Royal Bank of Canada (RY)vsWhite Mountains Insurance Group Ltd (WTM)
RY
Royal Bank of Canada
$205.90
-0.04%
FINANCIAL SERVICES · Cap: $291.55B
WTM
White Mountains Insurance Group Ltd
$2,053.15
-1.08%
FINANCIAL SERVICES · Cap: $4.89B
Smart Verdict
WallStSmart Research — data-driven comparison
Royal Bank of Canada generates 2154% more annual revenue ($67.15B vs $2.98B). WTM leads profitability with a 37.7% profit margin vs 33.9%. WTM appears more attractively valued with a PEG of 0.81. WTM earns a higher WallStSmart Score of 92/100 (A+).
RY
Buy63
out of 100
Grade: C+
WTM
Exceptional Buy92
out of 100
Grade: A+
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Keeps 34 of every $100 in revenue as profit
Strong operational efficiency at 46.4%
Reasonable price relative to book value
Attractively priced relative to earnings
Reasonable price relative to book value
Keeps 38 of every $100 in revenue as profit
Strong operational efficiency at 36.4%
Earnings expanding 68.8% YoY
Conservative balance sheet, low leverage
Areas to Watch
Expensive relative to growth rate
Negative free cash flow — burning cash
Distress zone — elevated risk
Elevated debt levels
Grey zone — moderate risk
Weak financial health signals
Negative free cash flow — burning cash
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 33.9% and operating margin at 46.4%.
Bull Case : WTM
The strongest argument for WTM centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 37.7% and operating margin at 36.4%. Revenue growth of 22.5% demonstrates continued momentum.
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 : WTM
The primary concerns for WTM are Altman Z-Score, Piotroski F-Score, Free Cash Flow.
Key Dynamics to Monitor
RY profiles as a mature stock while WTM is a growth play — different risk/reward profiles.
RY carries more volatility with a beta of 0.92 — expect wider price swings.
WTM is growing revenue faster at 22.5% — sustainability is the question.
WTM generates stronger free cash flow (-25M), providing more financial flexibility.
Bottom Line
WTM scores higher overall (92/100 vs 63/100), backed by strong 37.7% margins and 22.5% revenue growth. Both earn "Exceptional 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.
White Mountains Insurance Group Ltd
FINANCIAL SERVICES · INSURANCE - PROPERTY & CASUALTY · USA
White Mountains Insurance Group, Ltd., provides insurance services in the United States. The company is headquartered in Hamilton, Bermuda.
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