BHP Group Limited (BHP)vsVale SA ADR (VALE)
BHP
BHP Group Limited
$67.37
-1.36%
BASIC MATERIALS · Cap: $179.69B
VALE
Vale SA ADR
$14.69
-2.72%
BASIC MATERIALS · Cap: $64.25B
Smart Verdict
WallStSmart Research — data-driven comparison
Vale SA ADR generates 296% more annual revenue ($213.59B vs $53.99B). BHP leads profitability with a 19.0% profit margin vs 6.5%. BHP appears more attractively valued with a PEG of 5.95. BHP earns a higher WallStSmart Score of 64/100 (C+).
BHP
Buy64
out of 100
Grade: C+
VALE
Buy55
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+57.7%
Fair Value
$188.14
Current Price
$67.37
$120.77 discount
Margin of Safety
-47.9%
Fair Value
$11.75
Current Price
$14.69
$2.94 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 40.7%
Large-cap with strong market position
Every $100 of equity generates 25 in profit
Attractively priced relative to earnings
Earnings expanding 27.5% YoY
Generating 4.3B in free cash flow
Revenue surging 50.0% year-over-year
Large-cap with strong market position
Reasonable price relative to book value
Strong operational efficiency at 27.6%
Areas to Watch
Expensive relative to growth rate
Moderate valuation
ROE of 5.9% — below average capital efficiency
6.5% margin — thin
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : BHP
The strongest argument for BHP centers on Operating Margin, Market Cap, Return on Equity. Profitability is solid with margins at 19.0% and operating margin at 40.7%. Revenue growth of 10.8% demonstrates continued momentum.
Bull Case : VALE
The strongest argument for VALE centers on Revenue Growth, Market Cap, Price/Book. Revenue growth of 50.0% demonstrates continued momentum.
Bear Case : BHP
The primary concerns for BHP are PEG Ratio.
Bear Case : VALE
The primary concerns for VALE are P/E Ratio, Return on Equity, Profit Margin.
Key Dynamics to Monitor
BHP profiles as a mature stock while VALE is a hypergrowth play — different risk/reward profiles.
VALE carries more volatility with a beta of 0.94 — expect wider price swings.
VALE is growing revenue faster at 50.0% — sustainability is the question.
BHP generates stronger free cash flow (4.3B), providing more financial flexibility.
Bottom Line
BHP scores higher overall (64/100 vs 55/100), backed by strong 19.0% margins and 10.8% 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.
BHP Group Limited
BASIC MATERIALS · OTHER INDUSTRIAL METALS & MINING · USA
BHP Group engages in the natural resources business in Australia, Europe, China, Japan, India, South Korea, the rest of Asia, North America, South America and internationally. The company is headquartered in Melbourne, Australia.
Vale SA ADR
BASIC MATERIALS · OTHER INDUSTRIAL METALS & MINING · USA
Vale SA produces and sells iron ore and iron ore pellets for use as raw material in steelmaking in Brazil and internationally. The company is headquartered in Rio de Janeiro, Brazil.
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