WallStSmart

International Flavors & Fragrances Inc (IFF)vsRio Tinto ADR (RIO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Rio Tinto ADR generates 429% more annual revenue ($57.64B vs $10.89B). RIO leads profitability with a 17.3% profit margin vs -3.3%. IFF appears more attractively valued with a PEG of 0.82. RIO earns a higher WallStSmart Score of 54/100 (C-).

IFF

Hold

45

out of 100

Grade: D+

Growth: 2.0Profit: 3.0Value: 7.7Quality: 5.0

RIO

Buy

54

out of 100

Grade: C-

Growth: 4.0Profit: 8.0Value: 5.3Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

IFFUndervalued (+67.9%)

Margin of Safety

+67.9%

Fair Value

$239.48

Current Price

$68.89

$170.59 discount

UndervaluedFair: $239.48Overvalued
RIOUndervalued (+14.1%)

Margin of Safety

+14.1%

Fair Value

$114.19

Current Price

$100.48

$13.71 discount

UndervaluedFair: $114.19Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

IFF2 strengths · Avg: 9.0/10
Price/BookValuation
1.2x10/10

Reasonable price relative to book value

PEG RatioValuation
0.828/10

Growing faster than its price suggests

RIO5 strengths · Avg: 8.2/10
Market CapQuality
$163.40B9/10

Large-cap with strong market position

P/E RatioValuation
16.5x8/10

Attractively priced relative to earnings

Price/BookValuation
2.6x8/10

Reasonable price relative to book value

Operating MarginProfitability
25.3%8/10

Strong operational efficiency at 25.3%

Free Cash FlowQuality
$2.53B8/10

Generating 2.5B in free cash flow

Areas to Watch

IFF4 concerns · Avg: 2.3/10
Operating MarginProfitability
4.6%3/10

Operating margin of 4.6%

Return on EquityProfitability
-2.6%2/10

ROE of -2.6% — below average capital efficiency

Revenue GrowthGrowth
-6.6%2/10

Revenue declined 6.6%

EPS GrowthGrowth
-31.0%2/10

Earnings declined 31.0%

RIO2 concerns · Avg: 2.0/10
PEG RatioValuation
5.692/10

Expensive relative to growth rate

EPS GrowthGrowth
-5.6%2/10

Earnings declined 5.6%

Comparative Analysis Report

WallStSmart Research

Bull Case : IFF

The strongest argument for IFF centers on Price/Book, PEG Ratio. PEG of 0.82 suggests the stock is reasonably priced for its growth.

Bull Case : RIO

The strongest argument for RIO centers on Market Cap, P/E Ratio, Price/Book. Profitability is solid with margins at 17.3% and operating margin at 25.3%. Revenue growth of 14.6% demonstrates continued momentum.

Bear Case : IFF

The primary concerns for IFF are Operating Margin, Return on Equity, Revenue Growth.

Bear Case : RIO

The primary concerns for RIO are PEG Ratio, EPS Growth.

Key Dynamics to Monitor

IFF profiles as a turnaround stock while RIO is a mature play — different risk/reward profiles.

IFF carries more volatility with a beta of 1.03 — expect wider price swings.

RIO is growing revenue faster at 14.6% — sustainability is the question.

RIO generates stronger free cash flow (2.5B), providing more financial flexibility.

Bottom Line

RIO scores higher overall (54/100 vs 45/100), backed by strong 17.3% margins and 14.6% revenue growth. IFF offers better value entry with a 67.9% margin of safety. Both earn "Buy" 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.

International Flavors & Fragrances Inc

BASIC MATERIALS · SPECIALTY CHEMICALS · USA

International Flavors & Fragrances is an American corporation that produces flavors, fragrances, and cosmetic actives, which it markets globally. It is headquartered in New York City.

Rio Tinto ADR

BASIC MATERIALS · OTHER INDUSTRIAL METALS & MINING · USA

Rio Tinto Group is dedicated to the exploration, extraction and processing of mineral resources worldwide. The company is headquartered in London, the United Kingdom.

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