WallStSmart

Gerdau SA ADR (GGB)vsSteel Dynamics Inc (STLD)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Gerdau SA ADR generates 284% more annual revenue ($69.86B vs $18.18B). STLD leads profitability with a 6.5% profit margin vs 2.0%. STLD appears more attractively valued with a PEG of 10.91. STLD earns a higher WallStSmart Score of 61/100 (C+).

GGB

Hold

42

out of 100

Grade: D

Growth: 4.7Profit: 5.0Value: 4.7Quality: 7.5
Piotroski: 3/9Altman Z: 2.93

STLD

Buy

61

out of 100

Grade: C+

Growth: 6.0Profit: 5.5Value: 7.3Quality: 8.5
Piotroski: 3/9Altman Z: 3.80
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

GGBSignificantly Overvalued (-394.3%)

Margin of Safety

-394.3%

Fair Value

$0.88

Current Price

$3.26

$2.38 premium

UndervaluedFair: $0.88Overvalued
STLDUndervalued (+44.9%)

Margin of Safety

+44.9%

Fair Value

$373.46

Current Price

$163.95

$209.51 discount

UndervaluedFair: $373.46Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GGB3 strengths · Avg: 9.3/10
Price/BookValuation
0.6x10/10

Reasonable price relative to book value

Revenue GrowthGrowth
90.0%10/10

Revenue surging 90.0% year-over-year

Free Cash FlowQuality
$1.68B8/10

Generating 1.7B in free cash flow

STLD3 strengths · Avg: 8.7/10
Altman Z-ScoreHealth
3.8010/10

Safe zone — low bankruptcy risk

Price/BookValuation
2.7x8/10

Reasonable price relative to book value

EPS GrowthGrowth
34.7%8/10

Earnings expanding 34.7% YoY

Areas to Watch

GGB4 concerns · Avg: 3.3/10
P/E RatioValuation
25.1x4/10

Moderate valuation

Return on EquityProfitability
2.5%3/10

ROE of 2.5% — below average capital efficiency

Profit MarginProfitability
2.0%3/10

2.0% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

STLD3 concerns · Avg: 2.7/10
Profit MarginProfitability
6.5%3/10

6.5% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
10.912/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : GGB

The strongest argument for GGB centers on Price/Book, Revenue Growth, Free Cash Flow. Revenue growth of 90.0% demonstrates continued momentum.

Bull Case : STLD

The strongest argument for STLD centers on Altman Z-Score, Price/Book, EPS Growth. Revenue growth of 14.0% demonstrates continued momentum.

Bear Case : GGB

The primary concerns for GGB are P/E Ratio, Return on Equity, Profit Margin. Thin 2.0% margins leave little buffer for downturns.

Bear Case : STLD

The primary concerns for STLD are Profit Margin, Piotroski F-Score, PEG Ratio.

Key Dynamics to Monitor

GGB profiles as a hypergrowth stock while STLD is a value play — different risk/reward profiles.

STLD carries more volatility with a beta of 1.40 — expect wider price swings.

GGB is growing revenue faster at 90.0% — sustainability is the question.

GGB generates stronger free cash flow (1.7B), providing more financial flexibility.

Bottom Line

STLD scores higher overall (61/100 vs 42/100) and 14.0% revenue growth. 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.

Gerdau SA ADR

BASIC MATERIALS · STEEL · USA

Gerdau SA is a leading Brazilian steel manufacturer and a prominent player in the Americas’ long steel segment, notably recognized through its American Depositary Receipts (ADRs). The company excels in producing a diverse range of steel products, serving critical industries such as construction, automotive, and manufacturing. Gerdau is committed to innovation and sustainability, employing advanced technologies to optimize operations and reduce environmental impact. With its robust operational network and focus on quality, Gerdau is strategically positioned to capitalize on emerging growth opportunities within the global steel industry.

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Steel Dynamics Inc

BASIC MATERIALS · STEEL · USA

Steel Dynamics, Inc., is a steel producer and metal recycler in the United States.

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