RBC Lowers Price Targets on Five Canadian Banks, Resets Return Expectations

RBC Capital Markets lowered its price target on five Canadian banks, citing a reset of return on equity (ROE) estimates. The analyst firm expects ROE to decline due to the challenging interest rate environment and lower loan growth. The price targets were reduced for Royal Bank of Canada, Toronto-Dominion Bank, Canadian Imperial Bank of Commerce, Bank of Nova Scotia, and National Bank of Canada.