It depends when one of the banks decides to up the dividend. That should jump-start the Canadian bank stocks 5-10% easy and get them into a range where a split might be considered. RY has a sickening capital ratio of 12.9% as of last quarter end and is going to be adding a billion+ of profit in the most recent quarter. How many billions of dollars of excess capital can they really build up before returning some money to shareholders? Even with expected strong loan growth, the capital ratio will be 13%+!

If they don't announce a dividend increase later this month, I'd expect the DRIP discount to be discontinued or reduced, unless they are working on an acquisition. Whether the DRIP going by the wayside would help or hurt the stock is anyone's guess. RY's stock has showed a lot of relative weakness the last few weeks but earnings should be solid and might give it another +$5 jolt, like last earnings release. CSB's are still at 0.4%, rates are going nowhere in the foreseeable future, and how can anyone question RY's earnings power given its strong performance through the recession?

Even if the economy stays in permanent near recession, RY is still going to chalk up its billion+ quarterly profits and give shareholders a yield 3%+ over a guaranteed investment. And it's tough to believe the dividend won't be raised before the end of 2010, no matter what the economy is like.