WallStSmart

Royal Bank of Canada (RY)vsSelective Insurance Group, Inc. (SIGI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Royal Bank of Canada generates 1115% more annual revenue ($65.72B vs $5.41B). RY leads profitability with a 33.7% profit margin vs 8.4%. SIGI appears more attractively valued with a PEG of 0.28. 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
Piotroski: 4/9Altman Z: -0.50

SIGI

Buy

60

out of 100

Grade: C

Growth: 5.3Profit: 5.5Value: 7.7Quality: 6.0
Piotroski: 4/9Altman Z: 1.00

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
$20.82B10/10

Generating 20.8B 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

SIGI4 strengths · Avg: 8.8/10
PEG RatioValuation
0.2810/10

Growing faster than its price suggests

Debt/EquityHealth
0.259/10

Conservative balance sheet, low leverage

P/E RatioValuation
12.6x8/10

Attractively priced relative to earnings

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

Areas to Watch

RY3 concerns · Avg: 1.7/10
PEG RatioValuation
2.532/10

Expensive relative to growth rate

Altman Z-ScoreHealth
-0.502/10

Distress zone — elevated risk

Debt/EquityHealth
2.771/10

Elevated debt levels

SIGI2 concerns · Avg: 2.0/10
EPS GrowthGrowth
-10.2%2/10

Earnings declined 10.2%

Altman Z-ScoreHealth
1.002/10

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 : SIGI

The strongest argument for SIGI centers on PEG Ratio, Debt/Equity, P/E Ratio. PEG of 0.28 suggests the stock is reasonably priced for its growth.

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 : SIGI

The primary concerns for SIGI are EPS Growth, Altman Z-Score.

Key Dynamics to Monitor

RY profiles as a growth stock while SIGI is a value 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 (20.8B), 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.

Selective Insurance Group, Inc.

FINANCIAL SERVICES · INSURANCE - PROPERTY & CASUALTY · USA

Selective Insurance Group, Inc., offers insurance products and services in the United States. The company is headquartered in Branchville, New Jersey.

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