WallStSmart

Citizens Financial Group, Inc. (CFG)vsItau Unibanco Banco Holding SA (ITUB)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Itau Unibanco Banco Holding SA generates 1719% more annual revenue ($138.95B vs $7.64B). ITUB leads profitability with a 32.3% profit margin vs 24.0%. CFG appears more attractively valued with a PEG of 0.26. CFG earns a higher WallStSmart Score of 81/100 (A-).

CFG

Exceptional Buy

81

out of 100

Grade: A-

Growth: 7.3Profit: 6.5Value: 10.0Quality: 4.8
Piotroski: 6/9Altman Z: 0.27

ITUB

Strong Buy

76

out of 100

Grade: B+

Growth: 6.0Profit: 8.0Value: 8.0Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CFGUndervalued (+63.0%)

Margin of Safety

+63.0%

Fair Value

$180.65

Current Price

$59.42

$121.23 discount

UndervaluedFair: $180.65Overvalued
ITUBOvervalued (-10.1%)

Margin of Safety

-10.1%

Fair Value

$8.69

Current Price

$8.21

$0.48 premium

UndervaluedFair: $8.69Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CFG6 strengths · Avg: 9.2/10
PEG RatioValuation
0.2610/10

Growing faster than its price suggests

Price/BookValuation
1.1x10/10

Reasonable price relative to book value

Operating MarginProfitability
32.2%10/10

Strong operational efficiency at 32.2%

Profit MarginProfitability
24.0%9/10

Keeps 24 of every $100 in revenue as profit

P/E RatioValuation
15.3x8/10

Attractively priced relative to earnings

EPS GrowthGrowth
34.8%8/10

Earnings expanding 34.8% YoY

ITUB6 strengths · Avg: 9.7/10
P/E RatioValuation
10.2x10/10

Attractively priced relative to earnings

Profit MarginProfitability
32.3%10/10

Keeps 32 of every $100 in revenue as profit

Operating MarginProfitability
37.3%10/10

Strong operational efficiency at 37.3%

Free Cash FlowQuality
$45.01B10/10

Generating 45.0B in free cash flow

Market CapQuality
$86.41B9/10

Large-cap with strong market position

Return on EquityProfitability
21.0%9/10

Every $100 of equity generates 21 in profit

Areas to Watch

CFG3 concerns · Avg: 2.3/10
Return on EquityProfitability
7.2%3/10

ROE of 7.2% — below average capital efficiency

Free Cash FlowQuality
$-250.00M2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
0.272/10

Distress zone — elevated risk

ITUB1 concerns · Avg: 4.0/10
EPS GrowthGrowth
2.8%4/10

2.8% earnings growth

Comparative Analysis Report

WallStSmart Research

Bull Case : CFG

The strongest argument for CFG centers on PEG Ratio, Price/Book, Operating Margin. Profitability is solid with margins at 24.0% and operating margin at 32.2%. Revenue growth of 10.7% demonstrates continued momentum.

Bull Case : ITUB

The strongest argument for ITUB centers on P/E Ratio, Profit Margin, Operating Margin. Profitability is solid with margins at 32.3% and operating margin at 37.3%. Revenue growth of 11.0% demonstrates continued momentum.

Bear Case : CFG

The primary concerns for CFG are Return on Equity, Free Cash Flow, Altman Z-Score.

Bear Case : ITUB

The primary concerns for ITUB are EPS Growth.

Key Dynamics to Monitor

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

ITUB is growing revenue faster at 11.0% — sustainability is the question.

ITUB generates stronger free cash flow (45.0B), providing more financial flexibility.

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

Bottom Line

CFG scores higher overall (81/100 vs 76/100), backed by strong 24.0% margins and 10.7% revenue growth. Both earn "Exceptional 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.

Citizens Financial Group, Inc.

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Citizens Financial Group, Inc. is an American bank headquartered in Providence, Rhode Island.

Itau Unibanco Banco Holding SA

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Ita Unibanco Holding SA offers a range of financial products and services in Brazil and internationally. The company is headquartered in So Paulo, Brazil.

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