Share Name Share Symbol Market Type Share ISIN Share Description
Rio Tinto LSE:RIO London Ordinary Share GB0007188757 ORD 10P
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
  -5.00p -0.19% 2,618.50p 2,614.00p 2,615.00p 2,662.50p 2,588.50p 2,635.00p 2,633,591 16:35:11
Industry Sector Turnover (m) Profit (m) EPS - Basic PE Ratio Market Cap (m)
Mining 23,637.8 -492.7 -32.2 - 35,996.12

Rio Tinto (RIO) Latest News (6)

More Rio Tinto News
Rio Tinto Takeover Rumours

Rio Tinto (RIO) Share Charts

1 Year Rio Tinto Chart

1 Year Rio Tinto Chart

1 Month Rio Tinto Chart

1 Month Rio Tinto Chart

Intraday Rio Tinto Chart

Intraday Rio Tinto Chart

Rio Tinto (RIO) Discussions and Chat

Rio Tinto Forums and Chat

Date Time Title Posts
29/9/201621:35RIO - TRADERS THREAD54,381
28/11/201414:44Tip TV Daily market Round-up-
11/8/201414:49 Rio Tinto (RIO): Triangle Break Setup-
27/1/201401:12RIO Chart1

Add a New Thread

Rio Tinto (RIO) Most Recent Trades

Trade Time Trade Price Trade Size Trade Value Trade Type
View all Rio Tinto trades in real-time

Rio Tinto (RIO) Top Chat Posts

Rio Tinto Daily Update: Rio Tinto is listed in the Mining sector of the London Stock Exchange with ticker RIO. The last closing price for Rio Tinto was 2,623.50p.
Rio Tinto has a 4 week average price of 2,598.38p and a 12 week average price of 2,465.47p.
The 1 year high share price is 2,800p while the 1 year low share price is currently 1,557p.
There are currently 1,374,684,640 shares in issue and the average daily traded volume is 4,813,497 shares. The market capitalisation of Rio Tinto is £35,996,117,298.40.
christh: Rio Tinto: A Core Investment In The Mining Sector Despite The Dividend Cut Aug.10.16 | About: Rio Tinto (RIO) Rio Tinto reports acceptable half-year results and cuts the interim dividend by 58% to 45 cents. The dividend for the full year will be at least 110 cents. Higher free cash flow allowed to reduce net debt. If iron remains at $55, Rio Tinto will surely continue to make progress. Rio Tinto (NYSE:RIO), the world's second largest iron ore miner, reported half-year results on August 3. Underlying EBITDA fell 27% to $5,367M compared to $7,303M in the year before. Underlying earnings dropped 47% to $1,563M or $0.95 per diluted share. Strong free cash flow enabled the company to reduce net debt from $13.8B at the end of last year to $12.9B on June 30, and gearing was lowered from 23% to 21%. Underlying earnings are a key metric for Rio Tinto shareholders as they determine the dividend after the introduction of the new policy in February 2016. Total cash returns to shareholders shall be in a range of 40% to 60% of underlying earnings in aggregate through the cycle. The 45 cents interim dividend which was just declared is in the middle of that range and represents 52% of underlying earnings. Nevertheless, it is a 58% reduction compared to the last interim dividend of 107.5 cents. Rio Tinto also stated that for FY16, the board's intention is the final dividend paid next year will be at least 65 cents per share. Business Outlook After the recovery of prices from their 10-year lows at the beginning of the year, the importance of iron ore for Rio Tinto's profitability is as high as it used to be in the past. Iron ore represents 60% of underlying EBITDA in the first half of 2016 and 82% of underlying earnings before other items. Rio Tinto's Product Groups Product Group Revenue [$M] 1HY16 Revenue [$M] 1HY15 Underlying EBITDA [$M] 1HY16 Underlying EBITDA [$M] 1HY15 Underlying Earnings [$M] 1HY16 Underlying Earnings [$M] 1HY15 Iron Ore 6,303 7,004 3,438 4,010 1,743 2,100 Aluminum 4,553 5,455 1,076 1,688 377 793 Copper & Diamonds 2,453 3,263 655 1,335 -67 393 Energy & Minerals 2,960 3,524 531 620 82 74 Other operations/ other items/ exploration/net interest -4 -12 -337 -350 -572 -417 Total 16,293 19,234 5,367 7,303 1,563 2,923 Source: Company website. Iron ore is Rio Tinto's bright spot, and it will likely continue to be the driver for an improved business performance going forward. In 1HY16, Rio Tinto realized an average iron ore price of $44.5/wmt FOB basis, equivalent to $48.4/dmt. Pilbara cash unit costs fell to $14.30/ton, compared to $16.20 in the first half of 2015 . At present it seems that the iron ore price recovery can be sustainable, and assuming an average price of $55/dmt for the rest of the year, Rio Tinto's EBITDA in 2HY16 could grow by around $800M. All other segments had to face stronger headwinds in the first half-year, and combined underlying EBITDA fell 38% or $1,381M from $3,463M to $2,262M. This compares to a $572M EBITDA reduction corresponding to a 14% decline for the Iron Ore product group. Although some improvements can be expected in the second half of the year, the other product groups are unlikely to have a substantial positive impact on Rio Tinto's result. For Aluminum, the second largest segment, I expect a slightly improved performance based on constant volume and better pricing. Not much progress can be anticipated from Copper and Diamonds. Copper is one of the few disappointments in the commodity sector as prices remain at depressed levels, and the red metal did not benefit from the broad mining rally of 2016. Volumes will not contribute to growth either as Rio Tinto's production will essentially remain flat in the second half-year. Energy and Minerals is likely to see a stronger second half-year, driven by various factors. Prices for thermal coal recovered noticeably in recent months due to higher imports to China. Metallurgical coal prices are up as well inline with strong demand for steelmaking raw materials. The contribution of iron ore pellets from IOC (Iron Ore Company of Canada) which are reported under Energy and Minerals, will continue to increase on higher production volumes. All these trends point toward higher cash flows in the second half of 2016. Net cash generated from operating activities of $3.2B in 1HY16 was 24% lower than in 2015, but capital expenditures of $1.3B ($1.1.B less than last year) and raising $0.6B through asset sales increased cash generation, allowing Rio Tinto to reduce net debt by $0.9B. The reduced dividend in the second half-year will liberate additional cash. With the final payment in April 2016, the company distributed $1.9B to shareholders. The lower interim dividend of $0.45 will save Rio Tinto around $1.1B later in the year. On the other side, capital and exploration expenditures will increase based on Rio Tinto's guidance of $4.0B for FY16. New projects and primarily the development of the Oyu Tolgoi underground copper mine in Mongolia with a projected investment volume of $5.3B and the Amrun bauxite project in Queensland with $1.8B remaining will increase capex in the near future. They will bring expenditures up to $5.0B in 2017 and $5.5B in 2018, including around $2.0B of annual sustaining capex. Assuming an at least stable price environment for Rio Tinto's major products and predominantly iron ore, my estimation is that the company's operational performance will continue to improve which should lead to at least constant free cash flow. This should enable the company to reduce net debt further or possibly pay out more than the $1.10 minimum dividend. Share Price and Dividend With the strongest balance sheet and the lowest cost delivered to China, Rio Tinto remains the most solid of the major iron ore miners. This has not spared shares from falling nearly 50% to a low of $22 in January, but the stock has recovered nearly 50% since then. Compared with its peers BHP Billiton (NYSE:BHP) (NYSE:BBL) and particularly Vale SA (NYSE:VALE), Rio Tinto has been less volatile. Despite the dividend cut, Rio Tinto maintains an above average yield, higher than BHP's, not to mention Vale which suspended the dividend entirely. With the outlook of a minimum dividend of $1.10 for FY16, Rio Tinto yields 3.4%. As I said earlier, a healthy cash flow might even allow Rio Tinto to pay more than $0.65 final dividend, but it is too early to count on it yet. Conclusion Rio Tinto has mastered the commodity downturn quite well, and the stock bottomed earlier in the year. The company's balance sheet which already belonged to the strongest in the industry improved further after the debt repayment. I'm optimistic about Rio Tinto's near-term outlook and the stock remains one of the key holdings in my mining's portfolio. Disclaimer: Opinions expressed herein by the author are not an investment recommendation, any material in this article should be considered general information, and not relied on as a formal investment recommendation. Before making any investment decisions, investors should also use other sources of information, draw their own conclusions, and consider seeking advice from a broker or financial advisor. hTtp://
christh: Will Rio Tinto cut its dividend? By Robert Sutherland Smith 29 January 2016 Rio Tinto (RIO) at 1724p, after the annual production figures. Could the market be considerably under-valuing Rio Tinto because it is too bearish about its cash position? I explain here why that may be the case. The Rio Tinto (RIO) share price (1724p last seen) gives a historic annual dividend yield of around 8.7% (at the current pound/dollar exchange rate of $1.44 to the pound). Rio does its accounting in dollars. In accordance with convention, that kind of super normal dividend yield implies a dividend cut which usually, but not always of course, choreographs with an improvement in the share price. The company is clearly preoccupied with costs according to the news of cost cutting and the sale of assets. This week it was confirmed that the company is to sell (subject to conditions) its coking coal asset Mount Pleasant, New South Wales, for a stated $830 million, which, added to disinvestments since January 2013, will take the total value of disposals to over $5 billion. However, the company is at the same time planning to increase its capital expenditure on big efficient mines elsewhere. Most notably, the extension of the Mongolian copper mine Oyu Tolgoi underground with $4.4 billion dollars of syndicated loan finance that will have to be serviced. There is also what is described as the prime Amrun Bauxite development which will take another $1.9 billion of project finance. So the picture of Rio Tinto as the company stripping out billions of dollars of costs and now, non strategic assets, has to be adjusted by thoughts about the costs related to expansion elsewhere. Against the background of weak iron ore, copper and coking coal commodity prices and geo political worries generally, the Rio Tinto share price has massively underperformed the FTSE100 Index in the last six months, falling by near 30% during a period when the market went down by only 11%. That fall crystallises concerns that the dividend may come under financial pressure as its cost competes with the cost of financing the project finance of these new investments. So the question now is will the Rio dividend will be cut – clearly the market thinks it will – with the current historic dividend now at 8.6%? That is clearly too high a dividend at which to sell these shares, if for no other reason than the fact that the cutting of such high dividends is usually taken by the market as a confidence indicator, leading to an improvement in the share price for that reason. Before considering the dividend outlook further, it is worth noting that this month’s production statement for the fourth quarter of 2015 and the year as a whole looks better than circumstances might suggest. I add that the statement gives volume details and not financial data, which will come in due course – with the publication of the annual report and accounting for last year. Because of Pilbara coming more fully on stream, the shipment and production figures for iron ore are notably impressive. For the whole of 2015 iron ore shipment and production rose eleven per cent in volume terms. The price might have fallen dramatically, but that is at least partly compensated for by the company selling more of it in 2015 than in 2014. With the exception of copper and titanium dioxide slag, all categories of production demand performed positively in 2015: bauxite plus four per cent; aluminium plus one per cent; hard coking coal plus 11%. Semi soft thermal coal production was the same as a year before, whilst the relatively small in size titanium dioxide slag saw production fall by a quarter. In short, Rio Tinto demonstrated efficiency across many segments of shipment and production, which justifies a relatively bullish view of the company’s operations, even markets like these. Returning to the question of the dividend, it is worth remembering that according to the last balance sheet dated 30th June 2015, the company had a strong cash position. Operating cash flow was $4.4 billion despite the fact that that the then statutory net income figures was down more than eighty per cent from the net profit figure published a year earlier. So although earnings were down by more than eighty per cent, operating cash flow was down by less than a quarter of that figure. A principle reason being that that the depreciation charge had risen by 2% to $2.3 billion – an amount almost three times the published net profit figure. The depreciation charge alone was more than enough to pay the dividend of $2.1 billion. It constituted a reliable 52% of total operating cash flow in the last June balance sheet. The total operating cash flow figure of $4.4 billion almost covered capital expenditure and the cost of dividends at $4.6 billion. Most significantly, quarter-end cash on 30th June was $11 billion – despite everything, 16.5% higher than a year earlier. I do not take a cut in the Rio dividend for granted. There are two reasons for considering a purchase of RIO shares at this low level: first, that the dividend will not be cut (in which case the shares are cheap); or that there might be such a cut, which is already discounted, prompting the shares to rise on relief, in which case the shares are also cheap. I cannot see the future and do not know what might or might not have been said by the company to analysts. But I am one who thinks there is a strong chance that the dividend will not be cut. The shares are selling at only 2.8 times last balance sheet cash or on my estimate around 600p a share. The market consensus estimates are that the annual dividend will rise a little (by a postulated 2.2%) this year to give a prospective estimated dividend yield of 8.8%. There seems to be a discrepancy between the analysts and the market in general. hxxp://
arja: irish luck - it was the equivalent in sterling of the RIO share price in USA at that moment . RIO in UK religiously follows the USA price from the moment the futures opens at about 11.30am UK time .
kenmitch: EssentialInvestor. Yours is the majority view and that's why Companies still get away with wasting a fortune on buybacks. Yes, eps is higher (great for Director bonus payments based on eps btw) but the extra bit they can add to the dividend is peanuts really. Also what about the effect on RIO eps on the ever tumbling iron ore price? That (and price falls for their other resources) has far more effect on eps than the £billions they spend buying back. Detailed research from Morgan Stanley a while ago showed that the share prices of companies buying back almost always underperformed those in the same sector that didn't. btw.. since Apple were forced by an activist investor to go for buybacks (and they've thrown an incredible $104 BILLION away on buybacks) their share price performance has been poor. The share had its best gains in the days when they weren't buying back. Think about it ... $104 BILLION.....worth repeating; BILLION. It's a LOT of money to throw away! The big Rio share price fall today strongly suggests that the market now thinks RIO will have to cut their dividend. And note too how in the update today no longer were there promises of dividend rises and they were very vague on future returns to shareholders. IF they do cut the dividend then perhaps you will have a closer look at the negative case for buybacks and also conclude that they are usually a complete waste of money. Good to see that Irish luck realises that. Just wish the Directors did too!
hpcg: What do people mean when they write "recovery in mining stocks"? Do you mean an increase in commodity prices? Do you mean a decrease in costs? Do you mean an increase in volumes / demand? Do you mean an increase in grades? Do you mean a reduction in competition (asymmetric outcomes on a company by company basis)? Do you mean an increase in the multiple investors are prepared to pay? And what is the end point of the recovery? About a year ago the RIO share price was about 2600. A 15-20% price rise to get back to that does not seem out of the question with a modest increase in prices, decrease in cost and some demand improvement. A return to 40 or 50 would require the same conditions which caused the share price to be at that level in the first place. That would seem impossible for two reasons: 1. China cannot replicate the build out and resource usage profile. 2. Investors are informed by recency bias and would know that any boom would result in a bust. In truth they should have known that anyway, but another investor weakness is extrapolating growth rates to infinity.
kenmitch: There is NO evidence that Rio buybacks have kept the share price at a reasonable level. We cannot know what the RIO share price would be now if they hadn't bought back. It's just as likely it could be higher. Shares in the Mining sector rise and fall across the board on up and down days, and very few if anyone buying or selling ever thinks before doing so about whether or not that Company has bought back shares. If buybacks really did support the share price then BP share price after £30 billion spent on buybacks would now be much higher instead of way down on the buyback prices. And how much did the GLEN buybacks this year all over £2 help prevent the share price falling to below 70p. It would have fallen just as far without the buybacks, and arguably less far as they would have the $1.6 billion they chose to throw down the drain! And the real clincher is APPLE. They have spent a mind boggling $104 billion on buybacks and yet their share price is on a far lower rating than many other US Tech shares. Buybacks are brilliant for Directors though as their bonus payments are often based on EPS. And yes, buybacks do of course increase eps, but that doesn't automatically mean a higher share price. It's also brilliant for Directors that so many investors big and small just accept as read the nonsense that buybacks are always good. So they get away with wasting money on them over and over again, and happily enjoy their bonus payments too on top of often much too high rewards anyway.
christh: Why Rio Tinto plc Is Set To Soar To £30! By Peter Stephens | – 1 hour 24 minutes ago For investors in Rio Tinto (LSE: RIO), the last year has been exceptionally tough. That's because the iron ore specialist's share price has slumped by 30% and has shown little sign of reversing this trend in recent weeks and months. As a result, it may seem somewhat surprising to suggest that the company is set to post exceptional share price gains of over 25% so that its valuation reaches £30 per share. However, Rio Tinto has huge upside potential. Certainly, it is suffering from an iron ore price that has declined to a ten-year low and, with the company relying on sales of the commodity for the vast majority of its profit, the impact on its earnings has been nothing short of horrific. For example, Rio Tinto is expected to report a 49% fall in its bottom line in the current year, which is reason enough to merit the aforementioned share price fall. Looking ahead, though, Rio Tinto is positioning itself so that it could be set to benefit from the current difficulties in the iron ore industry. For starters, it has increased production and, while this has contributed somewhat to the falling price as supply exceeds demand by an even greater amount, it also puts additional pressure on smaller, less efficient iron ore miners. And, with Rio Tinto having a size and scale advantage over the majority of its peers, this means that the company should be able to win market share and increase its domination. In the long run, this should equate to higher margins and greater profitability. Although this year's results are set to disappoint, Rio Tinto's net profit is forecast to rise by 9% next year. While this will not recover the lost ground in the current year, it shows that the company has the potential to bounce back following a difficult period. As a result, investor sentiment in Rio Tinto could stabilise and improve ahead of a more encouraging outlook. However, the real appeal of Rio Tinto is with regard to its income prospects. For example, it currently yields a whopping 6.1% and, with dividends set to rise by 3.2% next year, this is set to reach 6.3% in 2016. As a consequence, buying Rio Tinto now could mean an income return of 12.8% over the next two years. And, with dividends being covered 1.2 times by profit, the current level of shareholder payouts seems to be sustainable given the forecasts for profitability in the short to medium term. In fact, if Rio Tinto's share price were to rise by over 25% and trade at £30, it would still offer a dividend yield of over 5% next year. This would keep Rio Tinto among the highest yielding stocks on the FTSE 100 and, as a result, would continue to have upside potential as investors carry on chasing high-yielding shares. Moreover, at £30 per share, Rio Tinto's price to earnings (P/E) ratio would stand at 16.9 which, for a high quality and dominant mining company, would not be a particularly expensive price to pay. So, while the past has been disappointing for investors in Rio Tinto, its mix of income potential and capital growth prospects mean that now could be a great time to buy a slice of it. This could make a real difference to your portfolio returns in 2015,the best stocks at the lowest prices.
christh: To pay a special divi probably will raise issues with tax, benefit the current holders, not the long term holders. Money in the bank does not provide a good return and buying the shares does as it adds value to the company long term. Decreasing the number of shares, may reduce the shares in the market and reduce volatility. The company is not buying anymore companies, as they have not found any suitable investment or company to aquire so the only suitable way to spend the money is buy back their own shares which they think are worthy because of the company valuation(NAV). i.e.The Net Asset Value according to the company is worth £60 per share but currently is trading at £25 so it's worth doing it. Currently the share price has been traded down because of the iron ore selling price not what the company is worth. Maybe next week the price of iron ore will go up $10 so the RIO share price will shift by a percentage 2% to 3% or higher. That's why I think the company is doing the right thing with the share Buyback.
christh: Why Rio Tinto plc Is Set To Soar By 27%! By Peter Stephens | – 21 hours ago With the iron ore price falling to a 10-year low, it is little wonder that iron ore producer Rio Tinto (LSE: RIO) (NYSE: RIO.US) is going through a challenging period. In fact, the company's share price has sunk by 22% in the last five years, with many investors now believing that its next move could be further down. However, now could be a great time to buy a slice of Rio Tinto, with gains of 27% being very achievable over the medium term. Here's why. Increasing Output As the saying goes, "when the going gets tough, the tough get going", and that's exactly how Rio Tinto is treating the present low price in iron ore. It is using it to its advantage by increasing output and decreasing costs so as to limit the impact of a falling iron ore price on its bottom line, but also to hurt its sector peers. In fact, Rio Tinto has one of the lowest cost curves in the iron ore sector, and so can survive longer than most iron ore producers while commodity prices are low. And, in the long run, this could work out well for Rio Tinto as it increases its market share. Profitability Still, the short term is set to be very tough. For example, Rio Tinto's bottom line is expected to fall by a whopping 63% this year but, interestingly, the market appears to be sufficiently pricing in such a fall. For example, Rio Tinto currently trades on a price to earnings (P/E) ratio of 15.4 even when taking into account its forecast profit fall. This compares very favourably to the FTSE 100's P/E ratio of 16, and indicates that an upward rerating could be on the cards for Rio Tinto. And, looking ahead, Rio Tinto's focus on cutting costs and improving efficiencies is set to allow it to increase its bottom line by 21% in the next year. This means that, if it were to remain on its present P/E ratio of 15.4, shares in Rio Tinto would be trading at around £35.21, which is 21% higher than the company's current share price of £29.09. Furthermore, if Rio Tinto can continue to increase output and cut costs, which is very possible, then there is little reason why it should not trade on the same P/E ratio as the FTSE 100, which could mean an increase of 27% from its current price level. Looking Ahead Furthermore, Rio Tinto currently yields 5.3%, and this means that even if there is no uplift to its rating, the total return over the medium term could be well in excess of 27%. And, while the chances of a bid from Glencore now seem less likely after the Australian government said they would block such a deal, Rio Tinto's long term future appears to be very bright. As such, and while the short term may see the company's share price weaken somewhat as political pressure for output cuts increases (which it is believed would stabilise the iron ore price and boost the Australian economy), the medium- to long-term potential for Rio Tinto remains very attractive. Peter Stephens owns shares of Rio Tinto. The Motley Fool UK has no position in any of the shares mentioned. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors.
kenmitch: christh But there is no evidence that the BT share price rise was because of the buybacks is there? Lot of shares go up (and down) a lot and the main drivers are buying and selling (obviously) and then news and results etc. Have you ever read the detailed research from Morgan Stanley on share buybacks? They found that time and again companies buying back their shares subsequently saw their share prices underperform others in the same sector that had not bought back. Rio have bought back heavily in the past and at times close to the peaks of long ago, and they too provided no protection for the share price when commodity prices fell. It really is a fallacy that share buyback = higher share price. Also you use the word "will" as though a Rio share price rise is a certainty. You use that word both in support of your case for buybacks and also because of Rio's current tactics. I happen to agree that for the reasons you give the share price is likely to rise, but it is not a certainty. And when I last checked Goldman Sachs had Rio as a conviction sell. I don't agree but the fact that some are negative means rarely is a share certain to go up. The Rio share price is likely to move up and down with others in the sector buybacks or no buybacks. When news from China improves and when the price of iron ore recovers THEN the Rio share price is likely to do very well. You can then claim that the buybacks were partly behind the rise. I would claim that Rio's and BHP's tactics now of not cutting back production is hitting higher producers hard and will likely mean both their share prices doing very well in time. You say that too so why the need to buy back their shares? Isn't it better to increase the dividend instead as a higher yield can mean more investing in Rio including big income funds.
Rio Tinto share price data is direct from the London Stock Exchange
Your Recent History
Gulf Keyst..
FTSE 100
UK Sterlin..
Stocks you've viewed will appear in this box, letting you easily return to quotes you've seen previously.

Register now to create your own custom streaming stock watchlist.

By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions

P:43 V: D:20161020 19:34:25