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MS vs. RY: A Head-to-Head Stock Comparison

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Here’s a clear look at MS and RY, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolMSRY
Company NameMorgan StanleyRoyal Bank of Canada
CountryUnited StatesCanada
GICS SectorFinancialsFinancials
GICS IndustryCapital MarketsBanks
Market Capitalization230.06 billion USD193.37 billion USD
ExchangeNYSENYSE
Listing DateFebruary 23, 1993October 16, 1995
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of MS and RY by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

MS vs. RY: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolMSRY
5-Day Price Return-2.96%1.07%
13-Week Price Return10.15%7.50%
26-Week Price Return5.32%11.77%
52-Week Price Return41.64%22.93%
Month-to-Date Return1.17%6.32%
Year-to-Date Return14.64%9.06%
10-Day Avg. Volume4.60M2.86M
3-Month Avg. Volume5.68M4.46M
3-Month Volatility18.37%12.15%
Beta1.340.04

Profitability

Return on Equity (TTM)

MS

13.95%

Capital Markets Industry

Max
38.97%
Q3
21.61%
Median
13.77%
Q1
8.31%
Min
-4.25%

MS’s Return on Equity of 13.95% is on par with the norm for the Capital Markets industry, indicating its profitability relative to shareholder equity is typical for the sector.

RY

14.09%

Banks Industry

Max
26.37%
Q3
15.92%
Median
12.25%
Q1
8.69%
Min
0.15%

RY’s Return on Equity of 14.09% is on par with the norm for the Banks industry, indicating its profitability relative to shareholder equity is typical for the sector.

MS vs. RY: A comparison of their Return on Equity (TTM) against their respective Capital Markets and Banks industry benchmarks.

Net Profit Margin (TTM)

MS

13.06%

Capital Markets Industry

Max
66.67%
Q3
35.11%
Median
23.49%
Q1
13.63%
Min
-15.18%

Falling into the lower quartile for the Capital Markets industry, MS’s Net Profit Margin of 13.06% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

RY

26.26%

Banks Industry

Max
54.20%
Q3
35.70%
Median
28.97%
Q1
22.53%
Min
6.98%

RY’s Net Profit Margin of 26.26% is aligned with the median group of its peers in the Banks industry. This indicates its ability to convert revenue into profit is typical for the sector.

MS vs. RY: A comparison of their Net Profit Margin (TTM) against their respective Capital Markets and Banks industry benchmarks.

Operating Profit Margin (TTM)

MS

17.07%

Capital Markets Industry

Max
86.40%
Q3
46.46%
Median
32.80%
Q1
18.32%
Min
-21.87%

MS’s Operating Profit Margin of 17.07% is in the lower quartile for the Capital Markets industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

RY

34.59%

Banks Industry

Max
63.35%
Q3
44.59%
Median
37.24%
Q1
28.25%
Min
13.37%

RY’s Operating Profit Margin of 34.59% is around the midpoint for the Banks industry, indicating that its efficiency in managing core business operations is typical for the sector.

MS vs. RY: A comparison of their Operating Profit Margin (TTM) against their respective Capital Markets and Banks industry benchmarks.

Profitability at a Glance

SymbolMSRY
Return on Equity (TTM)13.95%14.09%
Return on Assets (TTM)1.15%0.84%
Net Profit Margin (TTM)13.06%26.26%
Operating Profit Margin (TTM)17.07%34.59%
Gross Profit Margin (TTM)54.42%--

Financial Strength

Current Ratio (MRQ)

MS

0.29

Capital Markets Industry

Max
3.76
Q3
1.89
Median
1.01
Q1
0.54
Min
-0.41

For the Capital Markets industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

RY

--

Banks Industry

Max
--
Q3
--
Median
--
Q1
--
Min
--

For the Banks industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

MS vs. RY: A comparison of their Current Ratio (MRQ) against their respective Capital Markets and Banks industry benchmarks.

Debt-to-Equity Ratio (MRQ)

MS

7.68

Capital Markets Industry

Max
6.62
Q3
2.84
Median
1.02
Q1
0.32
Min
0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Capital Markets industry.

RY

2.58

Banks Industry

Max
4.75
Q3
2.62
Median
1.02
Q1
0.39
Min
0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Banks industry.

MS vs. RY: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Capital Markets and Banks industry benchmarks.

Interest Coverage Ratio (TTM)

MS

1.25

Capital Markets Industry

Max
126.03
Q3
60.98
Median
11.77
Q1
4.95
Min
-36.26

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Capital Markets industry.

RY

--

Banks Industry

Max
--
Q3
--
Median
--
Q1
--
Min
--

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Banks industry.

MS vs. RY: A comparison of their Interest Coverage Ratio (TTM) against their respective Capital Markets and Banks industry benchmarks.

Financial Strength at a Glance

SymbolMSRY
Current Ratio (MRQ)0.29--
Quick Ratio (MRQ)0.29--
Debt-to-Equity Ratio (MRQ)7.682.58
Interest Coverage Ratio (TTM)1.25--

Growth

Revenue Growth

MS vs. RY: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

MS vs. RY: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

MS

2.78%

Capital Markets Industry

Max
10.26%
Q3
4.86%
Median
2.78%
Q1
1.22%
Min
0.00%

MS’s Dividend Yield of 2.78% is consistent with its peers in the Capital Markets industry, providing a dividend return that is standard for its sector.

RY

3.17%

Banks Industry

Max
10.27%
Q3
5.83%
Median
3.81%
Q1
2.50%
Min
0.00%

RY’s Dividend Yield of 3.17% is consistent with its peers in the Banks industry, providing a dividend return that is standard for its sector.

MS vs. RY: A comparison of their Dividend Yield (TTM) against their respective Capital Markets and Banks industry benchmarks.

Dividend Payout Ratio (TTM)

MS

43.20%

Capital Markets Industry

Max
200.72%
Q3
101.92%
Median
57.97%
Q1
32.36%
Min
0.00%

MS’s Dividend Payout Ratio of 43.20% is within the typical range for the Capital Markets industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

RY

46.36%

Banks Industry

Max
147.07%
Q3
80.55%
Median
54.40%
Q1
35.71%
Min
0.00%

RY’s Dividend Payout Ratio of 46.36% is within the typical range for the Banks industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

MS vs. RY: A comparison of their Dividend Payout Ratio (TTM) against their respective Capital Markets and Banks industry benchmarks.

Dividend at a Glance

SymbolMSRY
Dividend Yield (TTM)2.78%3.17%
Dividend Payout Ratio (TTM)43.20%46.36%

Valuation

Price-to-Earnings Ratio (TTM)

MS

15.56

Capital Markets Industry

Max
58.89
Q3
31.00
Median
18.54
Q1
12.09
Min
5.24

MS’s P/E Ratio of 15.56 is within the middle range for the Capital Markets industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

RY

14.63

Banks Industry

Max
20.05
Q3
12.65
Median
10.21
Q1
7.54
Min
2.74

A P/E Ratio of 14.63 places RY in the upper quartile for the Banks industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

MS vs. RY: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Capital Markets and Banks industry benchmarks.

Price-to-Sales Ratio (TTM)

MS

2.03

Capital Markets Industry

Max
14.49
Q3
7.41
Median
4.68
Q1
2.25
Min
0.04

In the lower quartile for the Capital Markets industry, MS’s P/S Ratio of 2.03 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.

RY

3.00

Banks Industry

Max
5.06
Q3
2.98
Median
2.24
Q1
1.59
Min
0.45

The P/S Ratio is often not a primary valuation tool in the Banks industry.

MS vs. RY: A comparison of their Price-to-Sales Ratio (TTM) against their respective Capital Markets and Banks industry benchmarks.

Price-to-Book Ratio (MRQ)

MS

2.08

Capital Markets Industry

Max
9.48
Q3
4.94
Median
2.42
Q1
1.21
Min
0.38

MS’s P/B Ratio of 2.08 is within the conventional range for the Capital Markets industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

RY

1.76

Banks Industry

Max
2.18
Q3
1.36
Median
1.09
Q1
0.81
Min
0.20

RY’s P/B Ratio of 1.76 is in the upper tier for the Banks industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

MS vs. RY: A comparison of their Price-to-Book Ratio (MRQ) against their respective Capital Markets and Banks industry benchmarks.

Valuation at a Glance

SymbolMSRY
Price-to-Earnings Ratio (TTM)15.5614.63
Price-to-Sales Ratio (TTM)2.033.00
Price-to-Book Ratio (MRQ)2.081.76
Price-to-Free Cash Flow Ratio (TTM)10.443.38