WallStSmart

Element Solutions Inc (ESI)vsUSA Rare Earth, Inc. (USAR)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Element Solutions Inc generates 170168% more annual revenue ($2.80B vs $1.64M). ESI leads profitability with a 5.3% profit margin vs 0.0%. ESI earns a higher WallStSmart Score of 48/100 (D+).

ESI

Hold

48

out of 100

Grade: D+

Growth: 5.3Profit: 5.0Value: 3.7Quality: 6.5
Piotroski: 4/9Altman Z: 1.41

USAR

Avoid

21

out of 100

Grade: F

Growth: 4.3Profit: 2.5Value: 5.0Quality: 5.3
Piotroski: 2/9Altman Z: -41.68
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ESIOvervalued (-7.3%)

Margin of Safety

-7.3%

Fair Value

$30.22

Current Price

$43.90

$13.68 premium

UndervaluedFair: $30.22Overvalued

Intrinsic value data unavailable for USAR.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ESI1 strengths · Avg: 10.0/10
Revenue GrowthGrowth
41.5%10/10

Revenue surging 41.5% year-over-year

USAR0 strengths · Avg: 0/10

No standout strengths identified

Areas to Watch

ESI4 concerns · Avg: 2.5/10
Return on EquityProfitability
5.6%3/10

ROE of 5.6% — below average capital efficiency

Profit MarginProfitability
5.3%3/10

5.3% margin — thin

P/E RatioValuation
68.2x2/10

Premium valuation, high expectations priced in

EPS GrowthGrowth
-42.5%2/10

Earnings declined 42.5%

USAR4 concerns · Avg: 3.8/10
Price/BookValuation
8.1x4/10

Trading at 8.1x book value

Revenue GrowthGrowth
0.0%4/10

0.0% revenue growth

EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Profit MarginProfitability
0.0%3/10

0.0% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : ESI

The strongest argument for ESI centers on Revenue Growth. Revenue growth of 41.5% demonstrates continued momentum.

Bull Case : USAR

USAR has a balanced fundamental profile.

Bear Case : ESI

The primary concerns for ESI are Return on Equity, Profit Margin, P/E Ratio. A P/E of 68.2x leaves little room for execution misses.

Bear Case : USAR

The primary concerns for USAR are Price/Book, Revenue Growth, EPS Growth.

Key Dynamics to Monitor

ESI profiles as a hypergrowth stock while USAR is a value play — different risk/reward profiles.

USAR carries more volatility with a beta of 2.42 — expect wider price swings.

ESI is growing revenue faster at 41.5% — sustainability is the question.

USAR generates stronger free cash flow (-52M), providing more financial flexibility.

Bottom Line

ESI scores higher overall (48/100 vs 21/100) and 41.5% revenue growth. Both earn "Hold" and "Avoid" 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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USA Rare Earth, Inc.

BASIC MATERIALS · OTHER INDUSTRIAL METALS & MINING · USA

USA Rare Earth, Inc. engages in mining, processing, and supplying rare earths and other critical minerals. The company is headquartered in Stillwater, Oklahoma.

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