Keefe Bruyette analyst Mike Rizvanovic downgraded Royal Bank of Canada (RY) to Underperform from Market Perform with a price target of C$118, down from C$132. The analyst believes the “flight to quality” dynamic in owning Royal Bank shares is overdone. He sees “much more value” in names such as Bank of Montreal (BMO) and Bank of Nova Scotia. Royal Bank’s “excessive valuation premium sets up for underperformance,” Rizvanovic tells investors in a research note.
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