Stock Updates

Is this Large Market Cap Stock target price reasonable for Rio Tinto plc (NYSE:RIO)?

The company in question is, Rio Tinto plc (NYSE:RIO) currently with a stock price of 31.77 (-0.13% today). The market cap for Rio Tinto plc is 59762.55, and is in the sector Basic Materials, and Industrial Metals & Minerals industry. The target price for Rio Tinto plc is 38.08. Currently Rio Tinto plc is trading with a P/E of 1270.8, and a forward P/E of 11.48. Average volume for Rio Tinto plc is 3589.18 and so far today it is 2550000.

Performance in the last year for Rio Tinto plc has been -14.58%. For EPS growth, Rio Tinto plc has seen a growth of -113.50%, and is looking to grow in the next year to 19.98%. More long term stats show that EPS growth has been -15.60% over the last five years and could be 16.80% for the next five years. Rio Tinto plc has seen sales growth quarter over quarter at -36.30%, with EPS growth quarter over quarter at -60.00%. The 20-day simple moving average is -0.54%, with the 200-day simple moving average coming to 8.92%.

Since the IPO date for Rio Tinto plc on the 6/28/1990, Rio Tinto plc has seen performance year to date to be 15.02%. With Rio Tinto plc trading at 31.77, the dividend yield is 4.75%, and the EPS is 0.03.

So could Rio Tinto plc, be undervalued? Well as said before P/E is 1270.8. The PEG is 75.64, P/S is 1.85 and the P/B is at 1.52. The P/cash is 7.13, with P/free cash flow at 72.09.

Rio Tinto plc ability to deal with debt shows that the current ratio is 1.7, and the quick ratio is 1.3. This is with long term debt/equity at 0.55, and total debt/equity at 0.58.

In terms of margins, Rio Tinto plc has a gross margin of *TBA, an operating margin of 7.40% and a profit margin of 0.10%.Payout ratio for Rio Tinto plc is *TBA. Return on assets come to 0.00% with return on investment coming to 4.30%.

Insider ownership for Rio Tinto plc, is at 6.50% and institutional ownership comes to 7.00%. Outstanding shares are at 1881.1. While shares float is 1183.38. The float short is currently 0.92%, and short ratio is 3.03.

Disclaimer: Remember there is a risk to your investment, this is not a recommendation, nor personal advice, never invest more than you are able too loose.

About the author

Peter Clarke

Leave a Comment