Gerdau SA ADR (GGB)vsReliance Steel & Aluminum Co (RS)
GGB
Gerdau SA ADR
$4.50
-3.23%
BASIC MATERIALS · Cap: $9.46B
RS
Reliance Steel & Aluminum Co
$367.00
+0.69%
BASIC MATERIALS · Cap: $18.81B
Smart Verdict
WallStSmart Research — data-driven comparison
Gerdau SA ADR generates 366% more annual revenue ($69.20B vs $14.84B). RS leads profitability with a 5.4% profit margin vs 2.4%. RS appears more attractively valued with a PEG of 2.29. RS earns a higher WallStSmart Score of 63/100 (C+).
GGB
Buy52
out of 100
Grade: C-
RS
Buy63
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+76.7%
Fair Value
$18.67
Current Price
$4.50
$14.17 discount
Margin of Safety
-44.1%
Fair Value
$250.03
Current Price
$367.00
$116.97 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Conservative balance sheet, low leverage
Earnings expanding 37.9% YoY
Safe zone — low bankruptcy risk
Conservative balance sheet, low leverage
Reasonable price relative to book value
15.5% revenue growth
Earnings expanding 36.4% YoY
Areas to Watch
Moderate valuation
ROE of 3.1% — below average capital efficiency
2.4% margin — thin
Weak financial health signals
Expensive relative to growth rate
5.4% margin — thin
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : GGB
The strongest argument for GGB centers on Price/Book, Debt/Equity, EPS Growth.
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 : GGB
The primary concerns for GGB are P/E Ratio, Return on Equity, Profit Margin. Thin 2.4% margins leave little buffer for downturns.
Bear Case : RS
The primary concerns for RS are PEG Ratio, Profit Margin, Piotroski F-Score.
Key Dynamics to Monitor
GGB profiles as a value stock while RS is a growth play — different risk/reward profiles.
RS carries more volatility with a beta of 0.95 — expect wider price swings.
RS is growing revenue faster at 15.5% — sustainability is the question.
GGB generates stronger free cash flow (304M), providing more financial flexibility.
Bottom Line
RS scores higher overall (63/100 vs 52/100) and 15.5% revenue growth. GGB offers better value entry with a 76.7% margin of safety. 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.
Gerdau SA ADR
BASIC MATERIALS · STEEL · USA
Gerdau SA is a leading Brazilian steel manufacturer and a prominent player in the Americas’ long steel segment, notably recognized through its American Depositary Receipts (ADRs). The company excels in producing a diverse range of steel products, serving critical industries such as construction, automotive, and manufacturing. Gerdau is committed to innovation and sustainability, employing advanced technologies to optimize operations and reduce environmental impact. With its robust operational network and focus on quality, Gerdau is strategically positioned to capitalize on emerging growth opportunities within the global steel industry.
Visit Website →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.
Visit Website →Compare with Other STEEL Stocks
Want to dig deeper into these stocks?