WallStSmart

Royal Gold Inc (RGLD)vsRio Tinto ADR (RIO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Rio Tinto ADR generates 4347% more annual revenue ($57.64B vs $1.30B). RGLD leads profitability with a 48.9% profit margin vs 17.3%. RGLD appears more attractively valued with a PEG of 1.06. RGLD earns a higher WallStSmart Score of 77/100 (B+).

RGLD

Strong Buy

77

out of 100

Grade: B+

Growth: 10.0Profit: 8.5Value: 7.3Quality: 7.5
Piotroski: 1/9Altman Z: 2.38

RIO

Buy

54

out of 100

Grade: C-

Growth: 4.0Profit: 8.5Value: 6.0Quality: 5.5
Piotroski: 1/9Altman Z: 2.08
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

RGLDUndervalued (+40.9%)

Margin of Safety

+40.9%

Fair Value

$482.69

Current Price

$206.07

$276.62 discount

UndervaluedFair: $482.69Overvalued
RIOUndervalued (+24.5%)

Margin of Safety

+24.5%

Fair Value

$130.00

Current Price

$100.69

$29.31 discount

UndervaluedFair: $130.00Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

RGLD6 strengths · Avg: 9.7/10
Profit MarginProfitability
48.9%10/10

Keeps 49 of every $100 in revenue as profit

Operating MarginProfitability
63.8%10/10

Strong operational efficiency at 63.8%

Revenue GrowthGrowth
143.0%10/10

Revenue surging 143.0% year-over-year

EPS GrowthGrowth
91.9%10/10

Earnings expanding 91.9% YoY

Debt/EquityHealth
0.0810/10

Conservative balance sheet, low leverage

Price/BookValuation
2.4x8/10

Reasonable price relative to book value

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

Every $100 of equity generates 35 in profit

Market CapQuality
$168.54B9/10

Large-cap with strong market position

P/E RatioValuation
17.1x8/10

Attractively priced relative to earnings

Price/BookValuation
2.6x8/10

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

RGLD2 concerns · Avg: 3.5/10
P/E RatioValuation
25.1x4/10

Moderate valuation

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 : RGLD

The strongest argument for RGLD centers on Profit Margin, Operating Margin, Revenue Growth. Profitability is solid with margins at 48.9% and operating margin at 63.8%. Revenue growth of 143.0% 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 : RGLD

The primary concerns for RGLD are P/E Ratio, Piotroski F-Score.

Bear Case : RIO

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

Key Dynamics to Monitor

RGLD 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.

RGLD is growing revenue faster at 143.0% — sustainability is the question.

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

Bottom Line

RGLD scores higher overall (77/100 vs 54/100), backed by strong 48.9% margins and 143.0% 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.

Royal Gold Inc

BASIC MATERIALS · GOLD · USA

Royal Gold, Inc., acquires and manages precious metal flows, royalties and related interests. The company is headquartered in Denver, Colorado.

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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