WallStSmart

Harmony Gold Mining Company Limited (HMY)vsRio Tinto ADR (RIO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Harmony Gold Mining Company Limited generates 41% more annual revenue ($81.15B vs $57.64B). HMY leads profitability with a 20.1% profit margin vs 17.3%. HMY appears more attractively valued with a PEG of 0.03. HMY earns a higher WallStSmart Score of 80/100 (B+).

HMY

Strong Buy

80

out of 100

Grade: B+

Growth: 8.7Profit: 9.5Value: 10.0Quality: 6.8
Piotroski: 5/9Altman Z: 3.27

RIO

Buy

54

out of 100

Grade: C-

Growth: 4.0Profit: 8.0Value: 5.3Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

HMYUndervalued (+79.1%)

Margin of Safety

+79.1%

Fair Value

$103.58

Current Price

$15.06

$88.52 discount

UndervaluedFair: $103.58Overvalued
RIOUndervalued (+14.1%)

Margin of Safety

+14.1%

Fair Value

$114.19

Current Price

$100.48

$13.71 discount

UndervaluedFair: $114.19Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HMY6 strengths · Avg: 9.8/10
PEG RatioValuation
0.0310/10

Growing faster than its price suggests

P/E RatioValuation
9.7x10/10

Attractively priced relative to earnings

Return on EquityProfitability
33.5%10/10

Every $100 of equity generates 34 in profit

Operating MarginProfitability
33.3%10/10

Strong operational efficiency at 33.3%

Altman Z-ScoreHealth
3.2710/10

Safe zone — low bankruptcy risk

Profit MarginProfitability
20.1%9/10

Keeps 20 of every $100 in revenue as profit

RIO5 strengths · Avg: 8.2/10
Market CapQuality
$163.40B9/10

Large-cap with strong market position

P/E RatioValuation
16.5x8/10

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

HMY0 concerns · Avg: 0/10

No major concerns identified

RIO2 concerns · Avg: 2.0/10
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 : HMY

The strongest argument for HMY centers on PEG Ratio, P/E Ratio, Return on Equity. Profitability is solid with margins at 20.1% and operating margin at 33.3%. Revenue growth of 19.5% demonstrates continued momentum.

Bull Case : RIO

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

Bear Case : HMY

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

Bear Case : RIO

The primary concerns for RIO are PEG Ratio, EPS Growth.

Key Dynamics to Monitor

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

HMY carries more volatility with a beta of 0.80 — expect wider price swings.

HMY is growing revenue faster at 19.5% — sustainability is the question.

HMY generates stronger free cash flow (5.5B), providing more financial flexibility.

Bottom Line

HMY scores higher overall (80/100 vs 54/100), backed by strong 20.1% margins and 19.5% revenue growth. 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.

Harmony Gold Mining Company Limited

BASIC MATERIALS · GOLD · USA

Harmony Gold Mining Company Limited is engaged in the exploration, extraction and processing of gold in South Africa and Papua New Guinea. The company is headquartered in Randfontein, South Africa.

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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