WallStSmart

Royal Bank of Canada (RY)vsSimmons First National Corporation (SFNC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Royal Bank of Canada generates 59496% more annual revenue ($65.72B vs $110.27M). RY leads profitability with a 33.7% profit margin vs 0.0%. RY appears more attractively valued with a PEG of 2.34. RY earns a higher WallStSmart Score of 67/100 (B-).

RY

Strong Buy

67

out of 100

Grade: B-

Growth: 8.7Profit: 8.0Value: 5.0Quality: 5.0
Piotroski: 4/9Altman Z: -0.50

SFNC

Buy

52

out of 100

Grade: C-

Growth: 4.7Profit: 4.5Value: 4.0Quality: 6.0
Piotroski: 3/9Altman Z: 0.07

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

RY6 strengths · Avg: 9.3/10
Market CapQuality
$299.37B10/10

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
$20.82B10/10

Generating 20.8B in free cash flow

Revenue GrowthGrowth
16.1%8/10

16.1% revenue growth

EPS GrowthGrowth
27.5%8/10

Earnings expanding 27.5% YoY

SFNC2 strengths · Avg: 10.0/10
Price/BookValuation
1.0x10/10

Reasonable price relative to book value

Operating MarginProfitability
39.9%10/10

Strong operational efficiency at 39.9%

Areas to Watch

RY3 concerns · Avg: 2.3/10
PEG RatioValuation
2.344/10

Expensive relative to growth rate

Altman Z-ScoreHealth
-0.502/10

Distress zone — elevated risk

Debt/EquityHealth
2.771/10

Elevated debt levels

SFNC4 concerns · Avg: 2.5/10
Profit MarginProfitability
0.0%3/10

0.0% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
3.832/10

Expensive relative to growth rate

Return on EquityProfitability
-10.5%2/10

ROE of -10.5% — below average capital efficiency

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 : SFNC

The strongest argument for SFNC centers on Price/Book, Operating Margin. Revenue growth of 14.3% demonstrates continued momentum.

Bear Case : RY

The primary concerns for RY are PEG Ratio, Altman Z-Score, Debt/Equity. Debt-to-equity of 2.77 is elevated, increasing financial risk.

Bear Case : SFNC

The primary concerns for SFNC are Profit Margin, Piotroski F-Score, PEG Ratio.

Key Dynamics to Monitor

RY profiles as a growth stock while SFNC is a value play — different risk/reward profiles.

RY carries more volatility with a beta of 0.93 — expect wider price swings.

RY is growing revenue faster at 16.1% — sustainability is the question.

RY generates stronger free cash flow (20.8B), providing more financial flexibility.

Bottom Line

RY scores higher overall (67/100 vs 52/100), 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.

Simmons First National Corporation

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Simmons First National Corporation is the holding company of Simmons Bank providing banking and financial products and services to individuals and businesses. The company is headquartered in Pine Bluff, Arkansas.

Visit Website →

Want to dig deeper into these stocks?