Mercury General Corporation (MCY)vsRoyal Bank of Canada (RY)
MCY
Mercury General Corporation
$96.36
-0.98%
FINANCIAL SERVICES · Cap: $5.30B
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 959% more annual revenue ($63.42B vs $5.99B). RY leads profitability with a 33.1% profit margin vs 9.0%. MCY appears more attractively valued with a PEG of 1.12. MCY earns a higher WallStSmart Score of 73/100 (B).
MCY
Strong Buy73
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
Earnings expanding 100.9% YoY
Every $100 of equity generates 25 in profit
Reasonable price relative to book value
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
Distress zone — elevated risk
Weak financial health signals
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : MCY
The strongest argument for MCY centers on P/E Ratio, EPS Growth, Return on Equity. Revenue growth of 14.1% demonstrates continued momentum. PEG of 1.12 suggests the stock is reasonably priced for its growth.
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 : MCY
The primary concerns for MCY are Altman Z-Score, Piotroski F-Score.
Bear Case : RY
The primary concerns for RY are PEG Ratio.
Key Dynamics to Monitor
MCY profiles as a value stock while RY is a mature play — different risk/reward profiles.
MCY carries more volatility with a beta of 0.93 — expect wider price swings.
MCY is growing revenue faster at 14.1% — sustainability is the question.
RY generates stronger free cash flow (37.3B), providing more financial flexibility.
Bottom Line
MCY scores higher overall (73/100 vs 68/100) and 14.1% 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.
Mercury General Corporation
FINANCIAL SERVICES · INSURANCE - PROPERTY & CASUALTY · USA
Mercury General Corporation engages in underwriting personal auto insurance in the United States. The company is headquartered in Los Angeles, California.
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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