WallStSmart

Nexa Resources SA (NEXA)vsRio Tinto ADR (RIO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Rio Tinto ADR generates 1820% more annual revenue ($57.64B vs $3.00B). RIO leads profitability with a 17.3% profit margin vs 4.4%. NEXA trades at a lower P/E of 9.6x. NEXA earns a higher WallStSmart Score of 58/100 (C).

NEXA

Buy

58

out of 100

Grade: C

Growth: 4.7Profit: 6.5Value: 5.7Quality: 5.0
Piotroski: 5/9Altman Z: 0.76

RIO

Buy

54

out of 100

Grade: C-

Growth: 6.0Profit: 8.0Value: 4.7Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NEXASignificantly Overvalued (-82.1%)

Margin of Safety

-82.1%

Fair Value

$6.80

Current Price

$9.62

$2.82 premium

UndervaluedFair: $6.80Overvalued
RIOSignificantly Overvalued (-136.9%)

Margin of Safety

-136.9%

Fair Value

$41.41

Current Price

$87.54

$46.13 premium

UndervaluedFair: $41.41Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NEXA4 strengths · Avg: 9.0/10
P/E RatioValuation
9.6x10/10

Attractively priced relative to earnings

Price/BookValuation
1.3x10/10

Reasonable price relative to book value

Operating MarginProfitability
23.9%8/10

Strong operational efficiency at 23.9%

Revenue GrowthGrowth
21.9%8/10

Revenue surging 21.9% year-over-year

RIO5 strengths · Avg: 8.2/10
Market CapQuality
$139.55B9/10

Large-cap with strong market position

P/E RatioValuation
14.1x8/10

Attractively priced relative to earnings

Price/BookValuation
2.3x8/10

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

NEXA4 concerns · Avg: 3.3/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Market CapQuality
$1.27B3/10

Smaller company, higher risk/reward

Profit MarginProfitability
4.4%3/10

4.4% margin — thin

Debt/EquityHealth
1.963/10

Elevated debt levels

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 : NEXA

The strongest argument for NEXA centers on P/E Ratio, Price/Book, Operating Margin. Revenue growth of 21.9% 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 : NEXA

The primary concerns for NEXA are EPS Growth, Market Cap, Profit Margin. Debt-to-equity of 1.96 is elevated, increasing financial risk. Thin 4.4% margins leave little buffer for downturns.

Bear Case : RIO

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

Key Dynamics to Monitor

NEXA 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.

NEXA is growing revenue faster at 21.9% — sustainability is the question.

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

Bottom Line

NEXA scores higher overall (58/100 vs 54/100) and 21.9% revenue growth. 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.

Nexa Resources SA

BASIC MATERIALS · OTHER INDUSTRIAL METALS & MINING · USA

Nexa Resources SA is dedicated to the zinc mining and smelting business. The company is headquartered in Luxembourg City, Luxembourg.

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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