WallStSmart

Grupo Simec SAB de CV ADR (SIM)vsTernium SA ADR (TX)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Grupo Simec SAB de CV ADR generates 96% more annual revenue ($30.54B vs $15.61B). SIM leads profitability with a 6.3% profit margin vs 3.7%. TX appears more attractively valued with a PEG of 0.13. TX earns a higher WallStSmart Score of 60/100 (C+).

SIM

Buy

54

out of 100

Grade: C-

Growth: 5.3Profit: 5.5Value: 7.3Quality: 9.0
Piotroski: 4/9Altman Z: 5.69

TX

Buy

60

out of 100

Grade: C+

Growth: 5.3Profit: 4.5Value: 7.7Quality: 8.0
Piotroski: 3/9Altman Z: 3.14
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

SIMUndervalued (+38.5%)

Margin of Safety

+38.5%

Fair Value

$50.38

Current Price

$30.05

$20.34 discount

UndervaluedFair: $50.38Overvalued

Intrinsic value data unavailable for TX.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

SIM5 strengths · Avg: 9.6/10
P/E RatioValuation
8.0x10/10

Attractively priced relative to earnings

Price/BookValuation
1.3x10/10

Reasonable price relative to book value

Debt/EquityHealth
0.0010/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
5.6910/10

Safe zone — low bankruptcy risk

EPS GrowthGrowth
30.9%8/10

Earnings expanding 30.9% YoY

TX6 strengths · Avg: 9.5/10
PEG RatioValuation
0.1310/10

Growing faster than its price suggests

Price/BookValuation
0.8x10/10

Reasonable price relative to book value

EPS GrowthGrowth
218.1%10/10

Earnings expanding 218.1% YoY

Altman Z-ScoreHealth
3.1410/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.259/10

Conservative balance sheet, low leverage

P/E RatioValuation
15.9x8/10

Attractively priced relative to earnings

Areas to Watch

SIM4 concerns · Avg: 3.0/10
Revenue GrowthGrowth
3.2%4/10

3.2% revenue growth

Return on EquityProfitability
4.4%3/10

ROE of 4.4% — below average capital efficiency

Profit MarginProfitability
6.3%3/10

6.3% margin — thin

PEG RatioValuation
4.432/10

Expensive relative to growth rate

TX4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
0.0%4/10

0.0% revenue growth

Return on EquityProfitability
4.7%3/10

ROE of 4.7% — below average capital efficiency

Profit MarginProfitability
3.7%3/10

3.7% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : SIM

The strongest argument for SIM centers on P/E Ratio, Price/Book, Debt/Equity.

Bull Case : TX

The strongest argument for TX centers on PEG Ratio, Price/Book, EPS Growth. PEG of 0.13 suggests the stock is reasonably priced for its growth.

Bear Case : SIM

The primary concerns for SIM are Revenue Growth, Return on Equity, Profit Margin.

Bear Case : TX

The primary concerns for TX are Revenue Growth, Return on Equity, Profit Margin. Thin 3.7% margins leave little buffer for downturns.

Key Dynamics to Monitor

TX carries more volatility with a beta of 1.20 — expect wider price swings.

SIM is growing revenue faster at 3.2% — sustainability is the question.

TX generates stronger free cash flow (-189M), providing more financial flexibility.

Monitor STEEL industry trends, competitive dynamics, and regulatory changes.

Bottom Line

TX scores higher overall (60/100 vs 54/100). SIM offers better value entry with a 38.5% 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.

Grupo Simec SAB de CV ADR

BASIC MATERIALS · STEEL · USA

Grupo Simec, SAB de CV manufactures, processes and distributes steel and steel alloys with special bar quality (SBQ) in Mexico, the United States, Brazil, Canada and internationally. The company is headquartered in Guadalajara, Mexico.

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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