WallStSmart

Element Solutions Inc (ESI)vsSouthern Copper Corporation (SCCO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Southern Copper Corporation generates 401% more annual revenue ($15.79B vs $3.15B). SCCO leads profitability with a 35.9% profit margin vs 5.7%. SCCO trades at a lower P/E of 27.6x. SCCO earns a higher WallStSmart Score of 65/100 (B-).

ESI

Buy

56

out of 100

Grade: C

Growth: 8.0Profit: 5.0Value: 3.7Quality: 6.0
Piotroski: 4/9Altman Z: 1.30

SCCO

Strong Buy

65

out of 100

Grade: B-

Growth: 9.3Profit: 10.0Value: 4.3Quality: 8.0
Piotroski: 5/9Altman Z: 3.11
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ESISignificantly Overvalued (-25.0%)

Margin of Safety

-25.0%

Fair Value

$29.39

Current Price

$37.88

$8.49 premium

UndervaluedFair: $29.39Overvalued

Intrinsic value data unavailable for SCCO.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ESI2 strengths · Avg: 10.0/10
Revenue GrowthGrowth
56.4%10/10

Revenue surging 56.4% year-over-year

EPS GrowthGrowth
61.9%10/10

Earnings expanding 61.9% YoY

SCCO6 strengths · Avg: 10.0/10
Return on EquityProfitability
44.9%10/10

Every $100 of equity generates 45 in profit

Profit MarginProfitability
35.9%10/10

Keeps 36 of every $100 in revenue as profit

Operating MarginProfitability
61.2%10/10

Strong operational efficiency at 61.2%

Revenue GrowthGrowth
40.6%10/10

Revenue surging 40.6% year-over-year

EPS GrowthGrowth
71.6%10/10

Earnings expanding 71.6% YoY

Altman Z-ScoreHealth
3.1110/10

Safe zone — low bankruptcy risk

Areas to Watch

ESI4 concerns · Avg: 2.5/10
Return on EquityProfitability
5.4%3/10

ROE of 5.4% — below average capital efficiency

Profit MarginProfitability
5.7%3/10

5.7% margin — thin

P/E RatioValuation
49.6x2/10

Premium valuation, high expectations priced in

Free Cash FlowQuality
$-91.70M2/10

Negative free cash flow — burning cash

SCCO3 concerns · Avg: 3.3/10
P/E RatioValuation
27.6x4/10

Moderate valuation

Price/BookValuation
13.4x4/10

Trading at 13.4x book value

PEG RatioValuation
5.412/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : ESI

The strongest argument for ESI centers on Revenue Growth, EPS Growth. Revenue growth of 56.4% demonstrates continued momentum.

Bull Case : SCCO

The strongest argument for SCCO centers on Return on Equity, Profit Margin, Operating Margin. Profitability is solid with margins at 35.9% and operating margin at 61.2%. Revenue growth of 40.6% demonstrates continued momentum.

Bear Case : ESI

The primary concerns for ESI are Return on Equity, Profit Margin, P/E Ratio. A P/E of 49.6x leaves little room for execution misses.

Bear Case : SCCO

The primary concerns for SCCO are P/E Ratio, Price/Book, PEG Ratio.

Key Dynamics to Monitor

ESI profiles as a hypergrowth stock while SCCO is a growth play — different risk/reward profiles.

ESI carries more volatility with a beta of 1.24 — expect wider price swings.

ESI is growing revenue faster at 56.4% — sustainability is the question.

SCCO generates stronger free cash flow (1.5B), providing more financial flexibility.

Bottom Line

SCCO scores higher overall (65/100 vs 56/100), backed by strong 35.9% margins and 40.6% revenue growth. 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.

Element Solutions Inc

BASIC MATERIALS · SPECIALTY CHEMICALS · USA

Element Solutions Inc produces and sells specialty chemicals in the United States, China, and internationally. The company is headquartered in Fort Lauderdale, Florida.

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Southern Copper Corporation

BASIC MATERIALS · COPPER · USA

Southern Copper Corporation is engaged in the extraction, exploration, smelting and refining of copper and other minerals in Peru, Mexico, Argentina, Ecuador and Chile.

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