WallStSmart

Keurig Dr Pepper Inc (KDP)vsRio Tinto ADR (RIO)

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Smart Verdict

WallStSmart Research — data-driven comparison

Rio Tinto ADR generates 240% more annual revenue ($57.64B vs $16.94B). RIO leads profitability with a 17.3% profit margin vs 10.8%. KDP appears more attractively valued with a PEG of 0.97. KDP earns a higher WallStSmart Score of 61/100 (C+).

KDP

Buy

61

out of 100

Grade: C+

Growth: 4.7Profit: 6.0Value: 8.0Quality: 4.3
Piotroski: 5/9Altman Z: 1.06

RIO

Buy

54

out of 100

Grade: C-

Growth: 4.0Profit: 8.0Value: 6.7Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

KDPUndervalued (+59.0%)

Margin of Safety

+59.0%

Fair Value

$72.90

Current Price

$28.83

$44.07 discount

UndervaluedFair: $72.90Overvalued
RIOUndervalued (+33.7%)

Margin of Safety

+33.7%

Fair Value

$147.89

Current Price

$105.38

$42.51 discount

UndervaluedFair: $147.89Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

KDP2 strengths · Avg: 8.0/10
PEG RatioValuation
0.978/10

Growing faster than its price suggests

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

RIO5 strengths · Avg: 8.2/10
Market CapQuality
$171.59B9/10

Large-cap with strong market position

P/E RatioValuation
17.3x8/10

Attractively priced relative to earnings

Price/BookValuation
2.8x8/10

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

KDP3 concerns · Avg: 2.3/10
Return on EquityProfitability
6.3%3/10

ROE of 6.3% — below average capital efficiency

EPS GrowthGrowth
-47.7%2/10

Earnings declined 47.7%

Altman Z-ScoreHealth
1.062/10

Distress zone — elevated risk

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 : KDP

The strongest argument for KDP centers on PEG Ratio, Price/Book. PEG of 0.97 suggests the stock is reasonably priced for its growth.

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 : KDP

The primary concerns for KDP are Return on Equity, EPS Growth, Altman Z-Score.

Bear Case : RIO

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

Key Dynamics to Monitor

KDP profiles as a value stock while RIO is a mature play — different risk/reward profiles.

RIO carries more volatility with a beta of 0.63 — expect wider price swings.

RIO is growing revenue faster at 14.6% — sustainability is the question.

RIO generates stronger free cash flow (2.5B), providing more financial flexibility.

Bottom Line

KDP scores higher overall (61/100 vs 54/100). RIO offers better value entry with a 33.7% 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.

Keurig Dr Pepper Inc

CONSUMER DEFENSIVE · BEVERAGES - NON-ALCOHOLIC · USA

Keurig Dr Pepper Inc. is a beverage company in the United States and internationally. The company is headquartered in Burlington, Massachusetts.

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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