WallStSmart

Provident Financial Services Inc (PFS)vsRoyal Bank of Canada (RY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Royal Bank of Canada generates 7058% more annual revenue ($63.42B vs $886.01M). PFS leads profitability with a 34.6% profit margin vs 33.1%. PFS appears more attractively valued with a PEG of 1.61. PFS earns a higher WallStSmart Score of 73/100 (B).

PFS

Strong Buy

73

out of 100

Grade: B

Growth: 8.0Profit: 7.5Value: 6.3Quality: 5.0

RY

Strong Buy

68

out of 100

Grade: B-

Growth: 7.3Profit: 8.0Value: 5.7Quality: 5.0

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PFS5 strengths · Avg: 9.6/10
P/E RatioValuation
9.6x10/10

Attractively priced relative to earnings

Price/BookValuation
1.0x10/10

Reasonable price relative to book value

Profit MarginProfitability
34.6%10/10

Keeps 35 of every $100 in revenue as profit

Operating MarginProfitability
53.5%10/10

Strong operational efficiency at 53.5%

EPS GrowthGrowth
24.2%8/10

Earnings expanding 24.2% YoY

RY6 strengths · Avg: 9.3/10
Market CapQuality
$252.56B10/10

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
17.0x8/10

Attractively priced relative to earnings

Price/BookValuation
2.7x8/10

Reasonable price relative to book value

Areas to Watch

PFS1 concerns · Avg: 4.0/10
PEG RatioValuation
1.614/10

Expensive relative to growth rate

RY1 concerns · Avg: 4.0/10
PEG RatioValuation
2.304/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : PFS

The strongest argument for PFS centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 34.6% and operating margin at 53.5%.

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 : PFS

The primary concerns for PFS are PEG Ratio.

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.

PFS is growing revenue faster at 9.2% — sustainability is the question.

RY generates stronger free cash flow (37.3B), providing more financial flexibility.

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

Bottom Line

PFS scores higher overall (73/100 vs 68/100), backed by strong 34.6% 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.

Provident Financial Services Inc

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Provident Financial Services, Inc. is the banking holding company for Provident Bank offering various banking products and services to individuals, families and businesses in the United States. The company is headquartered in Jersey City, New Jersey.

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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