WallStSmart

Royal Bank of Canada (RY)vsUnity Bancorp Inc (UNTY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Royal Bank of Canada generates 50286% more annual revenue ($65.72B vs $130.43M). UNTY leads profitability with a 45.0% profit margin vs 33.7%. UNTY appears more attractively valued with a PEG of 0.99. 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

UNTY

Buy

62

out of 100

Grade: C+

Growth: 4.7Profit: 8.0Value: 7.7Quality: 4.0
Piotroski: 5/9Altman Z: -0.46

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

UNTY5 strengths · Avg: 9.2/10
P/E RatioValuation
10.0x10/10

Attractively priced relative to earnings

Profit MarginProfitability
45.0%10/10

Keeps 45 of every $100 in revenue as profit

Operating MarginProfitability
58.2%10/10

Strong operational efficiency at 58.2%

PEG RatioValuation
0.998/10

Growing faster than its price suggests

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

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

UNTY4 concerns · Avg: 2.3/10
Market CapQuality
$574.84M3/10

Smaller company, higher risk/reward

Revenue GrowthGrowth
-5.7%2/10

Revenue declined 5.7%

EPS GrowthGrowth
-11.8%2/10

Earnings declined 11.8%

Altman Z-ScoreHealth
-0.462/10

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 : UNTY

The strongest argument for UNTY centers on P/E Ratio, Profit Margin, Operating Margin. Profitability is solid with margins at 45.0% and operating margin at 58.2%. PEG of 0.99 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 : UNTY

The primary concerns for UNTY are Market Cap, Revenue Growth, EPS Growth.

Key Dynamics to Monitor

RY profiles as a growth stock while UNTY is a declining 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 62/100), 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.

Unity Bancorp Inc

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Unity Bancorp, Inc. is the holding company of Unity Bank providing commercial and retail banking products and services to individuals, small and medium-sized businesses and professional communities. The company is headquartered in Clinton, New Jersey.

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