WallStSmart

HCA Holdings Inc (HCA)vsRoyal Caribbean Cruises Ltd (RCL)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

HCA Holdings Inc generates 322% more annual revenue ($75.60B vs $17.93B). RCL leads profitability with a 23.8% profit margin vs 9.0%. RCL appears more attractively valued with a PEG of 1.09. RCL earns a higher WallStSmart Score of 74/100 (B).

HCA

Strong Buy

69

out of 100

Grade: B-

Growth: 7.3Profit: 8.0Value: 10.0Quality: 6.0
Piotroski: 5/9Altman Z: 1.71

RCL

Strong Buy

74

out of 100

Grade: B

Growth: 8.7Profit: 8.0Value: 10.0Quality: 3.8
Piotroski: 5/9Altman Z: 0.96
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

HCAUndervalued (+59.9%)

Margin of Safety

+59.9%

Fair Value

$1326.31

Current Price

$484.02

$842.29 discount

UndervaluedFair: $1326.31Overvalued
RCLUndervalued (+54.3%)

Margin of Safety

+54.3%

Fair Value

$730.08

Current Price

$279.01

$451.07 discount

UndervaluedFair: $730.08Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HCA5 strengths · Avg: 9.0/10
Return on EquityProfitability
136.3%10/10

Every $100 of equity generates 136 in profit

Debt/EquityHealth
-8.3310/10

Conservative balance sheet, low leverage

Market CapQuality
$108.62B9/10

Large-cap with strong market position

P/E RatioValuation
17.1x8/10

Attractively priced relative to earnings

EPS GrowthGrowth
44.5%8/10

Earnings expanding 44.5% YoY

RCL6 strengths · Avg: 8.7/10
Return on EquityProfitability
47.7%10/10

Every $100 of equity generates 48 in profit

Market CapQuality
$76.09B9/10

Large-cap with strong market position

Profit MarginProfitability
23.8%9/10

Keeps 24 of every $100 in revenue as profit

P/E RatioValuation
17.9x8/10

Attractively priced relative to earnings

Operating MarginProfitability
22.0%8/10

Strong operational efficiency at 22.0%

EPS GrowthGrowth
37.1%8/10

Earnings expanding 37.1% YoY

Areas to Watch

HCA1 concerns · Avg: 4.0/10
Altman Z-ScoreHealth
1.714/10

Distress zone — elevated risk

RCL1 concerns · Avg: 2.0/10
Altman Z-ScoreHealth
0.962/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : HCA

The strongest argument for HCA centers on Return on Equity, Debt/Equity, Market Cap. PEG of 1.35 suggests the stock is reasonably priced for its growth.

Bull Case : RCL

The strongest argument for RCL centers on Return on Equity, Market Cap, Profit Margin. Profitability is solid with margins at 23.8% and operating margin at 22.0%. Revenue growth of 13.3% demonstrates continued momentum.

Bear Case : HCA

The primary concerns for HCA are Altman Z-Score.

Bear Case : RCL

The primary concerns for RCL are Altman Z-Score.

Key Dynamics to Monitor

HCA profiles as a value stock while RCL is a mature play — different risk/reward profiles.

RCL carries more volatility with a beta of 1.93 — expect wider price swings.

RCL is growing revenue faster at 13.3% — sustainability is the question.

HCA generates stronger free cash flow (870M), providing more financial flexibility.

Bottom Line

RCL scores higher overall (74/100 vs 69/100), backed by strong 23.8% margins and 13.3% revenue growth. HCA offers better value entry with a 59.9% 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.

HCA Holdings Inc

HEALTHCARE · MEDICAL CARE FACILITIES · USA

HCA Healthcare is an American for-profit operator of health care facilities that was founded in 1968. It is based in Nashville, Tennessee, and, as of May 2020, owns and operates 186 hospitals and approximately 2,000 sites of care, including surgery centers, freestanding emergency rooms, urgent care centers and physician clinics in 21 states and the United Kingdom.

Visit Website →

Royal Caribbean Cruises Ltd

CONSUMER CYCLICAL · TRAVEL SERVICES · USA

Royal Caribbean Group, formerly known as Royal Caribbean Cruises Ltd., is an American global cruise holding company incorporated in Liberia and based in Miami, Florida, US.

Want to dig deeper into these stocks?