WallStSmart

Royal Bank of Canada (RY)vsWebster Financial Corporation (WBS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Royal Bank of Canada generates 2270% more annual revenue ($63.42B vs $2.68B). WBS leads profitability with a 37.5% profit margin vs 33.1%. WBS appears more attractively valued with a PEG of 1.73. WBS earns a higher WallStSmart Score of 76/100 (B+).

RY

Strong Buy

68

out of 100

Grade: B-

Growth: 7.3Profit: 8.0Value: 5.7Quality: 5.0

WBS

Strong Buy

76

out of 100

Grade: B+

Growth: 8.7Profit: 7.5Value: 6.3Quality: 5.8
Piotroski: 6/9

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

RY6 strengths · Avg: 9.3/10
Market CapQuality
$250.25B10/10

Mega-cap, among the largest globally

Profit MarginProfitability
33.1%10/10

Keeps 33 of every $100 in revenue as profit

Operating MarginProfitability
46.2%10/10

Strong operational efficiency at 46.2%

Free Cash FlowQuality
$37.30B10/10

Generating 37.3B in free cash flow

P/E RatioValuation
16.9x8/10

Attractively priced relative to earnings

Price/BookValuation
2.7x8/10

Reasonable price relative to book value

WBS6 strengths · Avg: 9.7/10
P/E RatioValuation
11.8x10/10

Attractively priced relative to earnings

Price/BookValuation
1.3x10/10

Reasonable price relative to book value

Profit MarginProfitability
37.5%10/10

Keeps 38 of every $100 in revenue as profit

Operating MarginProfitability
46.4%10/10

Strong operational efficiency at 46.4%

EPS GrowthGrowth
52.7%10/10

Earnings expanding 52.7% YoY

Revenue GrowthGrowth
15.9%8/10

15.9% revenue growth

Areas to Watch

RY1 concerns · Avg: 4.0/10
PEG RatioValuation
2.304/10

Expensive relative to growth rate

WBS1 concerns · Avg: 4.0/10
PEG RatioValuation
1.734/10

Expensive relative to growth rate

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 33.1% and operating margin at 46.2%.

Bull Case : WBS

The strongest argument for WBS centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 37.5% and operating margin at 46.4%. Revenue growth of 15.9% demonstrates continued momentum.

Bear Case : RY

The primary concerns for RY are PEG Ratio.

Bear Case : WBS

The primary concerns for WBS are PEG Ratio.

Key Dynamics to Monitor

RY profiles as a mature stock while WBS is a growth play — different risk/reward profiles.

WBS carries more volatility with a beta of 1.03 — expect wider price swings.

WBS is growing revenue faster at 15.9% — sustainability is the question.

RY generates stronger free cash flow (37.3B), providing more financial flexibility.

Bottom Line

WBS scores higher overall (76/100 vs 68/100), backed by strong 37.5% margins and 15.9% revenue growth. 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.

Webster Financial Corporation

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Webster Financial Corporation is the banking holding company for Webster Bank, a National Association that provides a variety of banking, investment, and financial services to individuals, families, and businesses in the United States. The company is headquartered in Waterbury, Connecticut.

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