WallStSmart

MSC Income Fund, Inc. (MSIF)vsRoyal Bank of Canada (RY)

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Smart Verdict

WallStSmart Research — data-driven comparison

Royal Bank of Canada generates 47841% more annual revenue ($67.15B vs $140.07M). MSIF leads profitability with a 70.7% profit margin vs 33.9%. MSIF trades at a lower P/E of 5.6x. RY earns a higher WallStSmart Score of 66/100 (B-).

MSIF

Strong Buy

65

out of 100

Grade: B-

Growth: 8.0Profit: 8.0Value: 6.7Quality: 6.3
Piotroski: 4/9

RY

Strong Buy

66

out of 100

Grade: B-

Growth: 7.3Profit: 8.0Value: 5.7Quality: 5.0
Piotroski: 4/9Altman Z: -0.50

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MSIF5 strengths · Avg: 10.0/10
P/E RatioValuation
5.6x10/10

Attractively priced relative to earnings

Price/BookValuation
0.7x10/10

Reasonable price relative to book value

Profit MarginProfitability
70.7%10/10

Keeps 71 of every $100 in revenue as profit

Operating MarginProfitability
65.1%10/10

Strong operational efficiency at 65.1%

EPS GrowthGrowth
86.5%10/10

Earnings expanding 86.5% YoY

RY5 strengths · Avg: 9.2/10
Market CapQuality
$281.45B10/10

Mega-cap, among the largest globally

Profit MarginProfitability
33.9%10/10

Keeps 34 of every $100 in revenue as profit

Operating MarginProfitability
46.4%10/10

Strong operational efficiency at 46.4%

P/E RatioValuation
17.9x8/10

Attractively priced relative to earnings

Price/BookValuation
2.8x8/10

Reasonable price relative to book value

Areas to Watch

MSIF2 concerns · Avg: 3.5/10
Revenue GrowthGrowth
0.2%4/10

0.2% revenue growth

Market CapQuality
$546.86M3/10

Smaller company, higher risk/reward

RY4 concerns · Avg: 2.3/10
PEG RatioValuation
2.264/10

Expensive relative to growth rate

Free Cash FlowQuality
$-28.67B2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
-0.502/10

Distress zone — elevated risk

Debt/EquityHealth
2.881/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : MSIF

The strongest argument for MSIF centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 70.7% and operating margin at 65.1%.

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 : MSIF

The primary concerns for MSIF are Revenue Growth, Market Cap.

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

MSIF profiles as a value stock while RY is a mature play — different risk/reward profiles.

RY carries more volatility with a beta of 0.92 — expect wider price swings.

RY is growing revenue faster at 8.9% — sustainability is the question.

MSIF generates stronger free cash flow (17M), providing more financial flexibility.

Bottom Line

RY scores higher overall (66/100 vs 65/100), backed by strong 33.9% margins. 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.

MSC Income Fund, Inc.

FINANCIAL SERVICES · ASSET MANAGEMENT · USA

MSC Income Fund, Inc. (MSIF) is a closed-end management investment company focused on delivering consistent income through a diversified portfolio of income-generating securities, primarily in fixed-income markets. The fund strategically invests in corporate bonds and mortgage-backed securities while emphasizing capital preservation and thorough credit analysis to optimize risk-adjusted returns. Backed by a seasoned management team, MSIF serves as a reliable vehicle for institutional investors seeking stability and income, even amidst market volatility.

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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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