WallStSmart

Royal Gold Inc (RGLD)vsVale SA ADR (VALE)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Vale SA ADR generates 14100% more annual revenue ($218.07B vs $1.54B). RGLD leads profitability with a 48.0% profit margin vs 4.8%. VALE appears more attractively valued with a PEG of 0.33. 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: 7.0
Piotroski: 1/9Altman Z: 2.38

VALE

Buy

57

out of 100

Grade: C

Growth: 3.3Profit: 5.5Value: 8.0Quality: 5.0
Piotroski: 2/9Altman Z: 1.13
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

RGLDUndervalued (+49.1%)

Margin of Safety

+49.1%

Fair Value

$560.19

Current Price

$252.28

$307.91 discount

UndervaluedFair: $560.19Overvalued
VALEUndervalued (+76.8%)

Margin of Safety

+76.8%

Fair Value

$74.92

Current Price

$15.23

$59.69 discount

UndervaluedFair: $74.92Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

RGLD6 strengths · Avg: 9.3/10
Profit MarginProfitability
48.0%10/10

Keeps 48 of every $100 in revenue as profit

Operating MarginProfitability
62.0%10/10

Strong operational efficiency at 62.0%

Revenue GrowthGrowth
115.5%10/10

Revenue surging 115.5% year-over-year

Debt/EquityHealth
0.0510/10

Conservative balance sheet, low leverage

Price/BookValuation
2.9x8/10

Reasonable price relative to book value

EPS GrowthGrowth
38.3%8/10

Earnings expanding 38.3% YoY

VALE5 strengths · Avg: 8.6/10
PEG RatioValuation
0.3310/10

Growing faster than its price suggests

Market CapQuality
$64.99B9/10

Large-cap with strong market position

Price/BookValuation
1.7x8/10

Reasonable price relative to book value

Operating MarginProfitability
22.0%8/10

Strong operational efficiency at 22.0%

Free Cash FlowQuality
$1.24B8/10

Generating 1.2B in free cash flow

Areas to Watch

RGLD2 concerns · Avg: 3.5/10
P/E RatioValuation
29.8x4/10

Moderate valuation

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

VALE4 concerns · Avg: 3.3/10
P/E RatioValuation
30.5x4/10

Premium valuation, high expectations priced in

Return on EquityProfitability
5.3%3/10

ROE of 5.3% — below average capital efficiency

Profit MarginProfitability
4.8%3/10

4.8% margin — thin

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

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 48.0% and operating margin at 62.0%. Revenue growth of 115.5% demonstrates continued momentum.

Bull Case : VALE

The strongest argument for VALE centers on PEG Ratio, Market Cap, Price/Book. PEG of 0.33 suggests the stock is reasonably priced for its growth.

Bear Case : RGLD

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

Bear Case : VALE

The primary concerns for VALE are P/E Ratio, Return on Equity, Profit Margin. Thin 4.8% margins leave little buffer for downturns.

Key Dynamics to Monitor

RGLD profiles as a growth stock while VALE is a value play — different risk/reward profiles.

VALE carries more volatility with a beta of 0.75 — expect wider price swings.

RGLD is growing revenue faster at 115.5% — sustainability is the question.

VALE generates stronger free cash flow (1.2B), providing more financial flexibility.

Bottom Line

RGLD scores higher overall (77/100 vs 57/100), backed by strong 48.0% margins and 115.5% revenue growth. VALE offers better value entry with a 76.8% 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.

Vale SA ADR

BASIC MATERIALS · OTHER INDUSTRIAL METALS & MINING · USA

Vale SA produces and sells iron ore and iron ore pellets for use as raw material in steelmaking in Brazil and internationally. The company is headquartered in Rio de Janeiro, Brazil.

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