LPL Financial Holdings Inc (LPLA)vsRoyal Bank of Canada (RY)
LPLA
LPL Financial Holdings Inc
$303.52
-1.97%
FINANCIAL SERVICES · Cap: $25.55B
RY
Royal Bank of Canada
$181.68
+0.18%
FINANCIAL SERVICES · Cap: $252.56B
Smart Verdict
WallStSmart Research — data-driven comparison
Royal Bank of Canada generates 256% more annual revenue ($63.42B vs $17.84B). RY leads profitability with a 33.1% profit margin vs 5.0%. LPLA appears more attractively valued with a PEG of 0.42. RY earns a higher WallStSmart Score of 68/100 (B-).
LPLA
Strong Buy68
out of 100
Grade: B-
RY
Strong Buy68
out of 100
Grade: B-
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Revenue surging 35.0% year-over-year
Every $100 of equity generates 20 in profit
Mega-cap, among the largest globally
Keeps 33 of every $100 in revenue as profit
Strong operational efficiency at 46.2%
Generating 37.3B in free cash flow
Attractively priced relative to earnings
Reasonable price relative to book value
Areas to Watch
Moderate valuation
4.5% earnings growth
Distress zone — elevated risk
5.0% margin — thin
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : LPLA
The strongest argument for LPLA centers on PEG Ratio, Revenue Growth, Return on Equity. Revenue growth of 35.0% demonstrates continued momentum. PEG of 0.42 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 : LPLA
The primary concerns for LPLA are P/E Ratio, EPS Growth, Altman Z-Score.
Bear Case : RY
The primary concerns for RY are PEG Ratio.
Key Dynamics to Monitor
LPLA profiles as a hypergrowth stock while RY is a mature play — different risk/reward profiles.
RY carries more volatility with a beta of 0.94 — expect wider price swings.
LPLA is growing revenue faster at 35.0% — sustainability is the question.
RY generates stronger free cash flow (37.3B), providing more financial flexibility.
Bottom Line
LPLA scores higher overall (68/100 vs 68/100) and 35.0% 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.
LPL Financial Holdings Inc
FINANCIAL SERVICES · CAPITAL MARKETS · USA
LPL Financial Holdings Inc., provides an integrated platform of brokerage and investment advisory services to independent financial advisers and financial advisers at financial institutions in the United States. The company is headquartered in San Diego, California.
Visit Website →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.
Compare with Other CAPITAL MARKETS Stocks
Want to dig deeper into these stocks?