WallStSmart

Mitsubishi UFJ Financial Group Inc ADR (MUFG)vsRoyal Bank of Canada (RY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Mitsubishi UFJ Financial Group Inc ADR generates 9121% more annual revenue ($5.85T vs $63.42B). RY leads profitability with a 33.1% profit margin vs 22.8%. MUFG appears more attractively valued with a PEG of 1.23. MUFG earns a higher WallStSmart Score of 72/100 (B).

MUFG

Strong Buy

72

out of 100

Grade: B

Growth: 7.3Profit: 8.0Value: 8.7Quality: 4.3
Piotroski: 7/9Altman Z: -0.34

RY

Strong Buy

68

out of 100

Grade: B-

Growth: 7.3Profit: 9.5Value: 10.0Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MUFGUndervalued (+14.8%)

Margin of Safety

+14.8%

Fair Value

$21.96

Current Price

$16.90

$5.06 discount

UndervaluedFair: $21.96Overvalued
RYUndervalued (+43.9%)

Margin of Safety

+43.9%

Fair Value

$304.40

Current Price

$162.35

$142.05 discount

UndervaluedFair: $304.40Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MUFG5 strengths · Avg: 9.2/10
Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Operating MarginProfitability
34.8%10/10

Strong operational efficiency at 34.8%

Market CapQuality
$185.46B9/10

Large-cap with strong market position

Profit MarginProfitability
22.8%9/10

Keeps 23 of every $100 in revenue as profit

P/E RatioValuation
15.5x8/10

Attractively priced relative to earnings

RY6 strengths · Avg: 9.3/10
Market CapQuality
$229.39B10/10

Mega-cap, among the largest globally

Profit MarginProfitability
33.1%10/10

Keeps 33 of every $100 in revenue as profit

Operating MarginProfitability
46.2%10/10

Strong operational efficiency at 46.2%

Free Cash FlowQuality
$37.30B10/10

Generating 37.3B in free cash flow

P/E RatioValuation
15.6x8/10

Attractively priced relative to earnings

Price/BookValuation
2.4x8/10

Reasonable price relative to book value

Areas to Watch

MUFG3 concerns · Avg: 2.0/10
Return on EquityProfitability
6.1%3/10

ROE of 6.1% — below average capital efficiency

Altman Z-ScoreHealth
-0.342/10

Distress zone — elevated risk

Debt/EquityHealth
3.771/10

Elevated debt levels

RY1 concerns · Avg: 4.0/10
PEG RatioValuation
2.414/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : MUFG

The strongest argument for MUFG centers on Price/Book, Operating Margin, Market Cap. Profitability is solid with margins at 22.8% and operating margin at 34.8%. Revenue growth of 11.7% 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 : MUFG

The primary concerns for MUFG are Return on Equity, Altman Z-Score, Debt/Equity. Debt-to-equity of 3.77 is elevated, increasing financial risk.

Bear Case : RY

The primary concerns for RY are PEG Ratio.

Key Dynamics to Monitor

RY carries more volatility with a beta of 0.94 — expect wider price swings.

MUFG is growing revenue faster at 11.7% — sustainability is the question.

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

Bottom Line

MUFG scores higher overall (72/100 vs 68/100), backed by strong 22.8% margins and 11.7% revenue growth. RY offers better value entry with a 43.9% margin of safety. 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.

Mitsubishi UFJ Financial Group Inc ADR

FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA

Mitsubishi UFJ Financial Group, Inc., a banking holding company, offers financial services in Japan, the United States, and Asia / Oceania. The company is headquartered in Tokyo, Japan.

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.

Want to dig deeper into these stocks?