WallStSmart

Rio Tinto ADR (RIO)vsReliance Steel & Aluminum Co (RS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Rio Tinto ADR generates 289% more annual revenue ($57.64B vs $14.84B). RIO leads profitability with a 17.3% profit margin vs 5.4%. RS appears more attractively valued with a PEG of 2.29. RS earns a higher WallStSmart Score of 63/100 (C+).

RIO

Buy

54

out of 100

Grade: C-

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

RS

Buy

63

out of 100

Grade: C+

Growth: 6.7Profit: 5.5Value: 4.0Quality: 8.5
Piotroski: 3/9Altman Z: 4.41
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

RIOUndervalued (+14.1%)

Margin of Safety

+14.1%

Fair Value

$114.19

Current Price

$100.48

$13.71 discount

UndervaluedFair: $114.19Overvalued
RSSignificantly Overvalued (-46.2%)

Margin of Safety

-46.2%

Fair Value

$246.42

Current Price

$359.45

$113.03 premium

UndervaluedFair: $246.42Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

RIO5 strengths · Avg: 8.2/10
Market CapQuality
$161.98B9/10

Large-cap with strong market position

P/E RatioValuation
16.4x8/10

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

RS5 strengths · Avg: 8.6/10
Altman Z-ScoreHealth
4.4110/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.289/10

Conservative balance sheet, low leverage

Price/BookValuation
2.6x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
15.5%8/10

15.5% revenue growth

EPS GrowthGrowth
36.4%8/10

Earnings expanding 36.4% YoY

Areas to Watch

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%

RS3 concerns · Avg: 3.3/10
PEG RatioValuation
2.294/10

Expensive relative to growth rate

Profit MarginProfitability
5.4%3/10

5.4% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

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.

Bull Case : RS

The strongest argument for RS centers on Altman Z-Score, Debt/Equity, Price/Book. Revenue growth of 15.5% demonstrates continued momentum.

Bear Case : RIO

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

Bear Case : RS

The primary concerns for RS are PEG Ratio, Profit Margin, Piotroski F-Score.

Key Dynamics to Monitor

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

RS carries more volatility with a beta of 0.87 — expect wider price swings.

RS is growing revenue faster at 15.5% — sustainability is the question.

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

Bottom Line

RS scores higher overall (63/100 vs 54/100) and 15.5% revenue growth. 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.

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.

Reliance Steel & Aluminum Co

BASIC MATERIALS · STEEL · USA

Reliance Steel & Aluminum Co. is a metal service center company. The company is headquartered in Los Angeles, California.

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