WallStSmart

Nexa Resources SA (NEXA)vsRio Tinto ADR (RIO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Rio Tinto ADR generates 1684% more annual revenue ($61.79B vs $3.46B). RIO leads profitability with a 19.6% profit margin vs 8.0%. NEXA trades at a lower P/E of 6.2x. NEXA earns a higher WallStSmart Score of 69/100 (B-).

NEXA

Strong Buy

69

out of 100

Grade: B-

Growth: 6.7Profit: 7.5Value: 5.7Quality: 3.5
Piotroski: 4/9Altman Z: 0.80

RIO

Buy

64

out of 100

Grade: C+

Growth: 7.3Profit: 9.0Value: 6.0Quality: 5.5
Piotroski: 1/9Altman Z: 2.03
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NEXASignificantly Overvalued (-43.8%)

Margin of Safety

-43.8%

Fair Value

$8.61

Current Price

$13.31

$4.70 premium

UndervaluedFair: $8.61Overvalued
RIOUndervalued (+29.2%)

Margin of Safety

+29.2%

Fair Value

$138.61

Current Price

$99.96

$38.65 discount

UndervaluedFair: $138.61Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NEXA4 strengths · Avg: 9.5/10
P/E RatioValuation
6.2x10/10

Attractively priced relative to earnings

Price/BookValuation
1.5x10/10

Reasonable price relative to book value

EPS GrowthGrowth
6235.0%10/10

Earnings expanding 6235.0% YoY

Revenue GrowthGrowth
28.2%8/10

Revenue surging 28.2% year-over-year

RIO6 strengths · Avg: 8.5/10
Return on EquityProfitability
34.1%10/10

Every $100 of equity generates 34 in profit

Market CapQuality
$167.95B9/10

Large-cap with strong market position

P/E RatioValuation
14.0x8/10

Attractively priced relative to earnings

Price/BookValuation
2.5x8/10

Reasonable price relative to book value

Operating MarginProfitability
28.1%8/10

Strong operational efficiency at 28.1%

Revenue GrowthGrowth
15.5%8/10

15.5% revenue growth

Areas to Watch

NEXA3 concerns · Avg: 2.7/10
Market CapQuality
$1.79B3/10

Smaller company, higher risk/reward

Debt/EquityHealth
1.543/10

Elevated debt levels

Altman Z-ScoreHealth
0.802/10

Distress zone — elevated risk

RIO2 concerns · Avg: 2.5/10
Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

PEG RatioValuation
5.692/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : NEXA

The strongest argument for NEXA centers on P/E Ratio, Price/Book, EPS Growth. Revenue growth of 28.2% demonstrates continued momentum.

Bull Case : RIO

The strongest argument for RIO centers on Return on Equity, Market Cap, P/E Ratio. Profitability is solid with margins at 19.6% and operating margin at 28.1%. Revenue growth of 15.5% demonstrates continued momentum.

Bear Case : NEXA

The primary concerns for NEXA are Market Cap, Debt/Equity, Altman Z-Score. Debt-to-equity of 1.54 is elevated, increasing financial risk.

Bear Case : RIO

The primary concerns for RIO are Piotroski F-Score, PEG Ratio.

Key Dynamics to Monitor

NEXA carries more volatility with a beta of 0.94 — expect wider price swings.

NEXA is growing revenue faster at 28.2% — sustainability is the question.

RIO generates stronger free cash flow (3.2B), providing more financial flexibility.

Monitor OTHER INDUSTRIAL METALS & MINING industry trends, competitive dynamics, and regulatory changes.

Bottom Line

NEXA scores higher overall (69/100 vs 64/100) and 28.2% revenue growth. RIO offers better value entry with a 29.2% margin of safety. 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.

Nexa Resources SA

BASIC MATERIALS · OTHER INDUSTRIAL METALS & MINING · USA

Nexa Resources SA is dedicated to the zinc mining and smelting business. The company is headquartered in Luxembourg City, Luxembourg.

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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