WallStSmart

Navient Corp (NAVI)vsRoyal Bank of Canada (RY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Royal Bank of Canada generates 20005% more annual revenue ($67.15B vs $334.00M). RY leads profitability with a 33.9% profit margin vs -14.7%. NAVI appears more attractively valued with a PEG of 0.14. RY earns a higher WallStSmart Score of 63/100 (C+).

NAVI

Buy

63

out of 100

Grade: C+

Growth: 8.0Profit: 4.0Value: 6.7Quality: 3.0
Piotroski: 5/9Altman Z: 0.36

RY

Buy

63

out of 100

Grade: C+

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

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NAVI4 strengths · Avg: 10.0/10
PEG RatioValuation
0.1410/10

Growing faster than its price suggests

Price/BookValuation
0.4x10/10

Reasonable price relative to book value

Operating MarginProfitability
33.9%10/10

Strong operational efficiency at 33.9%

EPS GrowthGrowth
100.0%10/10

Earnings expanding 100.0% YoY

RY4 strengths · Avg: 9.5/10
Market CapQuality
$291.55B10/10

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%

Price/BookValuation
2.9x8/10

Reasonable price relative to book value

Areas to Watch

NAVI4 concerns · Avg: 2.8/10
Revenue GrowthGrowth
4.2%4/10

4.2% revenue growth

Market CapQuality
$870.31M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-2.0%2/10

ROE of -2.0% — below average capital efficiency

Altman Z-ScoreHealth
0.362/10

Distress zone — elevated risk

RY4 concerns · Avg: 2.3/10
PEG RatioValuation
2.354/10

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 : NAVI

The strongest argument for NAVI centers on PEG Ratio, Price/Book, Operating Margin. PEG of 0.14 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 33.9% and operating margin at 46.4%.

Bear Case : NAVI

The primary concerns for NAVI are Revenue Growth, Market Cap, Return on Equity. Debt-to-equity of 18.49 is elevated, increasing financial risk.

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

NAVI profiles as a turnaround stock while RY is a mature play — different risk/reward profiles.

NAVI carries more volatility with a beta of 1.20 — expect wider price swings.

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

NAVI generates stronger free cash flow (143M), providing more financial flexibility.

Bottom Line

NAVI scores higher overall (63/100 vs 63/100). Both earn "Buy" and "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.

Navient Corp

FINANCIAL SERVICES · CREDIT SERVICES · USA

Navient Corporation provides education loan management and business processing solutions for federal, state, and local government, education, and healthcare clients in the United States. The company is headquartered in Wilmington, Delaware.

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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