Itau Unibanco Banco Holding SA (ITUB)vsRoyal Bank of Canada (RY)
ITUB
Itau Unibanco Banco Holding SA
$7.37
+1.37%
FINANCIAL SERVICES · Cap: $78.59B
RY
Royal Bank of Canada
$203.76
-2.87%
FINANCIAL SERVICES · Cap: $281.07B
Smart Verdict
WallStSmart Research — data-driven comparison
Itau Unibanco Banco Holding SA generates 114% more annual revenue ($143.71B vs $67.15B). RY leads profitability with a 33.9% profit margin vs 32.6%. ITUB appears more attractively valued with a PEG of 1.17. ITUB earns a higher WallStSmart Score of 79/100 (B+).
ITUB
Strong Buy79
out of 100
Grade: B+
RY
Strong Buy68
out of 100
Grade: B-
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Keeps 33 of every $100 in revenue as profit
Strong operational efficiency at 39.1%
Large-cap with strong market position
Every $100 of equity generates 21 in profit
Reasonable price relative to book value
Mega-cap, among the largest globally
Keeps 34 of every $100 in revenue as profit
Strong operational efficiency at 46.4%
Attractively priced relative to earnings
Reasonable price relative to book value
Areas to Watch
Weak financial health signals
Negative free cash flow — burning cash
Expensive relative to growth rate
Negative free cash flow — burning cash
Distress zone — elevated risk
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : ITUB
The strongest argument for ITUB centers on P/E Ratio, Profit Margin, Operating Margin. Profitability is solid with margins at 32.6% and operating margin at 39.1%. Revenue growth of 17.5% demonstrates continued momentum.
Bull Case : RY
The strongest argument for RY centers on Market Cap, Profit Margin, Operating Margin. Profitability is solid with margins at 33.9% and operating margin at 46.4%.
Bear Case : ITUB
The primary concerns for ITUB are Piotroski F-Score, Free Cash Flow.
Bear Case : RY
The primary concerns for RY are PEG Ratio, Free Cash Flow, Altman Z-Score. Debt-to-equity of 2.88 is elevated, increasing financial risk.
Key Dynamics to Monitor
ITUB profiles as a growth stock while RY is a mature play — different risk/reward profiles.
RY carries more volatility with a beta of 0.91 — expect wider price swings.
ITUB is growing revenue faster at 17.5% — sustainability is the question.
ITUB generates stronger free cash flow (-10.6B), providing more financial flexibility.
Bottom Line
ITUB scores higher overall (79/100 vs 68/100), backed by strong 32.6% margins and 17.5% revenue growth. Both earn "Strong Buy" and "Strong 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.
Itau Unibanco Banco Holding SA
FINANCIAL SERVICES · BANKS - REGIONAL · USA
Ita Unibanco Holding SA offers a range of financial products and services in Brazil and internationally. The company is headquartered in So Paulo, Brazil.
Royal Bank of Canada
FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA
Royal Bank of Canada is a globally diversified financial services company. The company is headquartered in Toronto, Canada.
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