2021 earnings goals to slip out of reach. D.E. Shaw estimates Emerson can cut more than $1 billion of costs by streamlining corporate functions and improving margins in its automation division. In response to the activist investor’s letter, Farr pointed out that Emerson was “one of the first industrial companies to address the concerning trends in the macroeconomic environment.” That’s true to an extent, but its own plan calls for $100 million in restructuring spending this year, less drastic than what D.E. Shaw is proposing.I remain concerned that the industrial breakup craze is going too far and we don’t properly understand the longer-term implications of it. But the corporate-governance and cost-management shortcomings highlighted by D.E. Shaw will make it harder for Emerson’s management team to resist it.To contact the author of this story: Brooke Sutherland at bsutherland7@bloomberg.netTo contact the editor responsible for this story: Beth Williams at bewilliams@bloomberg.netThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Brooke Sutherland is a Bloomberg Opinion columnist covering deals and industrial companies. She previously wrote an M&A column for Bloomberg News.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.

  • Bloomberg

    Deripaska’s Ex-Wife and Family Seek Buyers for En+ Stake

    (Bloomberg) -- Family members of sanctioned Russian billionaire Oleg Deripaska are seeking to sell their stake in En+ Group International PJSC, according to people familiar with the matter.Deripaska’s ex-wife Polina Yumasheva and former father-in-law Valentin Yumashev are looking for buyers of their stakes, as well as holdings owned by Deripaska’s children, said the people, who asked not to be identified because the discussions are private.They said discussions have been preliminary and informal to sound out potential acquirers, and there’s no work being done on a deal. No one has expressed interest in purchasing the stakes and it’s possible a buyer won’t be found, the people said.Yumashev declined to comment. Polina didn’t respond to questions sent to her Facebook account or representatives of Forward Media Group, a publishing house that she owns. An En+ spokeswoman declined to comment.In an interview with Russian media outlet RBC, Polina said she hasn’t held any negotiations yet on selling the stake.En+ owns a majority stake in United Co. Rusal, one of the world’s biggest aluminum producers, and runs hydropower plants in Russia. Finding a buyer could face hurdles given the chief owner is still Deripaska, who remains under U.S. sanctions.En+ was sanctioned last year by the Treasury’s Office of Foreign Assets Control in response to Russia’s “worldwide malign activities,” which included annexing Ukraine’s Crimean peninsula.Treasury officials agreed to lift the penalties on Deripaska’s companies in January as part of an agreement that he would step back from running the businesses. The billionaire still owns about 45% of En+ shares. Under the agreement with OFAC, he’s allowed to vote 35% of the shares and the rest are done by independent trustees.Polina and her father own 6.75% of the company. Her two teenage children have 3.42%. The voting of their shares is also via trustees.En+ global depositary receipts are listed in London and Moscow, but infrequently traded so a market valuation is difficult to determine. Based on the London share price, the company is worth $5.3 billion.The Financial Times reported last month that VTB Group, which is also a large En+ shareholder, held talks with Chinese companies over a potential investment. The newspaper cited people familiar with the matter saying VTB had been approached by two Chinese state-related industrial groups about a share sale.(Adds comment from Polina Yumasheva in fifth paragraph.)To contact the reporters on this story: Yuliya Fedorinova in Moscow at yfedorinova@bloomberg.net;Irina Reznik in Moscow at ireznik@bloomberg.net;Andrey Biryukov in Moscow at abiryukov5@bloomberg.netTo contact the editor responsible for this story: Lynn Thomasson at lthomasson@bloomberg.netFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.

  • Iranian Oil Tanker Attacked as Middle East Tensions Remain High
    Bloomberg

    Iranian Oil Tanker Attacked as Middle East Tensions Remain High

    (Bloomberg) -- Iran said missiles struck one of its tankers in the Red Sea, the latest in a series of attacks on oil infrastructure in the region that have roiled energy markets.The Islamic Republic’s tanker company initially said the attacks probably came from Saudi Arabia, but later withdrew the claim. The incident, which caused a spill and a jump of as much as 2.6% in crude prices, comes weeks after a devastating attack on major Saudi oil facilities that Riyadh blamed on Tehran.Tensions have been rising steadily in the region since U.S. President Donald Trump unilaterally withdrew from an international nuclear deal with Iran and imposed harsh sanctions on the Islamic Republic. Although so far all sides have said they want to avoid war, there’s a growing risk to supplies from the world’s most important oil-producing region.“The market has been entirely too complacent given that we are one security incident away from a war,” said Helima Croft, chief commodities strategist at RBC Capital Markets.The Sabiti, a tanker capable of carrying 1 million barrels a of crude, was damaged on Friday near the Saudi port of Jeddah after being hit by suspected missiles, Iranian state media said. The explosions on the tanker occurred between 5:00 and 5:20 a.m. local time damaging two of its main oil tanks, the Islamic Republic News Agency reported.A spokesman for the National Iranian Tanker Company, initially said in a call with Iran’s Press TV that the missiles probably came from the direction of Saudi Arabia. NITC later withdrew that claim in a statement.The ship was hit twice within a 30-minute interval from the east of the Red Sea near its crossing route, Foreign Ministry spokesman Abbas Mousavi said on Telegram. The Iranian authorities presented no further evidence of the nature or origin of the attack.The Saudi Ports Authority confirmed that an incident involving a tanker had occurred near the port of Jeddah overnight, but was unable to verify if the vessel was Iranian, according to a press officer.After initially saying the spill from the tanker had been halted and the damage minimized, the Iranian oil ministry’s Shana news service said crude was again flowing into the Red Sea. No one has provided any assistance to the damaged ship, Al-Alam news channel reported, citing Nasrollah Sardashti, head of NITC.Oil AttacksThe Sabiti was fully laden with crude and heading toward the Suez Canal and the Mediterranean Sea, according to Florian Thaler, chief executive of data analytics firm OilX. On its previous voyages it has carried Iranian crude to the East Mediterranean he said.According to tanker-tracking data compiled by Bloomberg, the vessel was under way using its engine and heading south at a speed of 9.6 knots as of 8:45 a.m. London time. Its destination was listed as Larak, an Iranian island in the Strait of Hormuz.Oil prices jumped above $60 a barrel in London after the attack. Despite the growing risk to Middle Eastern supplies, crude prices have been depressed by fears of an economic slowdown due to the U.S.-China trade dispute. Brent is still lower than it was before the Sept. 14 drone and missile strikes on Saudi Arabia’s Abqaiq and Khurais oil facilities last month that briefly cut global supplies by 5%, the worst sudden disruption in history.In an interview with CBS’s “60 Minutes” last month, Saudi Crown Prince Mohammed Bin Salman warned that conflict between his country and Iran would lead to a “total collapse of the global economy” and should be avoided. The Foreign Ministry of China, which gets a significant proportion of its oil imports from the Persian Gulf, urged restraint on Friday in order to safeguard peace and stability in the area.The attack on the Sabiti came a day before Pakistani Prime Minister Imran Khan is scheduled to visit Tehran for talks on how to reduce tensions with Saudi Arabia, Iranian lawmaker and member of the parliamentary commission for national security, Heshmattolah Falahatpisheh, said in an interview with the semi-official Iranian Labour News Agency. Khan was one of several leaders who unsuccessfully tried to broker dialogue between Trump and Iranian President Hassan Rouhani at the United Nations General Assembly last month.The Pentagon said on Friday that it’s sending more U.S. forces to the Middle East to “assure and enhance the defense of Saudi Arabia” against Iran. Overall about 3,000 personnel are being deployed or having their missions extended in the region, including a previously promised delivery of additional Patriot and Thaad missile defense systems.(A previous version of this story corrected the job title and company name of Florian Thaler.)\--With assistance from Dan Murtaugh, Dandan Li, Golnar Motevalli, Verity Ratcliffe, Dana Khraiche, Julian Lee, Chloe Whiteaker and Adrian Leung.To contact the reporters on this story: Golnar Motevalli in Tehran at gmotevalli@bloomberg.net;Arsalan Shahla in Dubai at ashahla@bloomberg.net;Yasna Haghdoost in Beirut at yhaghdoost@bloomberg.netTo contact the editors responsible for this story: Ramsey Al-Rikabi at ralrikabi@bloomberg.net, James Herron, Christopher SellFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.

  • Hugo Boss Can't Compete When Luxury Is All About Handbags
    Bloomberg

    Hugo Boss Can't Compete When Luxury Is All About Handbags

    (Bloomberg Opinion) -- Just 24 hours after LVMH reported knockout sales growth, Hugo Boss AG has provided a sober reminder that the luxury sector’s spoils will not be spread evenly.The maker of smart suits on Thursday issued a warning on full-year sales and profits, the second time it’s pared its outlook in two months, blaming the problems in Hong Kong and ongoing weakness in the U.S. The shares fell as much as 14% to the lowest level in nine years.Chief Executive Officer Mark Langer made a mistake by being too optimistic about the outlook. What’s far less clear now is whether his plan of boosting online sales, focusing on a slimmed-down portfolio of brands and embracing faster fashion is enough to weather the shocks on the horizon on top of the enduring shift toward casual office attire.Hugo Boss gets just 2-3% of its sales from Hong Kong, compared with about 6-7% in China, so it should have been more cushioned. But it struggled to offset a 50% plunge in third-quarter sales in Hong Kong, which remains a popular shopping destination for mainland Chinese. By contrast, LVMH said its Hong Kong sales fell 40% in August and September, but much of that was recouped elsewhere.Workwear, unlike handbags, isn’t the sort of thing you naturally buy on your holidays, so lost sales of suits, say because stores are closed, are less likely to be transferred to another shopping location.That highlights one of Boss’s two big weaknesses: It generates 90% of its sales from clothing. These are proving more vulnerable than leather goods, which remain highly desirable, particularly for middle class and younger Chinese consumers.The other is that Boss also operates in the upper premium segment of the market, rather than super-luxury part.  The very wealthy tend to be more resilient spenders than the merely comfortably off who have greater cause to fear political and economic uncertainty. Hugo Boss’s professional customers are more likely to fret about instability, which seems to be popping up everywhere, as well as the possibility of a U.S downturn next year.Boss blamed its last downgrade to forecasts, in early August, on problems in the U.S. It generates about 15% of its sales in that market, where it has been hurt by heavy discounting by rivals and fewer tourists, given the strength of the dollar. With U.S. consumer confidence posting the biggest drop since the start of the year in September, that doesn’t bode well for a quick recovery in this crucial market.All this raises serious questions about the ambitious targets that Langer set less than a year ago. Expanding sales growth from 4% in 2018 to 5-7% by 2022 always looked ambitious. Now the trajectory looks even more challenging, given that the company’s new forecast is for sales growth in the low single digits in 2019. Lifting the margin to 15% of earnings before interest and tax looks equally unrealistic. Analysts at RBC estimate the EBIT margin at 11.7% in 2019.The shares have fallen 37% over the past year, and trade on a forward price-earnings ratio of just 10 times, about half the other clothing-focused luxury groups, indicating that investors have little faith in the group meeting its medium-term goals.Langer’s strategy of moving to just two brands – Boss, catering to core customers, and Hugo for the younger crowd – looks sensible. Bolstering online sales, getting the latest looks into stores more quickly and increasing personalization are logical moves, too. But all of this is increasingly being undermined by weak markets and consumers continuing to turn off clothing.Like an ill-fitting suit, Langer’s aspirations need some careful alterations.To contact the author of this story: Andrea Felsted at afelsted@bloomberg.netTo contact the editor responsible for this story: Melissa Pozsgay at mpozsgay@bloomberg.netThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Andrea Felsted is a Bloomberg Opinion columnist covering the consumer and retail industries. She previously worked at the Financial Times.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.

  • Hedge Funds Are Selling Royal Bank of Canada (RY)
    Insider Monkey

    Hedge Funds Are Selling Royal Bank of Canada (RY)

    Most investors tend to think that hedge funds and other asset managers are worthless, as they cannot beat even simple index fund portfolios. In fact, most people expect hedge funds to compete with and outperform the bull market that we have witnessed in recent years. However, hedge funds are generally partially hedged and aim at […]

  • CNW Group

    RBC and Riipen launch national experiential learning partnership for Canadian youth

    TORONTO , Oct. 9, 2019 /CNW/ - To help young Canadians prepare for the future of work, RBC Future Launch and Riipen have partnered to provide students with the opportunity to develop the skills and gain the work experience they need for the jobs of tomorrow. The Riipen platform will be made available through the support of the RBC Foundation to students at thirteen post-secondary institutions from across Canada .

  • Restricted stock units can be a building block for retirement savings
    MarketWatch

    Restricted stock units can be a building block for retirement savings

    In a bygone era, employees followed a fairly standard path to retirement using a combination of Social Security benefits and company pension plans. Today, a type of equity compensation called restricted stock units (RSUs) offers a new building block toward retirement, while also opening doors for investments, experiences and major purchases throughout the course of your life. In addition to possibly providing valuable assets for a retirement portfolio, RSUs can also play a role in how you manage your cash flow and credit liabilities, and even help in hitting financial milestones that you might have thought would be out of reach until much later.

  • Our Take On Royal Bank of Canada's (TSE:RY) CEO Salary
    Simply Wall St.

    Our Take On Royal Bank of Canada's (TSE:RY) CEO Salary

    In 2014 Dave McKay was appointed CEO of Royal Bank of Canada (TSE:RY). First, this article will compare CEO...

  • RBC Direct Investing Opens the Market
    CNW Group

    RBC Direct Investing Opens the Market

    RBC Direct Investing Opens the Market

  • CNW Group

    RBC Global Asset Management Inc. announces September sales results for RBC Funds, PH&N Funds and BlueBay Funds

    RBC Global Asset Management Inc. announces September sales results for RBC Funds, PH&N Funds and BlueBay Funds

  • U.S. Tech Giants Turn to India for New Apps Before World Release
    Bloomberg

    U.S. Tech Giants Turn to India for New Apps Before World Release

    (Bloomberg) -- India is emerging as the testing and acquisition playground for global consumer technology companies, especially the so-called FAANGs, according to a veteran internet analyst.RBC Capital Markets’ Mark Mahaney, who calls himself Wall Street’s “oldest internet analyst” after covering the sector for more than two decades, said India is now more popular than markets like China because it has the same growth dynamics but with fewer regulations.As one of the largest economies and most populous countries in the world, India has turned into a testing ground for companies such as Facebook Inc., which has used it to beta-test a payments feature for WhatsApp. Netflix Inc. rolled out a mobile plan in India at 199 rupees ($2.80), much cheaper than what it charges for a basic plan elsewhere, and has created original content to capture more market share.“India does have regulations but it doesn’t seem to be as protectionist as China,” said the 53-year-old analyst. India has been considering a new law that would require personal data to be stored locally, which could impair the operations of the Internet giants but Mahaney remains confident they can still penetrate the market.Besides organic growth, acquisitions are another strategy for these companies in India, especially since they are facing more scrutiny back home and in western Europe. “There’s an opportunity to build growth” in Asia, particularly in India, Mahaney said.Amazon.com Inc. has already tried its hand at deals in the South Asian nation by attempting to acquire Indian e-commerce pioneer Flipkart Online Services Pvt., before it was snapped up by Walmart Inc. last year.Facebook, Netflix, Amazon and Alphabet Inc. can all win big in India, said Mahaney, who has a buy rating on the stocks. “India is less than 5% of the Amazon’s total revenues but it has the potential” to get to that level within five years, Mahaney said.To contact the reporters on this story: Ishika Mookerjee in Singapore at imookerjee@bloomberg.net;Abhishek Vishnoi in Singapore at avishnoi4@bloomberg.netTo contact the editors responsible for this story: Lianting Tu at ltu4@bloomberg.net, Teo Chian Wei, Naoto HosodaFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.

  • Here is Hedge Funds’ 21st Highest Ranked Stock Idea
    Insider Monkey

    Here is Hedge Funds’ 21st Highest Ranked Stock Idea

    Does salesforce.com, inc. (NYSE:CRM) represent a good buying opportunity at the moment? Let’s quickly check the hedge fund interest towards the company. Hedge fund firms constantly search out bright intellectuals and highly-experienced employees and throw away millions of dollars on satellite photos and other research activities, so it is no wonder why they tend to […]

  • Etsy Decision to Go Free on Shipping Delivers the Bulls
    Bloomberg

    Etsy Decision to Go Free on Shipping Delivers the Bulls

    (Bloomberg) -- Free shipping has delivered a lot of bulls to Etsy Inc.Wall Street has warmed up to the e-commerce company of late as the online marketplace’s offer of free shipping on orders of more than $35 and other initiatives are perceived as growth catalysts.In the latest positive call, KeyBanc Capital wrote that the change should be an important long-term driver of gross merchandise sales as “baskets close to the $35 free shipping threshold tend to see incremental purchases in an effort to hit the hurdle.”Analyst Edward Yruma affirmed his overweight rating and $90 price target on the stock in a note dated Oct. 2, saying he’s “increasingly confident” about the company’s long-term growth opportunity following a meeting with Etsy CEO Josh Silverman.Etsy rose 2.6% on Thursday.KeyBanc’s comments were echoed by Canaccord Genuity, which earlier this week wrote that the company’s initiatives were driving “robust growth and improving profitability.” Analyst Maria Ripps called free shipping “an important step in bringing Etsy’s platform closer to par” with other e-commerce leaders like Amazon.comNot only will free shipping improve “consumer perception around the platform,” but she estimated that it could add upside of 3%-5% upside to 2020 estimates for both revenue and adjusted Ebitda. The company’s Etsy Ads initiative, she added, “should ultimately attract high affinity customers with strong repeat purchase behavior.”According to data compiled by Bloomberg, consensus estimates for Etsy’s 2020 revenue have risen by about 2.5% over the past three months; the free shipping initiative was announced July 9.Free shipping and Etsy Ads have also prompted at least two analyst upgrades over the past month, with both RBC Capital Markets and Wedbush specifically citing the initiates as their lifted their ratings to the equivalent of a buy.Currently, 13 firms recommend buying Etsy, compared with the two analysts who have a hold-equivalent rating on the stock. None of the firms tracked by Bloomberg recommend selling the shares, while the average price target of $77 implies upside of nearly 40% from current levels.Shares of Etsy are up more than 16% this year, though the stock is down more than 20% from a record close that was hit in early March.The next trading catalyst for the stock could come in early November, when the company is expected to report third-quarter results. Wall Street anticipates revenue growth of nearly 30%, according to data compiled by Bloomberg. Gross merchandise sales are seen coming in at $1.13 billion, which represents year-over-year growth of about 22%, according to a Bloomberg MODL estimate.\--With assistance from Crystal Kim.To contact the reporter on this story: Ryan Vlastelica in New York at rvlastelica1@bloomberg.netTo contact the editors responsible for this story: Catherine Larkin at clarkin4@bloomberg.net, Will DaleyFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.

  • Reuters

    U.S. regulator fines RBC Capital Markets $5 million for unlawful trades

    RBC Capital Markets has been fined $5 million (C$6.7 million) by the U.S. Commodities and Futures Trading Commission for failures that resulted in unlawful trades and other violations between at least late 2011 and May 2017. Between December 2011 and October 2015, RBC Capital Markets (RBCCM), a unit of Canada's biggest lender, Royal Bank of Canada , engaged in at least 385 non-competitive, fictitious or unlawful trades, the CFTC said in a statement on its website https://www.cftc.gov/PressRoom/PressReleases/8034-19 on Tuesday. The CFTC said 217 of the trades took place after the entry of a consent order in December 2014 of a CFTC enforcement action against RBC for fictitious transactions.

  • Reuters

    U.S. regulator fines RBC Capital Markets $5 mln for unlawful trades

    RBC Capital Markets has been fined $5 million (C$6.7 million) by the U.S. Commodities and Futures Trading Commission for failures that resulted in unlawful trades and other violations between at least late 2011 and May 2017. Between December 2011 and October 2015, RBC Capital Markets (RBCCM), a unit of Canada's biggest lender, Royal Bank of Canada , engaged in at least 385 non-competitive, fictitious or unlawful trades, the CFTC said in a statement on its website https://www.cftc.gov/PressRoom/PressReleases/8034-19 on Tuesday. The CFTC said 217 of the trades took place after the entry of a consent order in December 2014 of a CFTC enforcement action against RBC for fictitious transactions.

  • Tesla Sets Deliveries Record While Falling Short of Elon Musk’s Mark
    Bloomberg

    Tesla Sets Deliveries Record While Falling Short of Elon Musk’s Mark

    (Bloomberg) -- The good and the bad Elon Musk were on full display Wednesday, when Tesla Inc. released its much-awaited third-quarter delivery figures.The good: Musk’s relentless drive to ramp up output helped push deliveries to a record 97,000 units. The bad: Because he had recently hyped the idea -- in typical Musk-ian fashion -- of reaching 100,000, investors came away disappointed with the final number. Tesla shares sank rather than rallying immediately after the release.“When Elon Musk says they are aiming for 100,000 deliveries, you are hoping for 102,000. Not 97,000,” Gene Munster, a managing partner at venture capital firm Loup Ventures, said by phone. “This is a credibility hit. This is a textbook example of Elon not being disciplined and having difficulty managing expectations.”Tesla shares fell as much as 7.1% to $225.93 as of 9:53 a.m. in New York. The stock has fallen 32% this year.Tesla delivered 79,600 Model 3 sedans, plus 17,400 Model S cars and Model X crossovers in the quarter. Analysts were warning ahead of the report that because the company has relied on its much cheaper sedan to grow, total average selling prices probably declined and may have dragged revenue down from a year ago. The carmaker, which last reported a drop in 2012, will release earnings in the coming weeks.“If you look at the mix of S and X deliveries to Model 3s, profitability is likely to be a challenge,” Dan Ives, an analyst at Wedbush who rates Tesla the equivalent of a hold, said by phone.Going into the quarter, Tesla said its order backlog was expanding. It announced in July it would no longer disclose the number of vehicles in transit to customers every three months.The company did, however, report for the first time in its quarterly deliveries statement the portion of vehicles that were subject to lease accounting, a level of disclosure it usually holds off on until earnings.Tesla said 15% of Model S and X and 8 percent of Model 3 deliveries were leases. That’s up from about 10% and 5.6% in the previous quarter, which is likely to hurt revenue, according to Joe Spak, an analyst at RBC Capital Markets. He expects automotive revenue to drop both from a year ago and the second quarter.What Bloomberg Intelligence Says:“Tesla’s missed 3Q delivery target and 2% sequential volume gain may be a sign that pushing into untapped markets isn’t the demand bonanza the company expected. China will be key to boosting deliveries by the 8% needed in 4Q -- to a record 105,000 -- to reach the bottom of Tesla’s guidance.”\-- Kevin Tynan, senior autos analystClick here to read the researchTesla didn’t say in its statement Wednesday whether it’s still expecting to deliver 360,000 to 400,000 vehicles this year. The company will have to hand over roughly 105,000 cars in the last three months of the year to hit the low end of that forecast.“Just as they tend to move their sales to the end of each quarter, they also tend to go out in the fourth quarter with a bit of a bang, so I think they’ll get there,” Alan Baum, an independent auto analyst in West Bloomfield, Michigan, said in a Bloomberg Television interview.Tesla doesn’t disclose deliveries by region, but the U.S., China, Norway and the Netherlands were its biggest sources of revenue in the second quarter.That pecking order may have changed in the latest three-month period. Tesla topped the Dutch sales charts last month, boosted by tax incentives that can save drivers several hundreds of euros a month on vehicle leases. The government plans to dial back some of those subsidies next year.(Updates with Thursday opening share price in fourth paragraph.)\--With assistance from Chester Dawson, Romaine Bostick and Joe Weisenthal.To contact the reporter on this story: Dana Hull in San Francisco at dhull12@bloomberg.netTo contact the editors responsible for this story: Craig Trudell at ctrudell1@bloomberg.net, Chester Dawson, Kara WetzelFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.