Gerdau SA ADR (GGB)vsVale SA ADR (VALE)
GGB
Gerdau SA ADR
$4.38
-0.23%
BASIC MATERIALS · Cap: $8.85B
VALE
Vale SA ADR
$11.59
+1.22%
BASIC MATERIALS · Cap: $49.32B
Smart Verdict
WallStSmart Research — data-driven comparison
Vale SA ADR generates 207% more annual revenue ($215.83B vs $70.25B). GGB leads profitability with a 3.9% profit margin vs 1.0%. VALE appears more attractively valued with a PEG of 0.27. GGB earns a higher WallStSmart Score of 58/100 (C).
GGB
Buy58
out of 100
Grade: C
VALE
Buy51
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+76.5%
Fair Value
$18.48
Current Price
$4.38
$14.10 discount
Margin of Safety
+76.1%
Fair Value
$72.79
Current Price
$11.59
$61.20 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Conservative balance sheet, low leverage
Attractively priced relative to earnings
Earnings expanding 46.1% YoY
Growing faster than its price suggests
Reasonable price relative to book value
Generating 1.1B in free cash flow
Areas to Watch
3.9% revenue growth
ROE of 3.1% — below average capital efficiency
3.9% margin — thin
Weak financial health signals
ROE of 1.6% — below average capital efficiency
1.0% margin — thin
Weak financial health signals
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : GGB
The strongest argument for GGB centers on Price/Book, Debt/Equity, P/E Ratio.
Bull Case : VALE
The strongest argument for VALE centers on PEG Ratio, Price/Book, Free Cash Flow. PEG of 0.27 suggests the stock is reasonably priced for its growth.
Bear Case : GGB
The primary concerns for GGB are Revenue Growth, Return on Equity, Profit Margin. Thin 3.9% margins leave little buffer for downturns.
Bear Case : VALE
The primary concerns for VALE are Return on Equity, Profit Margin, Piotroski F-Score. A P/E of 72.4x leaves little room for execution misses. Thin 1.0% margins leave little buffer for downturns.
Key Dynamics to Monitor
GGB carries more volatility with a beta of 0.89 — expect wider price swings.
GGB is growing revenue faster at 3.9% — sustainability is the question.
VALE generates stronger free cash flow (1.1B), providing more financial flexibility.
Monitor STEEL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
GGB scores higher overall (58/100 vs 51/100). VALE offers better value entry with a 76.1% margin of safety. Both earn "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 is a leading Brazilian steel manufacturer and a key player in the long steel sector across the Americas, represented by its American Depositary Receipts (ADRs). The company offers an extensive range of steel products catering to essential industries, including construction, automotive, and manufacturing, with a strong emphasis on innovation and sustainability. Leveraging advanced technologies, Gerdau is committed to enhancing operational efficiency while minimizing its environmental footprint. With a resilient operational structure and a focus on high-quality standards, Gerdau is well-positioned to seize growth opportunities in the evolving global steel industry.
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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