Itaú Unibanco (ITUB) Competitors

Itaú Unibanco (NYSE:ITUB) and Royal Bank of Canada (NYSE:RY) are both large-cap finance companies, but which is the superior business? We will contrast the two companies based on the strength of their community ranking, valuation, analyst recommendations, risk, media sentiment, profitability, earnings, institutional ownership and dividends.

Which has stronger valuation & earnings, ITUB or RY?

Royal Bank of Canada has lower revenue, but higher earnings than Itaú Unibanco. Itaú Unibanco is trading at a lower price-to-earnings ratio than Royal Bank of Canada, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Itaú Unibanco	$156.52B	0.32	$6.63B	$0.78	6.50
Royal Bank of Canada	$57.49B	2.97	$11.92B	$8.26	14.62

Which has more volatility & risk, ITUB or RY?

Itaú Unibanco has a beta of 0.95, meaning that its stock price is 5% less volatile than the S&P 500. Comparatively, Royal Bank of Canada has a beta of 0.86, meaning that its stock price is 14% less volatile than the S&P 500.

Is ITUB or RY more profitable?

Itaú Unibanco has a net margin of 12.33% compared to Royal Bank of Canada's net margin of 12.08%. Itaú Unibanco's return on equity of 19.72% beat Royal Bank of Canada's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Itaú Unibanco	12.33%	19.72%	1.49%
Royal Bank of Canada	12.08%	15.26%	0.84%

Do analysts prefer ITUB or RY?

Itaú Unibanco presently has a consensus price target of $7.50, indicating a potential upside of 47.93%. Royal Bank of Canada has a consensus price target of $156.50, indicating a potential upside of 29.64%. Given Itaú Unibanco's higher possible upside, equities research analysts clearly believe Itaú Unibanco is more favorable than Royal Bank of Canada.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Itaú Unibanco	0 Sell rating(s)	2 Hold rating(s)	3 Buy rating(s)	0 Strong Buy rating(s)	2.60
Royal Bank of Canada	0 Sell rating(s)	1 Hold rating(s)	5 Buy rating(s)	1 Strong Buy rating(s)	3.00

Does the media prefer ITUB or RY?

In the previous week, Royal Bank of Canada had 38 more articles in the media than Itaú Unibanco. MarketBeat recorded 43 mentions for Royal Bank of Canada and 5 mentions for Itaú Unibanco. Itaú Unibanco's average media sentiment score of 1.07 beat Royal Bank of Canada's score of 0.51 indicating that Itaú Unibanco is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Itaú Unibanco	4 Very Positive mention(s)	0 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	1 Very Negative mention(s)	Positive
Royal Bank of Canada	9 Very Positive mention(s)	8 Positive mention(s)	24 Neutral mention(s)	2 Negative mention(s)	0 Very Negative mention(s)	Positive

Do institutionals & insiders have more ownership in ITUB or RY?

45.3% of Royal Bank of Canada shares are owned by institutional investors. 0.6% of Itaú Unibanco shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Does the MarketBeat Community believe in ITUB or RY?

Royal Bank of Canada received 330 more outperform votes than Itaú Unibanco when rated by MarketBeat users. However, 65.65% of users gave Itaú Unibanco an outperform vote while only 55.26% of users gave Royal Bank of Canada an outperform vote.

Company	Underperform	Outperform
Itaú Unibanco	Outperform Votes 432 65.65%	Underperform Votes 226 34.35%
Royal Bank of Canada	Outperform Votes 762 55.26%	Underperform Votes 617 44.74%

Is ITUB or RY a better dividend stock?

Itaú Unibanco pays an annual dividend of $0.36 per share and has a dividend yield of 7.1%. Royal Bank of Canada pays an annual dividend of $4.37 per share and has a dividend yield of 3.6%. Itaú Unibanco pays out 46.2% of its earnings in the form of a dividend. Royal Bank of Canada pays out 52.9% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Itaú Unibanco is clearly the better dividend stock, given its higher yield and lower payout ratio.

Summary

Itaú Unibanco beats Royal Bank of Canada on 11 of the 21 factors compared between the two stocks.