WallStSmart

Royal Bank of Canada (RY)vsWaFd, Inc. (WAFD)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Royal Bank of Canada generates 8653% more annual revenue ($65.72B vs $750.81M). RY leads profitability with a 33.7% profit margin vs 33.6%. WAFD appears more attractively valued with a PEG of 1.85. WAFD earns a higher WallStSmart Score of 71/100 (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

WAFD

Strong Buy

71

out of 100

Grade: B

Growth: 8.0Profit: 7.5Value: 5.7Quality: 3.5
Piotroski: 5/9Altman Z: -0.61

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

WAFD5 strengths · Avg: 9.2/10
Price/BookValuation
1.0x10/10

Reasonable price relative to book value

Profit MarginProfitability
33.6%10/10

Keeps 34 of every $100 in revenue as profit

Operating MarginProfitability
45.8%10/10

Strong operational efficiency at 45.8%

P/E RatioValuation
12.2x8/10

Attractively priced relative to earnings

EPS GrowthGrowth
26.4%8/10

Earnings expanding 26.4% YoY

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

WAFD3 concerns · Avg: 3.0/10
PEG RatioValuation
1.854/10

Expensive relative to growth rate

Debt/EquityHealth
1.043/10

Elevated debt levels

Altman Z-ScoreHealth
-0.612/10

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 : WAFD

The strongest argument for WAFD centers on Price/Book, Profit Margin, Operating Margin. Profitability is solid with margins at 33.6% and operating margin at 45.8%.

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 : WAFD

The primary concerns for WAFD are PEG Ratio, Debt/Equity, Altman Z-Score.

Key Dynamics to Monitor

RY profiles as a growth stock while WAFD is a mature 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

WAFD scores higher overall (71/100 vs 70/100), backed by strong 33.6% margins. Both earn "Strong Buy" and "Strong 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.

WaFd, Inc.

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Washington Federal, Inc. is the banking holding company for Washington Federal Bank, a National Association that provides loans, deposits, insurance, and other banking services in the United States. The company is headquartered in Seattle, Washington.

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