Rio Tinto Group
Market Cap
UK£66.9b
Last Updated
2019/10/19 20:42 UTC
Data Sources
Company Financials +
Executive Summary
Rio Tinto Group engages in finding, mining, and processing mineral resources worldwide.
Snowflake
Fundamentals
Outstanding track record with excellent balance sheet and pays a dividend.
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Share Price & News
How has Rio Tinto Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
-5.9%
RIO
-3.2%
GB Metals and Mining
-0.4%
GB Market
1 Year Return
7.7%
RIO
1.4%
GB Metals and Mining
2.9%
GB Market
Return vs Industry: RIO exceeded the UK Metals and Mining industry which returned 1.4% over the past year.
Return vs Market: RIO exceeded the UK Market which returned 2.9% over the past year.
Shareholder returns
| RIO | Industry | Market | |
|---|---|---|---|
| 7 Day | -5.9% | -3.2% | -0.4% |
| 30 Day | -6.8% | -5.6% | -1.4% |
| 90 Day | -18.3% | -12.8% | -2.1% |
| 1 Year | 21.0%7.7% | 9.9%1.4% | 7.9%2.9% |
| 3 Year | 86.1%48.5% | 51.2%26.8% | 18.0%3.6% |
| 5 Year | 83.5%31.5% | 47.1%20.0% | 35.8%6.4% |
Price Volatility Vs. Market
How volatile is Rio Tinto Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
5 days ago | Simply Wall St
Update: Rio Tinto Group (LON:RIO) Stock Gained 59% In The Last Three Years2 weeks ago | Simply Wall St
Three Things You Should Check Before Buying Rio Tinto Group (LON:RIO) For Its Dividend3 weeks ago | Simply Wall St
Is Rio Tinto Group's (LON:RIO) P/E Ratio Really That Good?Valuation
Is Rio Tinto Group undervalued compared to its fair value and its price relative to the market?
27.1%
Undervalued compared to fair value
Share Price vs. Fair Value
Undervalued: RIO (£39.62) is trading below our estimate of fair value (£54.35)
Significantly Undervalued: RIO is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: RIO is good value based on its PE Ratio (6.3x) compared to the Metals and Mining industry average (8.8x).
PE vs Market: RIO is good value based on its PE Ratio (6.3x) compared to the UK market (16.7x).
Price to Earnings Growth Ratio
Low PEG Ratio: RIO's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: RIO is overvalued based on its PB Ratio (2.1x) compared to the GB Metals and Mining industry average (1x).
Next Steps
Future Growth
How is Rio Tinto Group forecast to perform in the next 1 to 3 years based on estimates from 23 analysts?
-3.8%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: RIO's earnings are forecast to decline over the next 3 years (-3.8% per year).
Earnings vs Market: RIO's earnings are forecast to decline over the next 3 years (-3.8% per year).
High Growth Earnings: RIO's earnings are forecast to decline over the next 3 years.
Revenue vs Market: RIO's revenue is expected to decline over the next 3 years (-2.3% per year).
High Growth Revenue: RIO's revenue is forecast to decline over the next 3 years (-2.3% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
High Future ROE: RIO's Return on Equity is forecast to be low in 3 years time (17.6%).
Next Steps
Past Performance
How has Rio Tinto Group performed over the past 5 years?
32.2%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Earnings Trend: RIO's earnings have grown significantly by 32.2% per year over the past 5 years.
Accelerating Growth: RIO's earnings growth over the past year (36.1%) exceeds its 5-year average (32.2% per year).
Earnings vs Industry: RIO earnings growth over the past year (36.1%) exceeded the Metals and Mining industry 3.4%.
Return on Equity
High ROE: RIO's Return on Equity (27.9%) is considered high.
Return on Assets
ROA vs Industry: RIO has a higher Return on Assets than the Metals and Mining industry average last year.
Return on Capital Employed
ROCE Improving: RIO has significantly improved its Return on Capital Employed over the past 3 years.
Next Steps
Financial Health
How is Rio Tinto Group's financial position?
Financial Position Analysis
Short Term Liabilities: RIO's short term assets ($16.9B) exceeds its short term liabilities ($11.1B)
Long Term Liabilities: RIO's short term assets (16.9B) do not cover its long term liabilities (31.4B)
Debt to Equity History and Analysis
Debt Level: RIO's debt to equity ratio (29.3%) is considered satisfactory
Reducing Debt: RIO's debt to equity ratio has reduced from 45% to 29.3% over the past 5 years.
Debt Coverage: RIO's debt is well covered by operating cash flow (100.1%).
Interest Coverage: RIO's interest payments on its debt are well covered by EBIT (33.7x coverage).
Balance Sheet
Inventory Level: RIO has a high level of physical assets or inventory.
Debt Coverage by Assets: RIO's debt is covered by short term assets (assets are 1.300800x debt).
Next Steps
Dividend
What is Rio Tinto Group's current dividend yield, its reliability and sustainability?
6.21%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Stability and Growth of Payments
Notable Dividend: RIO's dividend (6.21%) is higher than the bottom 25% of dividend payers in the UK market (2.01%).
High Dividend: RIO's dividend (6.21%) is in the top 25% of dividend payers in the UK market (5.36%)
Stable Dividend: RIO's dividend payments have been volatile in the past 10 years.
Growing Dividend: RIO's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (40.5%), RIO's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: RIO's dividends in 3 years are forecast to be covered by earnings (66.3% payout ratio).
Next Steps
Management
What is the CEO of Rio Tinto Group's salary, the management and board of directors tenure and is there insider trading?
2.8yrs
Average management tenure
CEO
J-S Jacques (48yo)
3.3yrs
Tenure
US$6,139,000
Compensation
Mr. Jean-Sébastien Jacques, M.Sc., has been the Chief Executive Officer of Rio Tinto plc, Rio Tinto Limited and Rio Tinto Group since July 2, 2016. Mr. Jacques served as the Deputy Chief Executive at Rio T ...
CEO Compensation Analysis
Compensation vs. Market: J-S's total compensation ($USD6.14M) is about average for companies of similar size in the UK market ($USD4.92M).
Compensation vs Earnings: J-S's compensation has increased by more than 20% in the past year.
Management Age and Tenure
2.8yrs
Average Tenure
51.5yo
Average Age
Experienced Management: RIO's management team is considered experienced (2.8 years average tenure).
Board Age and Tenure
2.5yrs
Average Tenure
60yo
Average Age
Experienced Board: RIO's board of directors are not considered experienced ( 2.5 years average tenure), which suggests a new board.
Insider Trading
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Role | Chief Executive Officer CEO & Director |
| Shares | 2.76 |
| Max Price | US$45.96 |
| Entity | Individual |
| Role | Unit CEO Chief Executive of Rio Tinto Aluminium |
| Shares | 4.92 |
| Max Price | US$45.96 |
| Entity | Individual |
| Role | Chief Executive Officer CEO & Director |
| Shares | 13,090 |
| Max Price | US$43.27 |
| Entity | Individual |
| Role | Unit CEO Chief Executive of Energy & Minerals |
| Shares | 826 |
| Max Price | US$43.27 |
| Entity | Individual |
| Role | Unit CEO Chief Executive of Rio Tinto Aluminium |
| Shares | 9,131 |
| Max Price | US$43.27 |
Ownership Breakdown
Management Team
Chris Salisbury (52yo)
Chief Executive of Iron Ore Group
- Tenure: 3.3yrs
- Compensation: US$2.52m
Philip Richards (63yo)
Group Executive & Group General Counsel
- Tenure: 2.6yrs
- Compensation: US$1.73m
Jakob Stausholm (51yo)
CFO & Executive Director
- Tenure: 1.1yrs
- Compensation: US$1.97m
J-S Jacques (48yo)
CEO & Director
- Tenure: 3.3yrs
- Compensation: US$6.14m
Arnaud Soirat (54yo)
Chief Executive of Copper & Diamonds
- Tenure: 3.3yrs
- Compensation: US$2.64m
Bold Baatar (45yo)
Chief Executive of Energy & Minerals
- Tenure: 2.8yrs
- Compensation: US$2.22m
Alf Barrios (53yo)
Chief Executive of Rio Tinto Aluminium
- Tenure: 5.8yrs
- Compensation: US$3.24m
Stephen McIntosh (55yo)
Group Executive of Growth & Innovation
- Tenure: 0.8yrs
- Compensation: US$2.60m
Simon Trott (44yo)
Chief Commercial Officer
- Tenure: 0yrs
- Compensation: US$2.52m
Vera Kirikova (45yo)
Human Resources Group Executive
- Tenure: 2.8yrs
- Compensation: US$1.64m
Board Members
Megan Clark (60yo)
Independent Non-Executive Director
- Tenure: 4.9yrs
- Compensation: US$332.00k
Sam Laidlaw (63yo)
Senior Independent Non-Executive Director
- Tenure: 0.4yrs
- Compensation: US$237.00k
Simon Thompson (60yo)
Independent Chairman of the Board
- Tenure: 1.6yrs
- Compensation: US$852.00k
Simon Henry (58yo)
Independent Non-Executive Director
- Tenure: 2.5yrs
- Compensation: US$224.00k
Michael L'Estrange (66yo)
Independent Non-Executive Director
- Tenure: 5.1yrs
- Compensation: US$275.00k
Simon McKeon (63yo)
Independent Non-Executive Director
- Tenure: 0.8yrs
David Constable (58yo)
Independent Non-Executive Director
- Tenure: 2.7yrs
- Compensation: US$323.00k
Jakob Stausholm (51yo)
CFO & Executive Director
- Tenure: 1.1yrs
- Compensation: US$1.97m
J-S Jacques (48yo)
CEO & Director
- Tenure: 3.3yrs
- Compensation: US$6.14m
Company Information
Rio Tinto Group's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Rio Tinto Group
- Ticker: RIO
- Exchange: LSE
- Founded: 1873
- Industry: Diversified Metals and Mining
- Sector: Materials
- Market Cap: UK£66.851b
- Shares outstanding: 1.62b
- Website: https://www.riotinto.com
Number of Employees
Location
- Rio Tinto Group
- 6 St James’s Square
- London
- Greater London
- SW1Y 4AD
- United Kingdom
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| RIOL | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | PLC Ordinary Shares | GB | GBP | Jan 1975 |
| RIO | LSE (London Stock Exchange) | Yes | PLC Ordinary Shares | GB | GBP | Jan 1975 |
| RIO1 | DB (Deutsche Boerse AG) | Yes | PLC Ordinary Shares | DE | EUR | Jan 1975 |
| RIO1 | XTRA (XETRA Trading Platform) | Yes | PLC Ordinary Shares | DE | EUR | Jan 1975 |
| RTPP.F | OTCPK (Pink Sheets LLC) | Yes | PLC Ordinary Shares | US | USD | Jan 1975 |
| RIOP | SWX (SIX Swiss Exchange) | Yes | PLC Ordinary Shares | CH | CHF | Jan 1975 |
| RIO N | BMV (Bolsa Mexicana de Valores) | SPONSORED ADR | MX | MXN | Jun 1990 | |
| 0KWZ | LSE (London Stock Exchange) | SPONSORED ADR | GB | USD | Jun 1990 | |
| RIO | NYSE (New York Stock Exchange) | SPONSORED ADR | US | USD | Jun 1990 | |
| RIOA | DB (Deutsche Boerse AG) | SPONSORED ADR | DE | EUR | Jun 1990 | |
| RIO | ASX (Australian Securities Exchange) | LTD Ordinary Shares | AU | AUD | Dec 1995 | |
| CRA1 | DB (Deutsche Boerse AG) | LTD Ordinary Shares | DE | EUR | Dec 1995 | |
| RTNT.F | OTCPK (Pink Sheets LLC) | LTD Ordinary Shares | US | USD | Dec 1995 | |
| RIO | SWX (SIX Swiss Exchange) | LTD Ordinary Shares | CH | CHF | Dec 1995 | |
| RIO | CHIA (Chi-X Australia) | LTD Ordinary Shares | AU | AUD | Dec 1995 | |
| RIO1EUR | TSX (The Toronto Stock Exchange) | LTD Ordinary Shares | CA | EUR | Dec 1995 |
Biography
Rio Tinto Group engages in finding, mining, and processing mineral resources worldwide. The company offers aluminium, silver, molybdenum, copper, diamonds, gold, borates, titanium dioxide, salt, iron ore, ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/10/19 20:42 |
| End of Day Share Price | 2019/10/18 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.