WallStSmart

DRDGOLD Limited ADR (DRD)vsVale SA ADR (VALE)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Vale SA ADR generates 2254% more annual revenue ($214.86B vs $9.13B). DRD leads profitability with a 35.1% profit margin vs 7.3%. VALE appears more attractively valued with a PEG of 0.34. DRD earns a higher WallStSmart Score of 82/100 (A-).

DRD

Exceptional Buy

82

out of 100

Grade: A-

Growth: 9.3Profit: 10.0Value: 8.7Quality: 9.0
Piotroski: 4/9Altman Z: 3.45

VALE

Strong Buy

67

out of 100

Grade: B-

Growth: 4.7Profit: 6.5Value: 8.7Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DRDUndervalued (+56.1%)

Margin of Safety

+56.1%

Fair Value

$82.78

Current Price

$26.70

$56.08 discount

UndervaluedFair: $82.78Overvalued
VALEUndervalued (+81.5%)

Margin of Safety

+81.5%

Fair Value

$94.06

Current Price

$16.36

$77.70 discount

UndervaluedFair: $94.06Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DRD6 strengths · Avg: 10.0/10
Return on EquityProfitability
34.7%10/10

Every $100 of equity generates 35 in profit

Profit MarginProfitability
35.1%10/10

Keeps 35 of every $100 in revenue as profit

Operating MarginProfitability
46.3%10/10

Strong operational efficiency at 46.3%

Revenue GrowthGrowth
32.9%10/10

Revenue surging 32.9% year-over-year

EPS GrowthGrowth
97.9%10/10

Earnings expanding 97.9% YoY

Debt/EquityHealth
0.0010/10

Conservative balance sheet, low leverage

VALE5 strengths · Avg: 8.6/10
PEG RatioValuation
0.3410/10

Growing faster than its price suggests

Market CapQuality
$71.41B9/10

Large-cap with strong market position

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

Operating MarginProfitability
28.1%8/10

Strong operational efficiency at 28.1%

EPS GrowthGrowth
22.0%8/10

Earnings expanding 22.0% YoY

Areas to Watch

DRD0 concerns · Avg: 0/10

No major concerns identified

VALE3 concerns · Avg: 3.3/10
Revenue GrowthGrowth
2.7%4/10

2.7% revenue growth

Return on EquityProfitability
6.8%3/10

ROE of 6.8% — below average capital efficiency

Profit MarginProfitability
7.3%3/10

7.3% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : DRD

The strongest argument for DRD centers on Return on Equity, Profit Margin, Operating Margin. Profitability is solid with margins at 35.1% and operating margin at 46.3%. Revenue growth of 32.9% demonstrates continued momentum.

Bull Case : VALE

The strongest argument for VALE centers on PEG Ratio, Market Cap, Price/Book. PEG of 0.34 suggests the stock is reasonably priced for its growth.

Bear Case : DRD

No major red flags identified for DRD, but monitor valuation.

Bear Case : VALE

The primary concerns for VALE are Revenue Growth, Return on Equity, Profit Margin.

Key Dynamics to Monitor

DRD profiles as a growth stock while VALE is a value play — different risk/reward profiles.

VALE carries more volatility with a beta of 0.89 — expect wider price swings.

DRD is growing revenue faster at 32.9% — sustainability is the question.

VALE generates stronger free cash flow (723M), providing more financial flexibility.

Bottom Line

DRD scores higher overall (82/100 vs 67/100), backed by strong 35.1% margins and 32.9% revenue growth. VALE offers better value entry with a 81.5% margin of safety. Both earn "Exceptional Buy" and "Strong 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.

DRDGOLD Limited ADR

BASIC MATERIALS · GOLD · USA

DRDGOLD Limited, a gold mining company, is engaged in the surface gold tailings retreatment business in South Africa. The company is headquartered in Johannesburg, South Africa.

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Vale SA ADR

BASIC MATERIALS · OTHER INDUSTRIAL METALS & MINING · USA

Vale SA produces and sells iron ore and iron ore pellets for use as raw material in steelmaking in Brazil and internationally. The company is headquartered in Rio de Janeiro, Brazil.

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