Restaurant Brands International Inc (QSR)vsRoyal Bank of Canada (RY)
QSR
Restaurant Brands International Inc
$72.92
-1.26%
CONSUMER CYCLICAL · Cap: $33.67B
RY
Royal Bank of Canada
$162.50
+0.24%
FINANCIAL SERVICES · Cap: $225.89B
Smart Verdict
WallStSmart Research — data-driven comparison
Royal Bank of Canada generates 572% more annual revenue ($63.42B vs $9.43B). RY leads profitability with a 33.1% profit margin vs 8.2%. QSR appears more attractively valued with a PEG of 1.16. RY earns a higher WallStSmart Score of 68/100 (B-).
QSR
Buy57
out of 100
Grade: C
RY
Strong Buy68
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-295.4%
Fair Value
$17.88
Current Price
$72.92
$55.04 premium
Margin of Safety
+44.3%
Fair Value
$306.13
Current Price
$162.50
$143.63 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 24 in profit
Strong operational efficiency at 26.4%
Mega-cap, among the largest globally
Keeps 33 of every $100 in revenue as profit
Strong operational efficiency at 46.2%
Generating 37.3B in free cash flow
Attractively priced relative to earnings
Reasonable price relative to book value
Areas to Watch
Moderate valuation
Earnings declined 57.4%
Distress zone — elevated risk
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : QSR
The strongest argument for QSR centers on Return on Equity, Operating Margin. PEG of 1.16 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 33.1% and operating margin at 46.2%.
Bear Case : QSR
The primary concerns for QSR are P/E Ratio, EPS Growth, Altman Z-Score.
Bear Case : RY
The primary concerns for RY are PEG Ratio.
Key Dynamics to Monitor
QSR profiles as a value stock while RY is a mature play — different risk/reward profiles.
RY carries more volatility with a beta of 0.94 — expect wider price swings.
RY is growing revenue faster at 7.5% — sustainability is the question.
RY generates stronger free cash flow (37.3B), providing more financial flexibility.
Bottom Line
RY scores higher overall (68/100 vs 57/100), backed by strong 33.1% margins. Both earn "Strong 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.
Restaurant Brands International Inc
CONSUMER CYCLICAL · RESTAURANTS · USA
Restaurant Brands International Inc. owns, operates and franchises quick-service restaurants under the Tim Hortons (TH), Burger King (BK) and Popeyes (PLK) brands. The company is headquartered in Toronto, Canada.
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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