Royal Bank of Canada (RY)vsBlackRock TCP Capital Corp (TCPC)
RY
Royal Bank of Canada
$205.16
-0.36%
FINANCIAL SERVICES · Cap: $291.55B
TCPC
BlackRock TCP Capital Corp
$4.05
-0.49%
FINANCIAL SERVICES · Cap: $340.64M
Smart Verdict
WallStSmart Research — data-driven comparison
Royal Bank of Canada generates 37830% more annual revenue ($67.15B vs $177.04M). RY leads profitability with a 33.9% profit margin vs -61.3%. TCPC appears more attractively valued with a PEG of 0.91. RY earns a higher WallStSmart Score of 63/100 (C+).
RY
Buy63
out of 100
Grade: C+
TCPC
Buy55
out of 100
Grade: C
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
Reasonable price relative to book value
Strong operational efficiency at 82.8%
Growing faster than its price suggests
Areas to Watch
Expensive relative to growth rate
Negative free cash flow — burning cash
Distress zone — elevated risk
Elevated debt levels
Smaller company, higher risk/reward
Elevated debt levels
Weak financial health signals
ROE of -22.3% — below average capital efficiency
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 : TCPC
The strongest argument for TCPC centers on Price/Book, Operating Margin, PEG Ratio. PEG of 0.91 suggests the stock is reasonably priced for its growth.
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 : TCPC
The primary concerns for TCPC are Market Cap, Debt/Equity, Piotroski F-Score. Debt-to-equity of 1.65 is elevated, increasing financial risk.
Key Dynamics to Monitor
RY profiles as a mature stock while TCPC is a turnaround play — different risk/reward profiles.
TCPC carries more volatility with a beta of 1.00 — expect wider price swings.
RY is growing revenue faster at 8.9% — sustainability is the question.
TCPC generates stronger free cash flow (213M), providing more financial flexibility.
Bottom Line
RY scores higher overall (63/100 vs 55/100), backed by strong 33.9% margins. Both earn "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.
BlackRock TCP Capital Corp
FINANCIAL SERVICES · ASSET MANAGEMENT · USA
BlackRock TCP Capital Corp (TCPC) is a prominent business development company that specializes in delivering customized financing solutions to middle-market enterprises across diverse industries. Backed by the extensive investment expertise of BlackRock, TCPC primarily offers senior secured loans and a variety of debt instruments, prioritizing strong risk-adjusted returns and capital preservation. With a proactive investment approach and robust market relationships, the firm effectively maneuvers through changing economic landscapes. Furthermore, TCPC's commitment to consistent dividend distributions positions it as an attractive option for income-focused investors seeking stability and resilience in uncertain market conditions.
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