WallStSmart

BHP Group Limited (BHP)vsSylvamo Corp (SLVM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

BHP Group Limited generates 1511% more annual revenue ($53.99B vs $3.35B). BHP leads profitability with a 19.0% profit margin vs 3.9%. SLVM trades at a lower P/E of 13.4x. BHP earns a higher WallStSmart Score of 65/100 (C+).

BHP

Buy

65

out of 100

Grade: C+

Growth: 5.3Profit: 8.5Value: 3.3Quality: 5.0

SLVM

Hold

43

out of 100

Grade: D

Growth: 2.0Profit: 5.5Value: 7.7Quality: 6.3
Piotroski: 3/9Altman Z: 3.37
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BHPSignificantly Overvalued (-84.5%)

Margin of Safety

-84.5%

Fair Value

$43.18

Current Price

$79.30

$36.12 premium

UndervaluedFair: $43.18Overvalued
SLVMUndervalued (+61.0%)

Margin of Safety

+61.0%

Fair Value

$133.36

Current Price

$42.73

$90.63 discount

UndervaluedFair: $133.36Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BHP5 strengths · Avg: 9.0/10
Market CapQuality
$201.45B10/10

Mega-cap, among the largest globally

Operating MarginProfitability
40.7%10/10

Strong operational efficiency at 40.7%

Return on EquityProfitability
24.7%9/10

Every $100 of equity generates 25 in profit

EPS GrowthGrowth
27.5%8/10

Earnings expanding 27.5% YoY

Free Cash FlowQuality
$4.31B8/10

Generating 4.3B in free cash flow

SLVM3 strengths · Avg: 8.7/10
Altman Z-ScoreHealth
3.3710/10

Safe zone — low bankruptcy risk

P/E RatioValuation
13.4x8/10

Attractively priced relative to earnings

Price/BookValuation
1.7x8/10

Reasonable price relative to book value

Areas to Watch

BHP1 concerns · Avg: 2.0/10
PEG RatioValuation
5.952/10

Expensive relative to growth rate

SLVM4 concerns · Avg: 2.8/10
Market CapQuality
$1.73B3/10

Smaller company, higher risk/reward

Profit MarginProfitability
3.9%3/10

3.9% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Revenue GrowthGrowth
-8.2%2/10

Revenue declined 8.2%

Comparative Analysis Report

WallStSmart Research

Bull Case : BHP

The strongest argument for BHP centers on Market Cap, Operating Margin, Return on Equity. Profitability is solid with margins at 19.0% and operating margin at 40.7%. Revenue growth of 10.8% demonstrates continued momentum.

Bull Case : SLVM

The strongest argument for SLVM centers on Altman Z-Score, P/E Ratio, Price/Book.

Bear Case : BHP

The primary concerns for BHP are PEG Ratio.

Bear Case : SLVM

The primary concerns for SLVM are Market Cap, Profit Margin, Piotroski F-Score. Thin 3.9% margins leave little buffer for downturns.

Key Dynamics to Monitor

BHP profiles as a mature stock while SLVM is a value play — different risk/reward profiles.

SLVM carries more volatility with a beta of 0.87 — expect wider price swings.

BHP is growing revenue faster at 10.8% — sustainability is the question.

BHP generates stronger free cash flow (4.3B), providing more financial flexibility.

Bottom Line

BHP scores higher overall (65/100 vs 43/100), backed by strong 19.0% margins and 10.8% revenue growth. SLVM offers better value entry with a 61.0% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

BHP Group Limited

BASIC MATERIALS · OTHER INDUSTRIAL METALS & MINING · USA

BHP Group engages in the natural resources business in Australia, Europe, China, Japan, India, South Korea, the rest of Asia, North America, South America and internationally. The company is headquartered in Melbourne, Australia.

Sylvamo Corp

BASIC MATERIALS · PAPER & PAPER PRODUCTS · USA

Sylvamo Corp (SLVM) is a prominent global supplier of sustainable paper products, headquartered in Memphis, Tennessee. Specializing in high-quality printing and writing papers, the company is dedicated to innovation and minimizing its ecological footprint, aligning with global sustainability trends. With a strong operational framework and a focus on efficiency, Sylvamo is strategically positioned to leverage growth opportunities within the paper industry. Its robust financial health further supports long-term value creation, enhancing its competitive standing in a rapidly changing market landscape.

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