WallStSmart

Royal Bank of Canada (RY)vsSouthside Bancshares, Inc. (SBSI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Royal Bank of Canada generates 27334% more annual revenue ($65.72B vs $239.54M). RY leads profitability with a 33.7% profit margin vs 29.6%. RY appears more attractively valued with a PEG of 2.53. RY earns a higher WallStSmart Score of 70/100 (B-).

RY

Strong Buy

70

out of 100

Grade: B-

Growth: 8.7Profit: 8.0Value: 4.3Quality: 5.0

SBSI

Buy

60

out of 100

Grade: C

Growth: 6.7Profit: 7.5Value: 5.0Quality: 3.5
Piotroski: 5/9Altman Z: -0.58

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

RY6 strengths · Avg: 9.3/10
Market CapQuality
$277.29B10/10

Mega-cap, among the largest globally

Profit MarginProfitability
33.7%10/10

Keeps 34 of every $100 in revenue as profit

Operating MarginProfitability
45.3%10/10

Strong operational efficiency at 45.3%

Free Cash FlowQuality
$37.30B10/10

Generating 37.3B in free cash flow

Price/BookValuation
2.9x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
16.1%8/10

16.1% revenue growth

SBSI4 strengths · Avg: 9.3/10
Price/BookValuation
1.2x10/10

Reasonable price relative to book value

Operating MarginProfitability
42.6%10/10

Strong operational efficiency at 42.6%

Profit MarginProfitability
29.6%9/10

Keeps 30 of every $100 in revenue as profit

P/E RatioValuation
14.3x8/10

Attractively priced relative to earnings

Areas to Watch

RY1 concerns · Avg: 2.0/10
PEG RatioValuation
2.532/10

Expensive relative to growth rate

SBSI4 concerns · Avg: 2.5/10
Market CapQuality
$1.00B3/10

Smaller company, higher risk/reward

Debt/EquityHealth
1.053/10

Elevated debt levels

PEG RatioValuation
5.352/10

Expensive relative to growth rate

Altman Z-ScoreHealth
-0.582/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : RY

The strongest argument for RY centers on Market Cap, Profit Margin, Operating Margin. Profitability is solid with margins at 33.7% and operating margin at 45.3%. Revenue growth of 16.1% demonstrates continued momentum.

Bull Case : SBSI

The strongest argument for SBSI centers on Price/Book, Operating Margin, Profit Margin. Profitability is solid with margins at 29.6% and operating margin at 42.6%.

Bear Case : RY

The primary concerns for RY are PEG Ratio.

Bear Case : SBSI

The primary concerns for SBSI are Market Cap, Debt/Equity, PEG Ratio.

Key Dynamics to Monitor

RY profiles as a growth stock while SBSI 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 16.1% — sustainability is the question.

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

Bottom Line

RY scores higher overall (70/100 vs 60/100), backed by strong 33.7% margins and 16.1% revenue growth. 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.

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.

Southside Bancshares, Inc.

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Southside Bancshares, Inc. is the banking holding company for Southside Bank providing a range of financial services to individuals, businesses, municipal entities, and non-profit organizations. The company is headquartered in Tyler, Texas.

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