WallStSmart

Regions Financial Corporation (RF)vsRoyal Bank of Canada (RY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Royal Bank of Canada generates 828% more annual revenue ($67.15B vs $7.24B). RY leads profitability with a 33.9% profit margin vs 30.8%. RF appears more attractively valued with a PEG of 1.62. RF earns a higher WallStSmart Score of 69/100 (B-).

RF

Strong Buy

69

out of 100

Grade: B-

Growth: 5.3Profit: 7.5Value: 5.7Quality: 5.0
Piotroski: 7/9Altman Z: -0.41

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

RF4 strengths · Avg: 9.5/10
Price/BookValuation
1.5x10/10

Reasonable price relative to book value

Profit MarginProfitability
30.8%10/10

Keeps 31 of every $100 in revenue as profit

Operating MarginProfitability
39.3%10/10

Strong operational efficiency at 39.3%

P/E RatioValuation
12.4x8/10

Attractively priced relative to earnings

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

RF3 concerns · Avg: 3.3/10
PEG RatioValuation
1.624/10

Expensive relative to growth rate

Revenue GrowthGrowth
3.4%4/10

3.4% revenue growth

Altman Z-ScoreHealth
-0.412/10

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 : RF

The strongest argument for RF centers on Price/Book, Profit Margin, Operating Margin. Profitability is solid with margins at 30.8% and operating margin at 39.3%.

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 : RF

The primary concerns for RF are PEG Ratio, Revenue Growth, Altman Z-Score.

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

RF profiles as a value stock while RY is a mature play — different risk/reward profiles.

RF carries more volatility with a beta of 1.00 — expect wider price swings.

RY is growing revenue faster at 8.9% — sustainability is the question.

RF generates stronger free cash flow (365M), providing more financial flexibility.

Bottom Line

RF scores higher overall (69/100 vs 63/100), backed by strong 30.8% margins. Both earn "Strong Buy" and "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.

Regions Financial Corporation

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Regions Financial Corporation is a bank holding company headquartered in the Regions Center in Birmingham, Alabama. The company provides retail banking and commercial banking, trust, stockbrokerage, and mortgage services.

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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