Understanding Rio Tinto – A Fundamental Overview

By Susan Ramirez • Wednesday, April 24 15:08 • Permanent Link

More and more people are talking about Rio Tinto over the last few weeks. Is it worth buying the Industrial Metals & Mining stock at a price of $67.99? Only time will tell. The information below will give you a basic idea of what this investment may entail:

Rio Tinto has moved 5.9% over the last year, and the S&P 500 logged a change of 25.0%
RIO has an average analyst rating of buy and is -16.83% away from its mean target price of $81.75 per share
Its trailing earnings per share (EPS) is $6.16
Rio Tinto has a trailing 12 month Price to Earnings (P/E) ratio of 11.0 while the S&P 500 average is 15.97
Its forward earnings per share (EPS) is $4.21 and its forward P/E ratio is 16.1
The company has a Price to Book (P/B) ratio of 2.02 in contrast to the S&P 500's average ratio of 2.95
Rio Tinto is part of the Basic Materials sector, which has an average P/E ratio of 16.53 and an average P/B of 2.07
RIO has reported YOY quarterly earnings growth of 43.1% and gross profit margins of 0.3%
The company has a free cash flow of $7.43 Billion, which refers to the total sum of all its inflows and outflows of cash over the last quarter
Rio Tinto Group engages in exploring, mining, and processing mineral resources worldwide. The company operates through Iron Ore, Aluminium, Copper, and Minerals Segments. The Iron Ore segment engages in the iron ore mining, and salt and gypsum production in Western Australia. The Aluminum segment is involved in bauxite mining; alumina refining; and aluminium smelting. The Copper segment engages in mining and refining of copper, gold, silver, molybdenum, and other by-products and exploration activities. The Minerals segment is involved in mining and processing of borates, titanium dioxide feedstock, and iron concentrate and pellets; diamond mining, sorting, and marketing; and development projects for battery materials, such as lithium. It also owns and operates open pit and underground mines; and refineries, smelters, processing plants and power, and shipping facilities. Rio Tinto Group was founded in 1873 and is headquartered in London, the United Kingdom.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.