WallStSmart

The Bank of New York Mellon Corporation (BK)vsRoyal Bank of Canada (RY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Royal Bank of Canada generates 217% more annual revenue ($63.42B vs $20.00B). RY leads profitability with a 33.1% profit margin vs 27.7%. BK appears more attractively valued with a PEG of 1.27. BK earns a higher WallStSmart Score of 74/100 (B).

BK

Strong Buy

74

out of 100

Grade: B

Growth: 8.7Profit: 7.5Value: 10.0Quality: 5.0
Piotroski: 5/9Altman Z: 0.04

RY

Strong Buy

68

out of 100

Grade: B-

Growth: 7.3Profit: 8.0Value: 10.0Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BKUndervalued (+64.9%)

Margin of Safety

+64.9%

Fair Value

$346.32

Current Price

$117.99

$228.33 discount

UndervaluedFair: $346.32Overvalued
RYUndervalued (+44.3%)

Margin of Safety

+44.3%

Fair Value

$306.13

Current Price

$162.50

$143.63 discount

UndervaluedFair: $306.13Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BK6 strengths · Avg: 8.7/10
Operating MarginProfitability
37.3%10/10

Strong operational efficiency at 37.3%

Market CapQuality
$82.22B9/10

Large-cap with strong market position

Profit MarginProfitability
27.7%9/10

Keeps 28 of every $100 in revenue as profit

P/E RatioValuation
15.9x8/10

Attractively priced relative to earnings

Price/BookValuation
2.1x8/10

Reasonable price relative to book value

EPS GrowthGrowth
30.5%8/10

Earnings expanding 30.5% YoY

RY6 strengths · Avg: 9.3/10
Market CapQuality
$225.89B10/10

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
15.3x8/10

Attractively priced relative to earnings

Price/BookValuation
2.4x8/10

Reasonable price relative to book value

Areas to Watch

BK1 concerns · Avg: 2.0/10
Altman Z-ScoreHealth
0.042/10

Distress zone — elevated risk

RY1 concerns · Avg: 4.0/10
PEG RatioValuation
2.414/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : BK

The strongest argument for BK centers on Operating Margin, Market Cap, Profit Margin. Profitability is solid with margins at 27.7% and operating margin at 37.3%. PEG of 1.27 suggests the stock is reasonably priced for its growth.

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%.

Bear Case : BK

The primary concerns for BK are Altman Z-Score.

Bear Case : RY

The primary concerns for RY are PEG Ratio.

Key Dynamics to Monitor

BK carries more volatility with a beta of 1.08 — expect wider price swings.

BK is growing revenue faster at 7.8% — sustainability is the question.

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

Monitor BANKS - DIVERSIFIED industry trends, competitive dynamics, and regulatory changes.

Bottom Line

BK scores higher overall (74/100 vs 68/100), backed by strong 27.7% margins. RY offers better value entry with a 44.3% margin of safety. 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.

The Bank of New York Mellon Corporation

FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA

The Bank of New York Mellon Corporation, commonly known as BNY Mellon, is a multinational American investment banking services holding company headquartered in New York City.

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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.

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