Rocket Companies Inc (RKT)vsRoyal Bank of Canada (RY)
RKT
Rocket Companies Inc
$14.62
+1.53%
FINANCIAL SERVICES · Cap: $40.61B
RY
Royal Bank of Canada
$179.97
+2.71%
FINANCIAL SERVICES · Cap: $250.25B
Smart Verdict
WallStSmart Research — data-driven comparison
Royal Bank of Canada generates 797% more annual revenue ($63.42B vs $7.07B). RY leads profitability with a 33.1% profit margin vs -1.0%. RKT appears more attractively valued with a PEG of 0.49. RY earns a higher WallStSmart Score of 68/100 (B-).
RKT
Buy55
out of 100
Grade: C
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 52.6% year-over-year
Reasonable price relative to book value
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
Weak financial health signals
ROE of -1.5% — below average capital efficiency
Earnings declined 89.5%
Negative free cash flow — burning cash
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : RKT
The strongest argument for RKT centers on PEG Ratio, Revenue Growth, Price/Book. Revenue growth of 52.6% demonstrates continued momentum. PEG of 0.49 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 : RKT
The primary concerns for RKT are Piotroski F-Score, Return on Equity, EPS Growth. Debt-to-equity of 2.51 is elevated, increasing financial risk.
Bear Case : RY
The primary concerns for RY are PEG Ratio.
Key Dynamics to Monitor
RKT profiles as a hypergrowth stock while RY is a mature play — different risk/reward profiles.
RKT carries more volatility with a beta of 2.36 — expect wider price swings.
RKT is growing revenue faster at 52.6% — sustainability is the question.
RY generates stronger free cash flow (37.3B), providing more financial flexibility.
Bottom Line
RY scores higher overall (68/100 vs 55/100), backed by strong 33.1% 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.
Rocket Companies Inc
FINANCIAL SERVICES · MORTGAGE FINANCE · USA
Rocket Companies, Inc. is engaged in the technology-driven real estate, mortgage and e-commerce businesses in the United States and Canada. The company is headquartered in Detroit, Michigan.
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.
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