WallStSmart

Cleveland-Cliffs Inc (CLF)vsRio Tinto ADR (RIO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Rio Tinto ADR generates 205% more annual revenue ($57.64B vs $18.90B). RIO leads profitability with a 17.3% profit margin vs -6.4%. CLF appears more attractively valued with a PEG of 0.43. RIO earns a higher WallStSmart Score of 54/100 (C-).

CLF

Hold

49

out of 100

Grade: D+

Growth: 3.3Profit: 2.0Value: 8.3Quality: 4.5
Piotroski: 2/9Altman Z: 1.13

RIO

Buy

54

out of 100

Grade: C-

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

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CLFUndervalued (+75.4%)

Margin of Safety

+75.4%

Fair Value

$50.81

Current Price

$10.25

$40.56 discount

UndervaluedFair: $50.81Overvalued
RIOUndervalued (+14.1%)

Margin of Safety

+14.1%

Fair Value

$114.19

Current Price

$100.48

$13.71 discount

UndervaluedFair: $114.19Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CLF2 strengths · Avg: 10.0/10
PEG RatioValuation
0.4310/10

Growing faster than its price suggests

Price/BookValuation
1.0x10/10

Reasonable price relative to book value

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

Areas to Watch

CLF4 concerns · Avg: 2.5/10
Debt/EquityHealth
1.193/10

Elevated debt levels

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Return on EquityProfitability
-18.6%2/10

ROE of -18.6% — below average capital efficiency

EPS GrowthGrowth
-99.4%2/10

Earnings declined 99.4%

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 : CLF

The strongest argument for CLF centers on PEG Ratio, Price/Book. PEG of 0.43 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 : CLF

The primary concerns for CLF are Debt/Equity, Piotroski F-Score, Return on Equity.

Bear Case : RIO

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

Key Dynamics to Monitor

CLF profiles as a turnaround stock while RIO is a mature play — different risk/reward profiles.

CLF carries more volatility with a beta of 1.92 — 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

RIO scores higher overall (54/100 vs 49/100), backed by strong 17.3% margins and 14.6% revenue growth. CLF offers better value entry with a 75.4% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Cleveland-Cliffs Inc

BASIC MATERIALS · STEEL · USA

Cleveland-Cliffs Inc. is an independent iron ore mining company in the United States, Canada and internationally. The company is headquartered in Cleveland, Ohio.

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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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