Lowe's Companies Inc (LOW)vsRio Tinto ADR (RIO)
LOW
Lowe's Companies Inc
$236.18
+0.75%
CONSUMER CYCLICAL · Cap: $131.50B
RIO
Rio Tinto ADR
$87.54
+0.89%
BASIC MATERIALS · Cap: $139.55B
Smart Verdict
WallStSmart Research — data-driven comparison
Lowe's Companies Inc generates 50% more annual revenue ($86.29B vs $57.64B). RIO leads profitability with a 17.3% profit margin vs 7.7%. LOW appears more attractively valued with a PEG of 2.40. RIO earns a higher WallStSmart Score of 54/100 (C-).
LOW
Hold44
out of 100
Grade: D
RIO
Buy54
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-193.3%
Fair Value
$80.51
Current Price
$236.18
$155.67 premium
Margin of Safety
-136.9%
Fair Value
$41.41
Current Price
$87.54
$46.13 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Conservative balance sheet, low leverage
Large-cap with strong market position
Large-cap with strong market position
Attractively priced relative to earnings
Reasonable price relative to book value
Strong operational efficiency at 25.3%
Generating 2.5B in free cash flow
Areas to Watch
Expensive relative to growth rate
ROE of 0.0% — below average capital efficiency
7.7% margin — thin
Earnings declined 10.8%
Expensive relative to growth rate
Earnings declined 5.6%
Comparative Analysis Report
WallStSmart ResearchBull Case : LOW
The strongest argument for LOW centers on Debt/Equity, Market Cap. Revenue growth of 10.9% demonstrates continued momentum.
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 : LOW
The primary concerns for LOW are PEG Ratio, Return on Equity, Profit Margin.
Bear Case : RIO
The primary concerns for RIO are PEG Ratio, EPS Growth.
Key Dynamics to Monitor
LOW profiles as a value stock while RIO is a mature play — different risk/reward profiles.
LOW carries more volatility with a beta of 0.94 — 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 44/100), backed by strong 17.3% margins and 14.6% revenue growth. 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.
Lowe's Companies Inc
CONSUMER CYCLICAL · HOME IMPROVEMENT RETAIL · USA
Lowe's Companies, Inc. is an American retail company specializing in home improvement. Headquartered in Mooresville, North Carolina, the company operates a chain of retail stores in the United States and Canada.
Visit Website →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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