RLI Corp (RLI)vsRoyal Bank of Canada (RY)
RLI
RLI Corp
$51.15
-1.90%
FINANCIAL SERVICES · Cap: $4.86B
RY
Royal Bank of Canada
$179.97
+2.71%
FINANCIAL SERVICES · Cap: $250.25B
Smart Verdict
WallStSmart Research — data-driven comparison
Royal Bank of Canada generates 3240% more annual revenue ($63.42B vs $1.90B). RY leads profitability with a 33.1% profit margin vs 20.8%. RLI appears more attractively valued with a PEG of 1.73. RY earns a higher WallStSmart Score of 68/100 (B-).
RLI
Buy61
out of 100
Grade: C+
RY
Strong Buy68
out of 100
Grade: B-
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Conservative balance sheet, low leverage
Every $100 of equity generates 23 in profit
Keeps 21 of every $100 in revenue as profit
Attractively priced relative to earnings
Reasonable price relative to book value
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
Expensive relative to growth rate
4.0% revenue growth
Earnings declined 12.4%
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : RLI
The strongest argument for RLI centers on Debt/Equity, Return on Equity, Profit Margin. Profitability is solid with margins at 20.8% and operating margin at 15.9%.
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 : RLI
The primary concerns for RLI are PEG Ratio, Revenue Growth, EPS Growth.
Bear Case : RY
The primary concerns for RY are PEG Ratio.
Key Dynamics to Monitor
RLI profiles as a value stock while RY is a mature play — different risk/reward profiles.
RY carries more volatility with a beta of 0.92 — 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 61/100), 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.
RLI Corp
FINANCIAL SERVICES · INSURANCE - PROPERTY & CASUALTY · USA
RLI Corp. The company is headquartered in Peoria, Illinois.
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.
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