Core Viewpoint - Investors in the Mining - Miscellaneous sector should consider Rio Tinto (RIO) and Anglo American (NGLOY) for potential value opportunities, with RIO currently showing a stronger investment outlook [1]. Valuation Metrics - RIO has a Zacks Rank of 2 (Buy), indicating a more favorable earnings estimate revision compared to NGLOY, which has a Zacks Rank of 3 (Hold) [3]. - RIO's forward P/E ratio is 11.14, significantly lower than NGLOY's forward P/E of 34.32, suggesting RIO may be undervalued [5]. - RIO's PEG ratio is 4.74, while NGLOY's PEG ratio is 6.29, indicating RIO's expected earnings growth is more favorable relative to its valuation [5]. - RIO has a P/B ratio of 1.34 compared to NGLOY's P/B of 1.57, further supporting RIO's valuation advantage [6]. Value Grades - RIO has earned a Value grade of A, while NGLOY has a Value grade of C, reflecting RIO's stronger overall valuation metrics [6]. - The improving earnings outlook for RIO enhances its attractiveness as a value investment option [7].
RIO vs. NGLOY: Which Stock Is the Better Value Option?