RIO TINTO PLC (RIO1.DE) Stock Fundamental Analysis
Europe - FRA:RIO1 - GB0007188757 - Common Stock
61.2 EUR
+0.29 (+0.48%)
Overall RIO1 gets a fundamental rating of 5 out of 10. We evaluated RIO1 against 42 industry peers in the Metals & Mining industry. While RIO1 has a great profitability rating, there are some minor concerns on its financial health. RIO1 has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year RIO1 was profitable.
RIO1 had a positive operating cash flow in the past year.
Each year in the past 5 years RIO1 has been profitable.
RIO1 had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
RIO1 has a Return On Assets of 8.50%. This is amongst the best in the industry. RIO1 outperforms 83.33% of its industry peers.
RIO1's Return On Equity of 17.65% is amongst the best of the industry. RIO1 outperforms 85.71% of its industry peers.
RIO1 has a Return On Invested Capital of 9.47%. This is in the better half of the industry: RIO1 outperforms 78.57% of its industry peers.
RIO1 had an Average Return On Invested Capital over the past 3 years of 14.66%. This is significantly above the industry average of 7.74%.
The 3 year average ROIC (14.66%) for RIO1 is well above the current ROIC(9.47%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.5% | ||
| ROE | 17.65% | ||
| ROIC | 9.47% |
ROA(3y)11.25%
ROA(5y)12.86%
ROE(3y)21.27%
ROE(5y)25.13%
ROIC(3y)14.66%
ROIC(5y)17.06%
1.3 Margins
RIO1 has a Profit Margin of 19.12%. This is amongst the best in the industry. RIO1 outperforms 85.71% of its industry peers.
RIO1's Profit Margin has improved in the last couple of years.
With a decent Operating Margin value of 25.78%, RIO1 is doing good in the industry, outperforming 78.57% of the companies in the same industry.
In the last couple of years the Operating Margin of RIO1 has declined.
RIO1 has a better Gross Margin (47.59%) than 71.43% of its industry peers.
In the last couple of years the Gross Margin of RIO1 has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.78% | ||
| PM (TTM) | 19.12% | ||
| GM | 47.59% |
OM growth 3Y-15.69%
OM growth 5Y-5.08%
PM growth 3Y-13.49%
PM growth 5Y3.02%
GM growth 3Y-9.8%
GM growth 5Y-2.74%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so RIO1 is still creating some value.
The number of shares outstanding for RIO1 remains at a similar level compared to 1 year ago.
The number of shares outstanding for RIO1 remains at a similar level compared to 5 years ago.
The debt/assets ratio for RIO1 has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.58 indicates that RIO1 is not a great score, but indicates only limited risk for bankruptcy at the moment.
RIO1 has a Altman-Z score of 2.58. This is in the better half of the industry: RIO1 outperforms 61.90% of its industry peers.
RIO1 has a debt to FCF ratio of 4.61. This is a neutral value as RIO1 would need 4.61 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 4.61, RIO1 is in the better half of the industry, outperforming 64.29% of the companies in the same industry.
RIO1 has a Debt/Equity ratio of 0.39. This is a healthy value indicating a solid balance between debt and equity.
RIO1 has a Debt to Equity ratio of 0.39. This is in the lower half of the industry: RIO1 underperforms 64.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | 4.61 | ||
| Altman-Z | 2.58 |
ROIC/WACC0.96
WACC9.81%
2.3 Liquidity
A Current Ratio of 1.53 indicates that RIO1 should not have too much problems paying its short term obligations.
The Current ratio of RIO1 (1.53) is worse than 69.05% of its industry peers.
A Quick Ratio of 1.03 indicates that RIO1 should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.03, RIO1 is in line with its industry, outperforming 50.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.53 | ||
| Quick Ratio | 1.03 |
3. Growth
3.1 Past
RIO1 shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -15.75%.
Measured over the past 5 years, RIO1 shows a small growth in Earnings Per Share. The EPS has been growing by 1.06% on average per year.
Looking at the last year, RIO1 shows a decrease in Revenue. The Revenue has decreased by -0.83% in the last year.
Measured over the past years, RIO1 shows a small growth in Revenue. The Revenue has been growing by 4.45% on average per year.
EPS 1Y (TTM)-15.75%
EPS 3Y-20.07%
EPS 5Y1.06%
EPS Q2Q%-16.45%
Revenue 1Y (TTM)-0.83%
Revenue growth 3Y-5.46%
Revenue growth 5Y4.45%
Sales Q2Q%0.26%
3.2 Future
Based on estimates for the next years, RIO1 will show a decrease in Earnings Per Share. The EPS will decrease by -3.77% on average per year.
Based on estimates for the next years, RIO1 will show a decrease in Revenue. The Revenue will decrease by -2.97% on average per year.
EPS Next Y-8.58%
EPS Next 2Y-2.82%
EPS Next 3Y-0.06%
EPS Next 5Y-3.77%
Revenue Next Year1.18%
Revenue Next 2Y1.31%
Revenue Next 3Y1.75%
Revenue Next 5Y-2.97%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
RIO1 is valuated reasonably with a Price/Earnings ratio of 11.61.
Compared to the rest of the industry, the Price/Earnings ratio of RIO1 indicates a somewhat cheap valuation: RIO1 is cheaper than 78.57% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.08, RIO1 is valued rather cheaply.
RIO1 is valuated reasonably with a Price/Forward Earnings ratio of 11.23.
Compared to the rest of the industry, the Price/Forward Earnings ratio of RIO1 indicates a somewhat cheap valuation: RIO1 is cheaper than 66.67% of the companies listed in the same industry.
RIO1's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.09.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.61 | ||
| Fwd PE | 11.23 |
4.2 Price Multiples
RIO1's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. RIO1 is cheaper than 64.29% of the companies in the same industry.
69.05% of the companies in the same industry are more expensive than RIO1, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.51 | ||
| EV/EBITDA | 6.95 |
4.3 Compensation for Growth
RIO1 has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)11
EPS Next 2Y-2.82%
EPS Next 3Y-0.06%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.37%, RIO1 is a good candidate for dividend investing.
RIO1's Dividend Yield is rather good when compared to the industry average which is at 2.61. RIO1 pays more dividend than 90.48% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.30, RIO1 pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.37% |
5.2 History
The dividend of RIO1 decreases each year by -7.29%.
Dividend Growth(5Y)-7.29%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
RIO1 pays out 64.89% of its income as dividend. This is not a sustainable payout ratio.
RIO1's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP64.89%
EPS Next 2Y-2.82%
EPS Next 3Y-0.06%
FRA:RIO1 (10/27/2025, 7:00:00 PM)
61.2
+0.29 (+0.48%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners48.81%
Inst Owner ChangeN/A
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap99.44B
Revenue(TTM)53.73B
Net Income(TTM)10.27B
Analysts77.42
Price Target61.45 (0.41%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.37% |
Yearly Dividend3.73
Dividend Growth(5Y)-7.29%
DP64.89%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-0.95%
PT rev (3m)-1.98%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-6.08%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.68%
Revenue NY rev (3m)4.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.61 | ||
| Fwd PE | 11.23 | ||
| P/S | 2.15 | ||
| P/FCF | 22.51 | ||
| P/OCF | 7.47 | ||
| P/B | 1.98 | ||
| P/tB | 2.29 | ||
| EV/EBITDA | 6.95 |
EPS(TTM)5.27
EY8.61%
EPS(NY)5.45
Fwd EY8.91%
FCF(TTM)2.72
FCFY4.44%
OCF(TTM)8.2
OCFY13.4%
SpS28.48
BVpS30.85
TBVpS26.76
PEG (NY)N/A
PEG (5Y)11
Graham Number60.48
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.5% | ||
| ROE | 17.65% | ||
| ROCE | 12.94% | ||
| ROIC | 9.47% | ||
| ROICexc | 9.47% | ||
| ROICexgc | 10.2% | ||
| OM | 25.78% | ||
| PM (TTM) | 19.12% | ||
| GM | 47.59% | ||
| FCFM | 9.55% |
ROA(3y)11.25%
ROA(5y)12.86%
ROE(3y)21.27%
ROE(5y)25.13%
ROIC(3y)14.66%
ROIC(5y)17.06%
ROICexc(3y)16.42%
ROICexc(5y)19.71%
ROICexgc(3y)17.39%
ROICexgc(5y)20.82%
ROCE(3y)20.04%
ROCE(5y)23.31%
ROICexgc growth 3Y-22.87%
ROICexgc growth 5Y-5.32%
ROICexc growth 3Y-22.69%
ROICexc growth 5Y-5.1%
OM growth 3Y-15.69%
OM growth 5Y-5.08%
PM growth 3Y-13.49%
PM growth 5Y3.02%
GM growth 3Y-9.8%
GM growth 5Y-2.74%
F-Score3
Asset Turnover0.44
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | 4.61 | ||
| Debt/EBITDA | 1.14 | ||
| Cap/Depr | 170.72% | ||
| Cap/Sales | 19.24% | ||
| Interest Coverage | 19.59 | ||
| Cash Conversion | 77.7% | ||
| Profit Quality | 49.94% | ||
| Current Ratio | 1.53 | ||
| Quick Ratio | 1.03 | ||
| Altman-Z | 2.58 |
F-Score3
WACC9.81%
ROIC/WACC0.96
Cap/Depr(3y)143.38%
Cap/Depr(5y)146.4%
Cap/Sales(3y)14.4%
Cap/Sales(5y)13.74%
Profit Quality(3y)69.25%
Profit Quality(5y)78.39%
High Growth Momentum
Growth
EPS 1Y (TTM)-15.75%
EPS 3Y-20.07%
EPS 5Y1.06%
EPS Q2Q%-16.45%
EPS Next Y-8.58%
EPS Next 2Y-2.82%
EPS Next 3Y-0.06%
EPS Next 5Y-3.77%
Revenue 1Y (TTM)-0.83%
Revenue growth 3Y-5.46%
Revenue growth 5Y4.45%
Sales Q2Q%0.26%
Revenue Next Year1.18%
Revenue Next 2Y1.31%
Revenue Next 3Y1.75%
Revenue Next 5Y-2.97%
EBIT growth 1Y-10.95%
EBIT growth 3Y-20.29%
EBIT growth 5Y-0.86%
EBIT Next Year35.15%
EBIT Next 3Y13.9%
EBIT Next 5Y4.11%
FCF growth 1Y-14.93%
FCF growth 3Y-30.7%
FCF growth 5Y-8.7%
OCF growth 1Y22.41%
OCF growth 3Y-14.94%
OCF growth 5Y0.9%
RIO TINTO PLC / RIO1.DE FAQ
What is the fundamental rating for RIO1 stock?
ChartMill assigns a fundamental rating of 5 / 10 to RIO1.DE.
What is the valuation status for RIO1 stock?
ChartMill assigns a valuation rating of 6 / 10 to RIO TINTO PLC (RIO1.DE). This can be considered as Fairly Valued.
Can you provide the profitability details for RIO TINTO PLC?
RIO TINTO PLC (RIO1.DE) has a profitability rating of 8 / 10.
What is the financial health of RIO TINTO PLC (RIO1.DE) stock?
The financial health rating of RIO TINTO PLC (RIO1.DE) is 5 / 10.
Can you provide the expected EPS growth for RIO1 stock?
The Earnings per Share (EPS) of RIO TINTO PLC (RIO1.DE) is expected to decline by -8.58% in the next year.