` Comparison: NEXA vs RIO - Alpha Spread

NEXA
vs
RIO

Over the past 12 months, NEXA has underperformed RIO, delivering a return of 0% compared to the RIO's +38% growth.

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NEXA
RIO
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Valuation Comparison

NEXA Intrinsic Value
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RIO Intrinsic Value
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Company Last Price Intrinsic Value DCF Value Relative Value Wall St Target
Nexa Resources SA
TSX:NEXA
10.14 CAD
Rio Tinto PLC
LSE:RIO
6 668 GBX
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Valuation Scenario:
Bear Case
Base Case
Bull Case

Growth Comparison

Growth Over Time
NEXA, RIO

NEXA
RIO
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Revenue
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Company LTM Historical Growth Growth Streak % Positive Years Max Drawdown Volatility Forecasted Growth
3 Years 5 Years 10 Years 1 Year 3 Years
Nexa Resources SA
Revenue
Rio Tinto PLC
Revenue

All metrics are calculated based on data from the last 10 years.

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Profitability Comparison

Free Cash Flow
NEXA, RIO

NEXA
RIO
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Free Cash Flow
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Company LTM Average Historical Growth FCF Margin Conversion
3 Years 5 Years 3 Years 5 Years 10 Years
Nexa Resources SA
TSX:NEXA
Rio Tinto PLC
LSE:RIO
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What is Free Cash Flow?

Gross Margin

NEXA
19.3%
RIO
49.2%
LTM 3Y Avg 5Y Avg 10Y Avg
Nexa Resources SA
Rio Tinto PLC

Operating Margin

NEXA
11.7%
RIO
30.4%
LTM 3Y Avg 5Y Avg 10Y Avg
Nexa Resources SA
Rio Tinto PLC

Net Margin

NEXA
-0.6%
RIO
17.3%
LTM 3Y Avg 5Y Avg 10Y Avg
Nexa Resources SA
Rio Tinto PLC

FCF Margin

NEXA
1%
RIO
7.8%
LTM 3Y Avg 5Y Avg 10Y Avg
Nexa Resources SA
Rio Tinto PLC

ROE

NEXA
-1.6%
RIO
17.6%
LTM 3Y Avg 5Y Avg 10Y Avg
Nexa Resources SA
Rio Tinto PLC

ROA

NEXA
-0.3%
RIO
8.9%
LTM 3Y Avg 5Y Avg 10Y Avg
Nexa Resources SA
Rio Tinto PLC

ROIC

NEXA
1.2%
RIO
11.9%
LTM 3Y Avg 5Y Avg 10Y Avg
Nexa Resources SA
Rio Tinto PLC

ROCE

NEXA
8.8%
RIO
17.7%
LTM 3Y Avg 5Y Avg 10Y Avg
Nexa Resources SA
Rio Tinto PLC

Solvency Comparison

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Balance Sheet Comparison
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Stocks Performance

Stocks Performance
NEXA, RIO

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Performance Gap
NEXA, RIO

Performance Gap Between NEXA and RIO
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Performance By Year
NEXA, RIO

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NEXA
RIO
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Compare NEXA to other stocks
BHP
BHP Group Ltd
More expensive
vs NEXA
RIO
Rio Tinto Ltd
More expensive
vs NEXA
GMEXICOB
Grupo Mexico SAB de CV
More expensive
vs NEXA
GLEN
Glencore PLC
More expensive
vs NEXA
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Intrinsic Value is all-important and is the only logical way to evaluate the relative attractiveness of investments and businesses.

Warren Buffett