Royal Bank of Canada (RY)vsTE Connectivity Ltd (TEL)
RY
Royal Bank of Canada
$162.50
+0.24%
FINANCIAL SERVICES · Cap: $225.89B
TEL
TE Connectivity Ltd
$206.37
+2.78%
TECHNOLOGY · Cap: $60.58B
Smart Verdict
WallStSmart Research — data-driven comparison
Royal Bank of Canada generates 251% more annual revenue ($63.42B vs $18.09B). RY leads profitability with a 33.1% profit margin vs 11.4%. TEL appears more attractively valued with a PEG of 1.14. TEL earns a higher WallStSmart Score of 74/100 (B).
RY
Strong Buy68
out of 100
Grade: B-
TEL
Strong Buy74
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+44.3%
Fair Value
$306.13
Current Price
$162.50
$143.63 discount
Margin of Safety
+29.8%
Fair Value
$325.26
Current Price
$206.37
$118.89 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
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
Large-cap with strong market position
Strong operational efficiency at 20.9%
Revenue surging 21.7% year-over-year
Earnings expanding 44.4% YoY
Areas to Watch
Expensive relative to growth rate
Moderate valuation
Comparative Analysis Report
WallStSmart ResearchBull 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%.
Bull Case : TEL
The strongest argument for TEL centers on Market Cap, Operating Margin, Revenue Growth. Revenue growth of 21.7% demonstrates continued momentum. PEG of 1.14 suggests the stock is reasonably priced for its growth.
Bear Case : RY
The primary concerns for RY are PEG Ratio.
Bear Case : TEL
The primary concerns for TEL are P/E Ratio.
Key Dynamics to Monitor
RY profiles as a mature stock while TEL is a growth play — different risk/reward profiles.
TEL carries more volatility with a beta of 1.25 — expect wider price swings.
TEL is growing revenue faster at 21.7% — sustainability is the question.
RY generates stronger free cash flow (37.3B), providing more financial flexibility.
Bottom Line
TEL scores higher overall (74/100 vs 68/100) and 21.7% revenue growth. RY offers better value entry with a 44.3% 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.
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.
TE Connectivity Ltd
TECHNOLOGY · ELECTRONIC COMPONENTS · USA
TE Connectivity is an American Swiss-domiciled technology company that designs and manufactures connectors and sensors for several industries, such as automotive, industrial equipment, data communication systems, aerospace, defense, medical, oil and gas, consumer electronics and energy.
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