Rio Tinto ADR (RIO)vsWells Fargo & Company (WFC)
RIO
Rio Tinto ADR
$87.54
+0.89%
BASIC MATERIALS · Cap: $139.55B
WFC
Wells Fargo & Company
$80.26
+0.82%
FINANCIAL SERVICES · Cap: $245.65B
Smart Verdict
WallStSmart Research — data-driven comparison
Wells Fargo & Company generates 39% more annual revenue ($80.04B vs $57.64B). WFC leads profitability with a 26.7% profit margin vs 17.3%. WFC appears more attractively valued with a PEG of 1.66. WFC earns a higher WallStSmart Score of 72/100 (B).
RIO
Buy54
out of 100
Grade: C-
WFC
Strong Buy72
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-136.9%
Fair Value
$41.41
Current Price
$87.54
$46.13 premium
Margin of Safety
+53.8%
Fair Value
$173.78
Current Price
$80.26
$93.52 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
Mega-cap, among the largest globally
Keeps 27 of every $100 in revenue as profit
Attractively priced relative to earnings
Reasonable price relative to book value
Strong operational efficiency at 29.9%
Generating 4.1B in free cash flow
Areas to Watch
Expensive relative to growth rate
Earnings declined 5.6%
Expensive relative to growth rate
Distress zone — elevated risk
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 : WFC
The strongest argument for WFC centers on Market Cap, Profit Margin, P/E Ratio. Profitability is solid with margins at 26.7% and operating margin at 29.9%.
Bear Case : RIO
The primary concerns for RIO are PEG Ratio, EPS Growth.
Bear Case : WFC
The primary concerns for WFC are PEG Ratio, Altman Z-Score.
Key Dynamics to Monitor
RIO profiles as a mature stock while WFC is a value play — different risk/reward profiles.
WFC carries more volatility with a beta of 1.07 — expect wider price swings.
RIO is growing revenue faster at 14.6% — sustainability is the question.
WFC generates stronger free cash flow (4.1B), providing more financial flexibility.
Bottom Line
WFC scores higher overall (72/100 vs 54/100), backed by strong 26.7% margins. 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.
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.
Wells Fargo & Company
FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA
Wells Fargo & Company is an American multinational financial services company with corporate headquarters in San Francisco, California, operational headquarters in Manhattan, and managerial offices throughout the United States and overseas.
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