RY vs. BAC, HSBC, HDB, MUFG, C, UBS, IBN, TD, SMFG, and SAN
Should you be buying Royal Bank of Canada stock or one of its competitors? The main competitors of Royal Bank of Canada include Bank of America (BAC), HSBC (HSBC), HDFC Bank (HDB), Mitsubishi UFJ Financial Group (MUFG), Citigroup (C), UBS Group (UBS), ICICI Bank (IBN), Toronto-Dominion Bank (TD), Sumitomo Mitsui Financial Group (SMFG), and Banco Santander (SAN). These companies are all part of the "banking" industry.
Royal Bank of Canada vs.
Bank of America (NYSE:BAC) and Royal Bank of Canada (NYSE:RY) are both large-cap finance companies, but which is the superior business? We will compare the two companies based on the strength of their media sentiment, earnings, institutional ownership, profitability, community ranking, valuation, analyst recommendations, risk and dividends.
Bank of America has a net margin of 12.48% compared to Royal Bank of Canada's net margin of 12.08%. Royal Bank of Canada's return on equity of 15.26% beat Bank of America's return on equity.
Bank of America presently has a consensus target price of $48.58, indicating a potential upside of 4.36%. Royal Bank of Canada has a consensus target price of $156.50, indicating a potential upside of 29.92%. Given Royal Bank of Canada's stronger consensus rating and higher possible upside, analysts clearly believe Royal Bank of Canada is more favorable than Bank of America.
70.7% of Bank of America shares are owned by institutional investors. Comparatively, 45.3% of Royal Bank of Canada shares are owned by institutional investors. 0.3% of Bank of America shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.
Bank of America has a beta of 1.33, indicating that its stock price is 33% more volatile than the S&P 500. Comparatively, Royal Bank of Canada has a beta of 0.87, indicating that its stock price is 13% less volatile than the S&P 500.
In the previous week, Bank of America had 115 more articles in the media than Royal Bank of Canada. MarketBeat recorded 141 mentions for Bank of America and 26 mentions for Royal Bank of Canada. Bank of America's average media sentiment score of 0.76 beat Royal Bank of Canada's score of 0.75 indicating that Bank of America is being referred to more favorably in the media.
Bank of America received 1272 more outperform votes than Royal Bank of Canada when rated by MarketBeat users. Likewise, 65.16% of users gave Bank of America an outperform vote while only 54.93% of users gave Royal Bank of Canada an outperform vote.
Bank of America has higher revenue and earnings than Royal Bank of Canada. Royal Bank of Canada is trading at a lower price-to-earnings ratio than Bank of America, indicating that it is currently the more affordable of the two stocks.
Bank of America pays an annual dividend of $1.04 per share and has a dividend yield of 2.2%. Royal Bank of Canada pays an annual dividend of $4.20 per share and has a dividend yield of 3.5%. Bank of America pays out 37.8% of its earnings in the form of a dividend. Royal Bank of Canada pays out 50.8% 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. Bank of America has raised its dividend for 11 consecutive years and Royal Bank of Canada has raised its dividend for 15 consecutive years. Royal Bank of Canada is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.
Summary
Bank of America beats Royal Bank of Canada on 15 of the 22 factors compared between the two stocks.
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New MarketBeat Followers Over Time
This chart shows the number of new MarketBeat users adding {thisCompany.Symbol} and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
Media Sentiment Over Time
This chart shows the average media sentiment of NYSE and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
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This page (NYSE:RY) was last updated on 1/20/2025 by MarketBeat.com Staff
