Gerdau SA ADR (GGB)vsTernium SA ADR (TX)
GGB
Gerdau SA ADR
$3.26
-1.21%
BASIC MATERIALS · Cap: $6.44B
TX
Ternium SA ADR
$37.48
-1.08%
BASIC MATERIALS · Cap: $7.36B
Smart Verdict
WallStSmart Research — data-driven comparison
Gerdau SA ADR generates 348% more annual revenue ($69.86B vs $15.61B). TX leads profitability with a 2.7% profit margin vs 2.0%. TX appears more attractively valued with a PEG of 0.13. TX earns a higher WallStSmart Score of 47/100 (D+).
GGB
Hold42
out of 100
Grade: D
TX
Hold47
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-394.3%
Fair Value
$0.88
Current Price
$3.26
$2.38 premium
Margin of Safety
-202.5%
Fair Value
$14.96
Current Price
$37.48
$22.52 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Revenue surging 90.0% year-over-year
Generating 1.7B in free cash flow
Growing faster than its price suggests
Reasonable price relative to book value
Safe zone — low bankruptcy risk
Attractively priced relative to earnings
Areas to Watch
Moderate valuation
ROE of 2.5% — below average capital efficiency
2.0% margin — thin
Weak financial health signals
ROE of 1.9% — below average capital efficiency
2.7% margin — thin
Operating margin of 4.7%
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : GGB
The strongest argument for GGB centers on Price/Book, Revenue Growth, Free Cash Flow. Revenue growth of 90.0% demonstrates continued momentum.
Bull Case : TX
The strongest argument for TX centers on PEG Ratio, Price/Book, Altman Z-Score. PEG of 0.13 suggests the stock is reasonably priced for its growth.
Bear Case : GGB
The primary concerns for GGB are P/E Ratio, Return on Equity, Profit Margin. Thin 2.0% margins leave little buffer for downturns.
Bear Case : TX
The primary concerns for TX are Return on Equity, Profit Margin, Operating Margin. Thin 2.7% margins leave little buffer for downturns.
Key Dynamics to Monitor
GGB profiles as a hypergrowth stock while TX is a value play — different risk/reward profiles.
TX carries more volatility with a beta of 1.19 — expect wider price swings.
GGB is growing revenue faster at 90.0% — sustainability is the question.
GGB generates stronger free cash flow (1.7B), providing more financial flexibility.
Bottom Line
TX scores higher overall (47/100 vs 42/100). Both earn "Hold" 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.
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 →Ternium SA ADR
BASIC MATERIALS · STEEL · USA
Ternium SA manufactures and processes various steel products in Mexico, Argentina, Paraguay, Chile, Bolivia, Uruguay, Brazil, the United States, Colombia, Guatemala, Costa Rica, Honduras, El Salvador and Nicaragua. The company is headquartered in Luxembourg City, Luxembourg.
Compare with Other STEEL Stocks
Want to dig deeper into these stocks?