Altria Group (MO)vsRio Tinto ADR (RIO)
MO
Altria Group
$68.12
-1.33%
CONSUMER DEFENSIVE · Cap: $115.29B
RIO
Rio Tinto ADR
$105.38
+2.20%
BASIC MATERIALS · Cap: $171.59B
Smart Verdict
WallStSmart Research — data-driven comparison
Rio Tinto ADR generates 183% more annual revenue ($57.64B vs $20.38B). MO leads profitability with a 39.5% profit margin vs 17.3%. MO appears more attractively valued with a PEG of 1.86. MO earns a higher WallStSmart Score of 61/100 (C+).
MO
Buy61
out of 100
Grade: C+
RIO
Buy54
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-37.1%
Fair Value
$48.09
Current Price
$68.12
$20.03 premium
Margin of Safety
+33.7%
Fair Value
$147.89
Current Price
$105.38
$42.51 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Keeps 40 of every $100 in revenue as profit
Strong operational efficiency at 62.3%
Earnings expanding 106.3% YoY
Conservative balance sheet, low leverage
Large-cap with strong market position
Attractively priced relative to earnings
Large-cap with strong market position
Attractively priced relative to earnings
Reasonable price relative to book value
Strong operational efficiency at 25.3%
Generating 2.5B in free cash flow
Areas to Watch
Expensive relative to growth rate
ROE of 0.0% — below average capital efficiency
Expensive relative to growth rate
Earnings declined 5.6%
Comparative Analysis Report
WallStSmart ResearchBull Case : MO
The strongest argument for MO centers on Profit Margin, Operating Margin, EPS Growth. Profitability is solid with margins at 39.5% and operating margin at 62.3%.
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 : MO
The primary concerns for MO are PEG Ratio, Return on Equity.
Bear Case : RIO
The primary concerns for RIO are PEG Ratio, EPS Growth.
Key Dynamics to Monitor
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.
Monitor TOBACCO industry trends, competitive dynamics, and regulatory changes.
Bottom Line
MO scores higher overall (61/100 vs 54/100), backed by strong 39.5% margins. 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.
Altria Group
CONSUMER DEFENSIVE · TOBACCO · USA
Altria Group, Inc. (previously known as Philip Morris Companies, Inc.) is an American corporation and one of the world's largest producers and marketers of tobacco, cigarettes and related products. It operates worldwide and is headquartered in unincorporated Henrico County, Virginia, just outside the city of Richmond.
Visit Website →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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