Gerdau SA ADR (GGB)vsSouthern Copper Corporation (SCCO)
GGB
Gerdau SA ADR
$4.94
-1.98%
BASIC MATERIALS · Cap: $9.74B
SCCO
Southern Copper Corporation
$199.06
+3.12%
BASIC MATERIALS · Cap: $162.83B
Smart Verdict
WallStSmart Research — data-driven comparison
Gerdau SA ADR generates 338% more annual revenue ($69.20B vs $15.79B). SCCO leads profitability with a 35.9% profit margin vs 2.4%. SCCO appears more attractively valued with a PEG of 5.41. SCCO earns a higher WallStSmart Score of 65/100 (B-).
GGB
Buy52
out of 100
Grade: C-
SCCO
Strong Buy65
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+76.4%
Fair Value
$18.40
Current Price
$4.94
$13.46 discount
Intrinsic value data unavailable for SCCO.
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
Every $100 of equity generates 45 in profit
Keeps 36 of every $100 in revenue as profit
Strong operational efficiency at 61.2%
Revenue surging 40.6% year-over-year
Earnings expanding 71.6% YoY
Safe zone — low bankruptcy risk
Areas to Watch
Premium valuation, high expectations priced in
ROE of 3.1% — below average capital efficiency
2.4% margin — thin
Weak financial health signals
Moderate valuation
Trading at 13.4x book value
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : GGB
The strongest argument for GGB centers on Price/Book, Debt/Equity, EPS Growth.
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 : 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 : SCCO
The primary concerns for SCCO are P/E Ratio, Price/Book, PEG Ratio.
Key Dynamics to Monitor
GGB profiles as a value stock while SCCO is a growth play — different risk/reward profiles.
SCCO carries more volatility with a beta of 1.14 — expect wider price swings.
SCCO is growing revenue faster at 40.6% — 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 52/100), backed by strong 35.9% margins and 40.6% revenue growth. GGB offers better value entry with a 76.4% margin of safety. 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.
Gerdau SA ADR
BASIC MATERIALS · STEEL · USA
Gerdau SA is a leading Brazilian steel manufacturer and a key player in the long steel sector across the Americas, represented by its American Depositary Receipts (ADRs). The company offers an extensive range of steel products catering to essential industries, including construction, automotive, and manufacturing, with a strong emphasis on innovation and sustainability. Leveraging advanced technologies, Gerdau is committed to enhancing operational efficiency while minimizing its environmental footprint. With a resilient operational structure and a focus on high-quality standards, Gerdau is well-positioned to seize growth opportunities in the evolving global steel industry.
Visit Website →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.
Visit Website →Compare with Other STEEL Stocks
Want to dig deeper into these stocks?