Gerdau SA ADR (GGB)vsVale SA ADR (VALE)
GGB
Gerdau SA ADR
$4.59
-2.55%
BASIC MATERIALS · Cap: $9.35B
VALE
Vale SA ADR
$15.71
-3.42%
BASIC MATERIALS · Cap: $65.65B
Smart Verdict
WallStSmart Research — data-driven comparison
Vale SA ADR generates 211% more annual revenue ($214.86B vs $69.20B). VALE leads profitability with a 7.3% profit margin vs 2.4%. VALE appears more attractively valued with a PEG of 0.32. VALE earns a higher WallStSmart Score of 67/100 (B-).
GGB
Buy52
out of 100
Grade: C-
VALE
Strong Buy67
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+76.5%
Fair Value
$18.53
Current Price
$4.59
$13.94 discount
Margin of Safety
+77.0%
Fair Value
$75.47
Current Price
$15.71
$59.76 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Conservative balance sheet, low leverage
Earnings expanding 37.9% YoY
Growing faster than its price suggests
Large-cap with strong market position
Reasonable price relative to book value
Strong operational efficiency at 28.1%
Earnings expanding 22.0% YoY
Areas to Watch
Moderate valuation
ROE of 3.1% — below average capital efficiency
2.4% margin — thin
Weak financial health signals
2.7% revenue growth
ROE of 7.6% — below average capital efficiency
7.3% margin — thin
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : GGB
The strongest argument for GGB centers on Price/Book, Debt/Equity, EPS Growth.
Bull Case : VALE
The strongest argument for VALE centers on PEG Ratio, Market Cap, Price/Book. PEG of 0.32 suggests the stock is reasonably priced for its growth.
Bear Case : GGB
The primary concerns for GGB are P/E Ratio, Return on Equity, Profit Margin. Thin 2.4% margins leave little buffer for downturns.
Bear Case : VALE
The primary concerns for VALE are Revenue Growth, Return on Equity, Profit Margin.
Key Dynamics to Monitor
GGB carries more volatility with a beta of 0.90 — expect wider price swings.
VALE is growing revenue faster at 2.7% — sustainability is the question.
VALE generates stronger free cash flow (700M), providing more financial flexibility.
Monitor STEEL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
VALE scores higher overall (67/100 vs 52/100). GGB offers better value entry with a 76.5% 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.
Gerdau SA ADR
BASIC MATERIALS · STEEL · USA
Gerdau SA, a leading Brazilian steel producer, is a key player in the long steel segment across the Americas, prominently represented through its American Depositary Receipts (ADRs). The company offers a diverse portfolio of steel products tailored for crucial sectors including construction, automotive, and manufacturing. Gerdau places a strong emphasis on innovation and sustainability, leveraging advanced technologies to enhance operational efficiency while minimizing its environmental footprint. With a well-established operational network and a commitment to quality, Gerdau is strategically positioned to seize emerging growth opportunities in the evolving global steel market.
Visit Website →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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