Royal Bank of Canada (RY)vsCharles Schwab Corp (SCHW)
RY
Royal Bank of Canada
$202.29
-0.95%
FINANCIAL SERVICES · Cap: $291.55B
SCHW
Charles Schwab Corp
$104.62
-0.50%
FINANCIAL SERVICES · Cap: $185.47B
Smart Verdict
WallStSmart Research — data-driven comparison
Royal Bank of Canada generates 158% more annual revenue ($67.15B vs $26.03B). SCHW leads profitability with a 38.8% profit margin vs 33.9%. SCHW appears more attractively valued with a PEG of 0.91. SCHW earns a higher WallStSmart Score of 81/100 (A-).
RY
Buy63
out of 100
Grade: C+
SCHW
Exceptional Buy81
out of 100
Grade: A-
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
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
Keeps 39 of every $100 in revenue as profit
Strong operational efficiency at 52.3%
Large-cap with strong market position
Every $100 of equity generates 20 in profit
Growing faster than its price suggests
Revenue surging 20.9% year-over-year
Areas to Watch
Expensive relative to growth rate
Negative free cash flow — burning cash
Distress zone — elevated risk
Elevated debt levels
Negative free cash flow — burning cash
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull 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%.
Bull Case : SCHW
The strongest argument for SCHW centers on Profit Margin, Operating Margin, Market Cap. Profitability is solid with margins at 38.8% and operating margin at 52.3%. Revenue growth of 20.9% demonstrates continued momentum.
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.
Bear Case : SCHW
The primary concerns for SCHW are Free Cash Flow, Altman Z-Score.
Key Dynamics to Monitor
RY profiles as a mature stock while SCHW is a growth play — different risk/reward profiles.
RY carries more volatility with a beta of 0.92 — expect wider price swings.
SCHW is growing revenue faster at 20.9% — sustainability is the question.
SCHW generates stronger free cash flow (-3.0B), providing more financial flexibility.
Bottom Line
SCHW scores higher overall (81/100 vs 63/100), backed by strong 38.8% margins and 20.9% revenue growth. Both earn "Exceptional 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.
Charles Schwab Corp
FINANCIAL SERVICES · CAPITAL MARKETS · USA
The Charles Schwab Corporation is an American multinational financial services company. It offers banking, commercial banking, an electronic trading platform, and wealth management advisory services to both retail and institutional clients.
Visit Website →Compare with Other BANKS - DIVERSIFIED Stocks
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