WallStSmart

Royal Bank of Canada (RY)vsWaton Financial Limited Ordinary Shares (WTF)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Royal Bank of Canada generates 660809% more annual revenue ($67.15B vs $10.16M). RY leads profitability with a 33.9% profit margin vs -149.1%. RY 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

WTF

Avoid

13

out of 100

Grade: F

Growth: 6.0Profit: 2.0Value: 5.0Quality: 5.5
Piotroski: 3/9Altman Z: -0.49

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

WTF1 strengths · Avg: 9.0/10
Debt/EquityHealth
0.129/10

Conservative balance sheet, low leverage

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

WTF4 concerns · Avg: 3.5/10
Revenue GrowthGrowth
2.9%4/10

2.9% revenue growth

EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Market CapQuality
$131.69M3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

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 : WTF

The strongest argument for WTF centers on Debt/Equity.

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 : WTF

The primary concerns for WTF are Revenue Growth, EPS Growth, Market Cap.

Key Dynamics to Monitor

RY profiles as a mature stock while WTF is a turnaround play — different risk/reward profiles.

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

WTF generates stronger free cash flow (-7M), providing more financial flexibility.

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

Bottom Line

RY scores higher overall (63/100 vs 13/100), backed by strong 33.9% margins. Both earn "Buy" and "Avoid" 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.

Waton Financial Limited Ordinary Shares

FINANCIAL SERVICES · CAPITAL MARKETS · USA

Waton Financial Limited provides securities brokerage and financial technology services.

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