WallStSmart

Constellium Nv (CSTM)vsRio Tinto ADR (RIO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Rio Tinto ADR generates 545% more annual revenue ($57.64B vs $8.93B). RIO leads profitability with a 17.3% profit margin vs 4.9%. CSTM appears more attractively valued with a PEG of 0.40. CSTM earns a higher WallStSmart Score of 72/100 (B).

CSTM

Strong Buy

72

out of 100

Grade: B

Growth: 7.3Profit: 6.5Value: 7.3Quality: 5.5
Piotroski: 5/9Altman Z: 2.24

RIO

Buy

54

out of 100

Grade: C-

Growth: 4.0Profit: 8.5Value: 6.0Quality: 5.5
Piotroski: 1/9Altman Z: 2.08
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CSTMSignificantly Overvalued (-16.1%)

Margin of Safety

-16.1%

Fair Value

$21.27

Current Price

$33.27

$12.00 premium

UndervaluedFair: $21.27Overvalued
RIOUndervalued (+24.5%)

Margin of Safety

+24.5%

Fair Value

$129.94

Current Price

$100.69

$29.25 discount

UndervaluedFair: $129.94Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CSTM5 strengths · Avg: 9.6/10
PEG RatioValuation
0.4010/10

Growing faster than its price suggests

P/E RatioValuation
11.4x10/10

Attractively priced relative to earnings

Return on EquityProfitability
45.7%10/10

Every $100 of equity generates 46 in profit

EPS GrowthGrowth
446.9%10/10

Earnings expanding 446.9% YoY

Revenue GrowthGrowth
24.4%8/10

Revenue surging 24.4% year-over-year

RIO6 strengths · Avg: 8.5/10
Return on EquityProfitability
34.5%10/10

Every $100 of equity generates 35 in profit

Market CapQuality
$168.54B9/10

Large-cap with strong market position

P/E RatioValuation
17.1x8/10

Attractively priced relative to earnings

Price/BookValuation
2.6x8/10

Reasonable price relative to book value

Operating MarginProfitability
25.3%8/10

Strong operational efficiency at 25.3%

Free Cash FlowQuality
$2.53B8/10

Generating 2.5B in free cash flow

Areas to Watch

CSTM2 concerns · Avg: 3.0/10
Profit MarginProfitability
4.9%3/10

4.9% margin — thin

Debt/EquityHealth
1.763/10

Elevated debt levels

RIO3 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

PEG RatioValuation
5.692/10

Expensive relative to growth rate

EPS GrowthGrowth
-5.6%2/10

Earnings declined 5.6%

Comparative Analysis Report

WallStSmart Research

Bull Case : CSTM

The strongest argument for CSTM centers on PEG Ratio, P/E Ratio, Return on Equity. Revenue growth of 24.4% demonstrates continued momentum. PEG of 0.40 suggests the stock is reasonably priced for its growth.

Bull Case : RIO

The strongest argument for RIO centers on Return on Equity, Market Cap, P/E Ratio. Profitability is solid with margins at 17.3% and operating margin at 25.3%. Revenue growth of 14.6% demonstrates continued momentum.

Bear Case : CSTM

The primary concerns for CSTM are Profit Margin, Debt/Equity. Debt-to-equity of 1.76 is elevated, increasing financial risk. Thin 4.9% margins leave little buffer for downturns.

Bear Case : RIO

The primary concerns for RIO are Piotroski F-Score, PEG Ratio, EPS Growth.

Key Dynamics to Monitor

CSTM profiles as a growth stock while RIO is a mature play — different risk/reward profiles.

CSTM carries more volatility with a beta of 1.54 — expect wider price swings.

CSTM is growing revenue faster at 24.4% — sustainability is the question.

RIO generates stronger free cash flow (2.5B), providing more financial flexibility.

Bottom Line

CSTM scores higher overall (72/100 vs 54/100) and 24.4% revenue growth. RIO offers better value entry with a 24.5% margin of safety. Both earn "Strong 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.

Constellium Nv

BASIC MATERIALS · ALUMINUM · USA

Constellium NV (CSTM) is a prominent global provider of aluminum semi-fabrication solutions, dedicated to delivering high-value products across the aerospace, automotive, and packaging sectors. Renowned for its commitment to innovation and sustainability, the company leverages advanced technologies to improve product performance while prioritizing environmental responsibility through extensive recycling programs. With strong manufacturing capabilities and strategic partnerships, Constellium is strategically positioned to seize growth opportunities in the lightweight materials market, aligning with the industry's transition towards more sustainable practices. Its ongoing investment in research and development further solidifies Constellium's status as a leader in providing innovative, eco-friendly materials essential for a sustainable future.

Rio Tinto ADR

BASIC MATERIALS · OTHER INDUSTRIAL METALS & MINING · USA

Rio Tinto Group is dedicated to the exploration, extraction and processing of mineral resources worldwide. The company is headquartered in London, the United Kingdom.

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