Kaiser Aluminum Corporation (KALU)vsRio Tinto ADR (RIO)
KALU
Kaiser Aluminum Corporation
$106.84
+3.19%
BASIC MATERIALS · Cap: $1.96B
RIO
Rio Tinto ADR
$83.73
+0.69%
BASIC MATERIALS · Cap: $139.45B
Smart Verdict
WallStSmart Research — data-driven comparison
Rio Tinto ADR generates 1271% more annual revenue ($61.79B vs $4.51B). RIO leads profitability with a 19.6% profit margin vs 4.8%. KALU appears more attractively valued with a PEG of 1.17. RIO earns a higher WallStSmart Score of 64/100 (C+).
KALU
Buy61
out of 100
Grade: C+
RIO
Buy64
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+21.9%
Fair Value
$185.16
Current Price
$106.84
$78.32 discount
Margin of Safety
+28.9%
Fair Value
$137.94
Current Price
$83.73
$54.21 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Revenue surging 44.0% year-over-year
Reasonable price relative to book value
Attractively priced relative to earnings
Every $100 of equity generates 34 in profit
Large-cap with strong market position
Reasonable price relative to book value
Strong operational efficiency at 28.1%
15.5% revenue growth
Areas to Watch
Smaller company, higher risk/reward
4.8% margin — thin
Operating margin of 4.5%
Elevated debt levels
Weak financial health signals
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : KALU
The strongest argument for KALU centers on P/E Ratio, Revenue Growth, Price/Book. Revenue growth of 44.0% demonstrates continued momentum. PEG of 1.17 suggests the stock is reasonably priced for its growth.
Bull Case : RIO
The strongest argument for RIO centers on P/E Ratio, Return on Equity, Market Cap. Profitability is solid with margins at 19.6% and operating margin at 28.1%. Revenue growth of 15.5% demonstrates continued momentum.
Bear Case : KALU
The primary concerns for KALU are Market Cap, Profit Margin, Operating Margin. Thin 4.8% margins leave little buffer for downturns.
Bear Case : RIO
The primary concerns for RIO are Piotroski F-Score, PEG Ratio.
Key Dynamics to Monitor
KALU profiles as a hypergrowth stock while RIO is a growth play — different risk/reward profiles.
KALU carries more volatility with a beta of 1.58 — expect wider price swings.
KALU is growing revenue faster at 44.0% — sustainability is the question.
RIO generates stronger free cash flow (3.2B), providing more financial flexibility.
Bottom Line
RIO scores higher overall (64/100 vs 61/100), backed by strong 19.6% margins and 15.5% revenue growth. KALU offers better value entry with a 21.9% 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.
Kaiser Aluminum Corporation
BASIC MATERIALS · ALUMINUM · USA
Kaiser Aluminum Corporation manufactures and sells specialty semi-finished aluminum mill products. The company is headquartered in Foothill Ranch, California.
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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