WallStSmart

PPG Industries Inc (PPG)vsRio Tinto ADR (RIO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Rio Tinto ADR generates 258% more annual revenue ($57.64B vs $16.12B). RIO leads profitability with a 17.3% profit margin vs 9.8%. PPG appears more attractively valued with a PEG of 1.72. PPG earns a higher WallStSmart Score of 58/100 (C).

PPG

Buy

58

out of 100

Grade: C

Growth: 4.7Profit: 6.5Value: 5.3Quality: 7.0
Piotroski: 5/9Altman Z: 7.44

RIO

Buy

54

out of 100

Grade: C-

Growth: 4.0Profit: 8.0Value: 6.0Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PPGFair Value (-2.5%)

Margin of Safety

-2.5%

Fair Value

$127.77

Current Price

$112.98

$14.79 premium

UndervaluedFair: $127.77Overvalued
RIOUndervalued (+24.6%)

Margin of Safety

+24.6%

Fair Value

$130.05

Current Price

$106.39

$23.66 discount

UndervaluedFair: $130.05Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PPG2 strengths · Avg: 9.0/10
Altman Z-ScoreHealth
7.4410/10

Safe zone — low bankruptcy risk

P/E RatioValuation
16.2x8/10

Attractively priced relative to earnings

RIO5 strengths · Avg: 8.2/10
Market CapQuality
$173.37B9/10

Large-cap with strong market position

P/E RatioValuation
17.5x8/10

Attractively priced relative to earnings

Price/BookValuation
2.8x8/10

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

PPG3 concerns · Avg: 3.3/10
PEG RatioValuation
1.724/10

Expensive relative to growth rate

EPS GrowthGrowth
4.2%4/10

4.2% earnings growth

Free Cash FlowQuality
$-163.00M2/10

Negative free cash flow — burning cash

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 : PPG

The strongest argument for PPG centers on Altman Z-Score, P/E Ratio.

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 : PPG

The primary concerns for PPG are PEG Ratio, EPS Growth, Free Cash Flow.

Bear Case : RIO

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

Key Dynamics to Monitor

PPG profiles as a value stock while RIO is a mature play — different risk/reward profiles.

PPG carries more volatility with a beta of 1.05 — 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

PPG scores higher overall (58/100 vs 54/100). RIO offers better value entry with a 24.6% 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.

PPG Industries Inc

BASIC MATERIALS · SPECIALTY CHEMICALS · USA

PPG Industries, Inc. is an American Fortune 500 company and global supplier of paints, coatings, and specialty materials. With headquarters in Pittsburgh, Pennsylvania, PPG operates in more than 70 countries around the globe.

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.

Want to dig deeper into these stocks?