Live Oak Bancshares, Inc. (LOB)vsRoyal Bank of Canada (RY)
LOB
Live Oak Bancshares, Inc.
$37.07
-1.41%
FINANCIAL SERVICES · Cap: $1.75B
RY
Royal Bank of Canada
$179.97
+2.71%
FINANCIAL SERVICES · Cap: $250.25B
Smart Verdict
WallStSmart Research — data-driven comparison
Royal Bank of Canada generates 12282% more annual revenue ($63.42B vs $512.21M). RY leads profitability with a 33.1% profit margin vs 24.6%. LOB trades at a lower P/E of 14.4x. LOB earns a higher WallStSmart Score of 72/100 (B).
LOB
Strong Buy72
out of 100
Grade: B
RY
Strong Buy68
out of 100
Grade: B-
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Strong operational efficiency at 35.5%
Earnings expanding 185.7% YoY
Conservative balance sheet, low leverage
Keeps 25 of every $100 in revenue as profit
Attractively priced relative to earnings
Mega-cap, among the largest globally
Keeps 33 of every $100 in revenue as profit
Strong operational efficiency at 46.2%
Generating 37.3B in free cash flow
Attractively priced relative to earnings
Reasonable price relative to book value
Areas to Watch
Smaller company, higher risk/reward
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : LOB
The strongest argument for LOB centers on Price/Book, Operating Margin, EPS Growth. Profitability is solid with margins at 24.6% and operating margin at 35.5%. Revenue growth of 29.1% 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 33.1% and operating margin at 46.2%.
Bear Case : LOB
The primary concerns for LOB are Market Cap.
Bear Case : RY
The primary concerns for RY are PEG Ratio.
Key Dynamics to Monitor
LOB profiles as a growth stock while RY is a mature play — different risk/reward profiles.
LOB carries more volatility with a beta of 1.90 — expect wider price swings.
LOB is growing revenue faster at 29.1% — sustainability is the question.
RY generates stronger free cash flow (37.3B), providing more financial flexibility.
Bottom Line
LOB scores higher overall (72/100 vs 68/100), backed by strong 24.6% margins and 29.1% 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.
Live Oak Bancshares, Inc.
FINANCIAL SERVICES · BANKS - REGIONAL · USA
Live Oak Bancshares, Inc. is the banking holding company for Live Oak Banking Company offering a variety of commercial banking products and services to individuals, small businesses and professionals in North Carolina, United States. The company is headquartered in Wilmington, North Carolina.
Visit Website →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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