OneMain Holdings Inc (OMF)vsRoyal Bank of Canada (RY)
OMF
OneMain Holdings Inc
$62.75
+1.11%
FINANCIAL SERVICES · Cap: $7.28B
RY
Royal Bank of Canada
$205.90
-0.04%
FINANCIAL SERVICES · Cap: $291.55B
Smart Verdict
WallStSmart Research — data-driven comparison
Royal Bank of Canada generates 2124% more annual revenue ($67.15B vs $3.02B). RY leads profitability with a 33.9% profit margin vs 25.9%. OMF appears more attractively valued with a PEG of 0.75. OMF earns a higher WallStSmart Score of 65/100 (C+).
OMF
Buy65
out of 100
Grade: C+
RY
Buy63
out of 100
Grade: C+
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Every $100 of equity generates 24 in profit
Keeps 26 of every $100 in revenue as profit
Growing faster than its price suggests
Reasonable price relative to book value
Strong operational efficiency at 28.6%
Mega-cap, among the largest globally
Keeps 34 of every $100 in revenue as profit
Strong operational efficiency at 46.4%
Reasonable price relative to book value
Areas to Watch
Revenue declined 2.7%
Earnings declined 5.9%
Elevated debt levels
Expensive relative to growth rate
Negative free cash flow — burning cash
Distress zone — elevated risk
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : OMF
The strongest argument for OMF centers on P/E Ratio, Return on Equity, Profit Margin. Profitability is solid with margins at 25.9% and operating margin at 28.6%. PEG of 0.75 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 : OMF
The primary concerns for OMF are Revenue Growth, EPS Growth, Debt/Equity. Debt-to-equity of 6.73 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
OMF profiles as a declining stock while RY is a mature play — different risk/reward profiles.
OMF carries more volatility with a beta of 1.19 — expect wider price swings.
RY is growing revenue faster at 8.9% — sustainability is the question.
OMF generates stronger free cash flow (800M), providing more financial flexibility.
Bottom Line
OMF scores higher overall (65/100 vs 63/100), backed by strong 25.9% margins. 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.
OneMain Holdings Inc
FINANCIAL SERVICES · CREDIT SERVICES · USA
OneMain Holdings, Inc., a financial services holding company, is in the consumer finance and insurance businesses. The company is headquartered in Evansville, Indiana.
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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