Rio Tinto ADR (RIO)vsTernium SA ADR (TX)
RIO
Rio Tinto ADR
$100.48
+4.14%
BASIC MATERIALS · Cap: $163.40B
TX
Ternium SA ADR
$42.76
-1.47%
BASIC MATERIALS · Cap: $8.39B
Smart Verdict
WallStSmart Research — data-driven comparison
Rio Tinto ADR generates 269% more annual revenue ($57.64B vs $15.61B). RIO leads profitability with a 17.3% profit margin vs 2.7%. TX appears more attractively valued with a PEG of 0.13. RIO earns a higher WallStSmart Score of 54/100 (C-).
RIO
Buy54
out of 100
Grade: C-
TX
Hold47
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+14.1%
Fair Value
$114.19
Current Price
$100.48
$13.71 discount
Margin of Safety
+77.9%
Fair Value
$205.14
Current Price
$42.76
$162.38 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
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
Growing faster than its price suggests
Reasonable price relative to book value
Safe zone — low bankruptcy risk
Areas to Watch
Expensive relative to growth rate
Earnings declined 5.6%
ROE of 1.9% — below average capital efficiency
2.7% margin — thin
Operating margin of 4.2%
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull 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.
Bull Case : TX
The strongest argument for TX centers on PEG Ratio, Price/Book, Altman Z-Score. PEG of 0.13 suggests the stock is reasonably priced for its growth.
Bear Case : RIO
The primary concerns for RIO are PEG Ratio, EPS Growth.
Bear Case : TX
The primary concerns for TX are Return on Equity, Profit Margin, Operating Margin. Thin 2.7% margins leave little buffer for downturns.
Key Dynamics to Monitor
RIO profiles as a mature stock while TX is a value play — different risk/reward profiles.
TX carries more volatility with a beta of 1.19 — 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
RIO scores higher overall (54/100 vs 47/100), backed by strong 17.3% margins and 14.6% revenue growth. TX offers better value entry with a 77.9% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
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.
Ternium SA ADR
BASIC MATERIALS · STEEL · USA
Ternium SA manufactures and processes various steel products in Mexico, Argentina, Paraguay, Chile, Bolivia, Uruguay, Brazil, the United States, Colombia, Guatemala, Costa Rica, Honduras, El Salvador and Nicaragua. The company is headquartered in Luxembourg City, Luxembourg.
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