WallStSmart

Loandepot Inc (LDI)vsRoyal Bank of Canada (RY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Royal Bank of Canada generates 5228% more annual revenue ($67.15B vs $1.26B). RY leads profitability with a 33.9% profit margin vs -5.5%. RY earns a higher WallStSmart Score of 63/100 (C+).

LDI

Hold

36

out of 100

Grade: F

Growth: 4.0Profit: 2.0Value: 5.0Quality: 3.0
Piotroski: 4/9Altman Z: -0.22

RY

Buy

63

out of 100

Grade: C+

Growth: 7.3Profit: 8.0Value: 5.0Quality: 5.0
Piotroski: 4/9Altman Z: -0.50

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LDI1 strengths · Avg: 10.0/10
Price/BookValuation
1.0x10/10

Reasonable price relative to book value

RY4 strengths · Avg: 9.5/10
Market CapQuality
$291.55B10/10

Mega-cap, among the largest globally

Profit MarginProfitability
33.9%10/10

Keeps 34 of every $100 in revenue as profit

Operating MarginProfitability
46.4%10/10

Strong operational efficiency at 46.4%

Price/BookValuation
2.9x8/10

Reasonable price relative to book value

Areas to Watch

LDI4 concerns · Avg: 2.3/10
Market CapQuality
$417.66M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-34.5%2/10

ROE of -34.5% — below average capital efficiency

EPS GrowthGrowth
-98.8%2/10

Earnings declined 98.8%

Altman Z-ScoreHealth
-0.222/10

Distress zone — elevated risk

RY4 concerns · Avg: 2.3/10
PEG RatioValuation
2.354/10

Expensive relative to growth rate

Free Cash FlowQuality
$-28.67B2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
-0.502/10

Distress zone — elevated risk

Debt/EquityHealth
2.881/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : LDI

The strongest argument for LDI centers on Price/Book.

Bull Case : RY

The strongest argument for RY centers on Market Cap, Profit Margin, Operating Margin. Profitability is solid with margins at 33.9% and operating margin at 46.4%.

Bear Case : LDI

The primary concerns for LDI are Market Cap, Return on Equity, EPS Growth. Debt-to-equity of 22.93 is elevated, increasing financial risk.

Bear Case : RY

The primary concerns for RY are PEG Ratio, Free Cash Flow, Altman Z-Score. Debt-to-equity of 2.88 is elevated, increasing financial risk.

Key Dynamics to Monitor

LDI profiles as a turnaround stock while RY is a mature play — different risk/reward profiles.

LDI carries more volatility with a beta of 3.12 — expect wider price swings.

LDI is growing revenue faster at 9.7% — sustainability is the question.

LDI generates stronger free cash flow (510M), providing more financial flexibility.

Bottom Line

RY scores higher overall (63/100 vs 36/100), backed by strong 33.9% margins. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Loandepot Inc

FINANCIAL SERVICES · MORTGAGE FINANCE · USA

LoanDepot, Inc. is dedicated to the origination and servicing of conventional and government mortgage loans in the United States. The company is headquartered in Foothill Ranch, California.

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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