Rio Tinto plc ADR (NYSE: RIO)’s stock price has increased by 0.26 compared to its previous closing price of 56.86. However, the company has seen a 4.49% increase in its stock price over the last five trading sessions. seekingalpha.com reported 2025-04-14 that Rio Tinto is diversifying from iron ore to copper and lithium to mitigate risks and capitalize on electrification, but this requires significant capital and increased debt. Iron ore’s diminishing returns and reliance on China pose risks, leading to expected dividend reductions to service debt and fund diversification. I will hold Rio Tinto stock long-term, but won’t reinvest dividends now, anticipating further stock price decline and lower dividends amidst diversification efforts.
Is It Worth Investing in Rio Tinto plc ADR (NYSE: RIO) Right Now?
Rio Tinto plc ADR (NYSE: RIO) has a price-to-earnings ratio that is above its average at 8.10x. The stock has a 36-month beta value of 0.73. Opinions on the stock are mixed, with 5 analysts rating it as a “buy,” 2 as “overweight,” 0 as “hold,” and 0 as “sell.”
The public float for RIO is 1.25B, and at present, short sellers hold a 0.60% of that float. On April 15, 2025, the average trading volume of RIO was 3.43M shares.
RIO’s Market Performance
RIO stock saw a decrease of 4.49% in the past week, with a monthly decline of -9.57% and a quarterly a decrease of -4.22%. The volatility ratio for the week is 4.47%, and the volatility levels for the last 30 days are 2.43% for Rio Tinto plc ADR (RIO). The simple moving average for the past 20 days is -4.08% for RIO’s stock, with a -9.42% simple moving average for the past 200 days.
RIO Trading at -6.73% from the 50-Day Moving Average
After a stumble in the market that brought RIO to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -23.21% of loss for the given period.
Volatility was left at 2.43%, however, over the last 30 days, the volatility rate increased by 4.47%, as shares sank -10.18% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -5.63% lower at present.
During the last 5 trading sessions, RIO rose by +4.49%, which changed the moving average for the period of 200-days by -14.66% in comparison to the 20-day moving average, which settled at $59.43. In addition, Rio Tinto plc ADR saw -3.06% in overturn over a single year, with a tendency to cut further losses.
Stock Fundamentals for RIO
Current profitability levels for the company are sitting at:
- 0.27 for the present operating margin
- 0.31 for the gross margin
The net margin for Rio Tinto plc ADR stands at 0.2. The total capital return value is set at 0.16. Equity return is now at value 20.93, with 11.14 for asset returns.
Based on Rio Tinto plc ADR (RIO), the company’s capital structure generated 0.2 points at debt to capital in total, while cash flow to debt ratio is standing at 1.1.
Currently, EBITDA for the company is 22.31 billion with net debt to EBITDA at 0.36. When we switch over and look at the enterprise to sales, we see a ratio of 1.91. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.63.
Conclusion
To sum up, Rio Tinto plc ADR (RIO) has seen a bad performance recently. Analysts have differing views on the stock, with some seeing it as a “buy” and others as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
