Royal Bank of Canada (RY)vsTenet Healthcare Corporation (THC)
RY
Royal Bank of Canada
$162.50
+0.24%
FINANCIAL SERVICES · Cap: $225.89B
THC
Tenet Healthcare Corporation
$200.04
+0.21%
HEALTHCARE · Cap: $17.58B
Smart Verdict
WallStSmart Research — data-driven comparison
Royal Bank of Canada generates 198% more annual revenue ($63.42B vs $21.31B). RY leads profitability with a 33.1% profit margin vs 6.6%. RY appears more attractively valued with a PEG of 2.41. RY earns a higher WallStSmart Score of 68/100 (B-).
RY
Strong Buy68
out of 100
Grade: B-
THC
Strong Buy66
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
+68.8%
Fair Value
$724.93
Current Price
$200.04
$524.89 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
Every $100 of equity generates 27 in profit
Attractively priced relative to earnings
Earnings expanding 27.6% YoY
Areas to Watch
Expensive relative to growth rate
Distress zone — elevated risk
6.6% margin — thin
Expensive relative to growth rate
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 : THC
The strongest argument for THC centers on Return on Equity, P/E Ratio, EPS Growth.
Bear Case : RY
The primary concerns for RY are PEG Ratio.
Bear Case : THC
The primary concerns for THC are Altman Z-Score, Profit Margin, PEG Ratio.
Key Dynamics to Monitor
RY profiles as a mature stock while THC is a value play — different risk/reward profiles.
THC carries more volatility with a beta of 1.41 — expect wider price swings.
THC is growing revenue faster at 8.9% — 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 66/100), backed by strong 33.1% margins. THC offers better value entry with a 68.8% 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.
Tenet Healthcare Corporation
HEALTHCARE · MEDICAL CARE FACILITIES · USA
Tenet Healthcare Corporation is a diversified health services company. The company is headquartered in Dallas, Texas.
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