WallStSmart

HSBC Holdings PLC ADR (HSBC)vsRLI Corp (RLI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

HSBC Holdings PLC ADR generates 3130% more annual revenue ($63.77B vs $1.97B). HSBC leads profitability with a 35.0% profit margin vs 22.2%. HSBC appears more attractively valued with a PEG of 1.07. RLI earns a higher WallStSmart Score of 77/100 (B+).

HSBC

Buy

61

out of 100

Grade: C+

Growth: 6.0Profit: 7.5Value: 6.3Quality: 4.0
Piotroski: 4/9Altman Z: -0.31

RLI

Strong Buy

77

out of 100

Grade: B+

Growth: 7.3Profit: 8.0Value: 5.7Quality: 5.0
Piotroski: 4/9Altman Z: 0.99

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HSBC4 strengths · Avg: 9.5/10
Market CapQuality
$364.98B10/10

Mega-cap, among the largest globally

Profit MarginProfitability
35.0%10/10

Keeps 35 of every $100 in revenue as profit

Operating MarginProfitability
50.7%10/10

Strong operational efficiency at 50.7%

P/E RatioValuation
17.7x8/10

Attractively priced relative to earnings

RLI6 strengths · Avg: 8.8/10
Operating MarginProfitability
36.9%10/10

Strong operational efficiency at 36.9%

Return on EquityProfitability
22.0%9/10

Every $100 of equity generates 22 in profit

Profit MarginProfitability
22.2%9/10

Keeps 22 of every $100 in revenue as profit

Debt/EquityHealth
0.179/10

Conservative balance sheet, low leverage

P/E RatioValuation
12.9x8/10

Attractively priced relative to earnings

Revenue GrowthGrowth
15.2%8/10

15.2% revenue growth

Areas to Watch

HSBC4 concerns · Avg: 3.5/10
Price/BookValuation
8.2x4/10

Trading at 8.2x book value

Revenue GrowthGrowth
3.3%4/10

3.3% revenue growth

EPS GrowthGrowth
2.6%4/10

2.6% earnings growth

Altman Z-ScoreHealth
-0.312/10

Distress zone — elevated risk

RLI2 concerns · Avg: 3.0/10
PEG RatioValuation
1.734/10

Expensive relative to growth rate

Altman Z-ScoreHealth
0.992/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : HSBC

The strongest argument for HSBC centers on Market Cap, Profit Margin, Operating Margin. Profitability is solid with margins at 35.0% and operating margin at 50.7%. PEG of 1.07 suggests the stock is reasonably priced for its growth.

Bull Case : RLI

The strongest argument for RLI centers on Operating Margin, Return on Equity, Profit Margin. Profitability is solid with margins at 22.2% and operating margin at 36.9%. Revenue growth of 15.2% demonstrates continued momentum.

Bear Case : HSBC

The primary concerns for HSBC are Price/Book, Revenue Growth, EPS Growth.

Bear Case : RLI

The primary concerns for RLI are PEG Ratio, Altman Z-Score.

Key Dynamics to Monitor

HSBC profiles as a value stock while RLI is a growth play — different risk/reward profiles.

HSBC carries more volatility with a beta of 0.56 — expect wider price swings.

RLI is growing revenue faster at 15.2% — sustainability is the question.

Monitor BANKS - DIVERSIFIED industry trends, competitive dynamics, and regulatory changes.

Bottom Line

RLI scores higher overall (77/100 vs 61/100), backed by strong 22.2% margins and 15.2% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

HSBC Holdings PLC ADR

FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA

HSBC Holdings plc offers banking and financial products and services globally. The company is headquartered in London, the United Kingdom.

RLI Corp

FINANCIAL SERVICES · INSURANCE - PROPERTY & CASUALTY · USA

RLI Corp. The company is headquartered in Peoria, Illinois.

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