WallStSmart

Royal Bank of Canada (RY)vsTradeweb Markets Inc (TW)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Royal Bank of Canada generates 2946% more annual revenue ($67.15B vs $2.20B). TW leads profitability with a 40.7% profit margin vs 33.9%. TW appears more attractively valued with a PEG of 1.71. TW earns a higher WallStSmart Score of 63/100 (C+).

RY

Buy

63

out of 100

Grade: C+

Growth: 7.3Profit: 8.0Value: 5.0Quality: 5.0
Piotroski: 4/9Altman Z: -0.50

TW

Buy

63

out of 100

Grade: C+

Growth: 7.3Profit: 8.5Value: 5.0Quality: 9.5
Piotroski: 6/9Altman Z: 5.58

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

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

TW4 strengths · Avg: 10.0/10
Profit MarginProfitability
40.7%10/10

Keeps 41 of every $100 in revenue as profit

Operating MarginProfitability
43.8%10/10

Strong operational efficiency at 43.8%

Debt/EquityHealth
0.0210/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
5.5810/10

Safe zone — low bankruptcy risk

Areas to Watch

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

TW2 concerns · Avg: 4.0/10
PEG RatioValuation
1.714/10

Expensive relative to growth rate

P/E RatioValuation
25.4x4/10

Moderate valuation

Comparative Analysis Report

WallStSmart Research

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%.

Bull Case : TW

The strongest argument for TW centers on Profit Margin, Operating Margin, Debt/Equity. Profitability is solid with margins at 40.7% and operating margin at 43.8%.

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.

Bear Case : TW

The primary concerns for TW are PEG Ratio, P/E Ratio.

Key Dynamics to Monitor

RY carries more volatility with a beta of 0.92 — expect wider price swings.

TW is growing revenue faster at 9.0% — sustainability is the question.

TW generates stronger free cash flow (328M), providing more financial flexibility.

Monitor BANKS - DIVERSIFIED industry trends, competitive dynamics, and regulatory changes.

Bottom Line

RY scores higher overall (63/100 vs 63/100), backed by strong 33.9% margins. Both earn "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.

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.

Tradeweb Markets Inc

FINANCIAL SERVICES · CAPITAL MARKETS · USA

Tradeweb Markets Inc. creates and operates electronic marketplaces in the Americas, Europe, the Middle East, Africa, Asia Pacific and internationally.

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