Nexa Resources SA (NEXA)vsRio Tinto ADR (RIO)
NEXA
Nexa Resources SA
$13.05
-13.29%
BASIC MATERIALS · Cap: $1.63B
RIO
Rio Tinto ADR
$100.69
-4.47%
BASIC MATERIALS · Cap: $168.54B
Smart Verdict
WallStSmart Research — data-driven comparison
Rio Tinto ADR generates 1666% more annual revenue ($57.64B vs $3.26B). RIO leads profitability with a 17.3% profit margin vs 6.4%. NEXA trades at a lower P/E of 7.8x. NEXA earns a higher WallStSmart Score of 72/100 (B).
NEXA
Strong Buy72
out of 100
Grade: B
RIO
Buy54
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-54.0%
Fair Value
$8.04
Current Price
$13.05
$5.01 premium
Margin of Safety
+24.5%
Fair Value
$130.00
Current Price
$100.69
$29.31 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Revenue surging 41.7% year-over-year
Earnings expanding 654.0% YoY
Reasonable price relative to book value
Strong operational efficiency at 23.9%
Every $100 of equity generates 35 in profit
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
Smaller company, higher risk/reward
6.4% margin — thin
Elevated debt levels
Negative free cash flow — burning cash
Weak financial health signals
Expensive relative to growth rate
Earnings declined 5.6%
Comparative Analysis Report
WallStSmart ResearchBull Case : NEXA
The strongest argument for NEXA centers on P/E Ratio, Revenue Growth, EPS Growth. Revenue growth of 41.7% 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 : NEXA
The primary concerns for NEXA are Market Cap, Profit Margin, Debt/Equity. Debt-to-equity of 1.63 is elevated, increasing financial risk.
Bear Case : RIO
The primary concerns for RIO are Piotroski F-Score, PEG Ratio, EPS Growth.
Key Dynamics to Monitor
NEXA profiles as a hypergrowth stock while RIO is a mature play — different risk/reward profiles.
NEXA carries more volatility with a beta of 0.89 — expect wider price swings.
NEXA is growing revenue faster at 41.7% — sustainability is the question.
RIO generates stronger free cash flow (2.5B), providing more financial flexibility.
Bottom Line
NEXA scores higher overall (72/100 vs 54/100) and 41.7% revenue growth. RIO offers better value entry with a 24.5% margin of safety. Both earn "Strong 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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