WallStSmart

Knife River Corporation (KNF)vsRio Tinto ADR (RIO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Rio Tinto ADR generates 1700% more annual revenue ($57.64B vs $3.20B). RIO leads profitability with a 17.3% profit margin vs 4.6%. KNF appears more attractively valued with a PEG of 1.62. KNF earns a higher WallStSmart Score of 57/100 (C).

KNF

Buy

57

out of 100

Grade: C

Growth: 8.0Profit: 4.5Value: 3.3Quality: 6.0
Piotroski: 1/9Altman Z: 2.20

RIO

Buy

54

out of 100

Grade: C-

Growth: 4.0Profit: 8.5Value: 6.0Quality: 5.5
Piotroski: 1/9Altman Z: 2.03
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

KNFSignificantly Overvalued (-88.4%)

Margin of Safety

-88.4%

Fair Value

$42.78

Current Price

$76.22

$33.44 premium

UndervaluedFair: $42.78Overvalued
RIOUndervalued (+24.3%)

Margin of Safety

+24.3%

Fair Value

$129.61

Current Price

$93.72

$35.89 discount

UndervaluedFair: $129.61Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

KNF3 strengths · Avg: 8.0/10
Price/BookValuation
2.8x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
16.0%8/10

16.0% revenue growth

EPS GrowthGrowth
36.1%8/10

Earnings expanding 36.1% YoY

RIO6 strengths · Avg: 8.5/10
Return on EquityProfitability
34.5%10/10

Every $100 of equity generates 35 in profit

Market CapQuality
$146.61B9/10

Large-cap with strong market position

P/E RatioValuation
14.8x8/10

Attractively priced relative to earnings

Price/BookValuation
2.4x8/10

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

KNF4 concerns · Avg: 3.5/10
PEG RatioValuation
1.624/10

Expensive relative to growth rate

P/E RatioValuation
31.8x4/10

Premium valuation, high expectations priced in

Profit MarginProfitability
4.6%3/10

4.6% margin — thin

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

RIO3 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

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 : KNF

The strongest argument for KNF centers on Price/Book, Revenue Growth, EPS Growth. Revenue growth of 16.0% demonstrates continued momentum.

Bull Case : RIO

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

Bear Case : KNF

The primary concerns for KNF are PEG Ratio, P/E Ratio, Profit Margin. Thin 4.6% margins leave little buffer for downturns.

Bear Case : RIO

The primary concerns for RIO are Piotroski F-Score, PEG Ratio, EPS Growth.

Key Dynamics to Monitor

KNF profiles as a growth stock while RIO is a mature play — different risk/reward profiles.

RIO carries more volatility with a beta of 0.65 — expect wider price swings.

KNF is growing revenue faster at 16.0% — sustainability is the question.

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

Bottom Line

KNF scores higher overall (57/100 vs 54/100) and 16.0% revenue growth. RIO offers better value entry with a 24.3% 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.

Knife River Corporation

BASIC MATERIALS · BUILDING MATERIALS · USA

Knife River Corporation provides aggregates-based construction materials and contracting services in the United States. The company is headquartered in Bismarck, North Dakota.

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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