RIO TINTO (RIO) Shares
ABOUT RIO TINTO
Rio Tinto Limited is an Anglo-Australian multinational and one of the world’s largest metals and mining corporations.
Although primarily focused on extraction of minerals, the company also has operations in refining bauxite and iron ore. It has operations on six continents, but mainly concentrates in Australia and Canada. It owns its mining operations through a complex web of wholly and partly owned subsidiaries. Rio Tinto has joint head offices in London and Melbourne and employs approximately 47 000 people.
Rio Tinto Limited was founded in 1873, when a multinational consortium of investors bought a mine complex on the Rio Tinto, in Huelva, Spain, from the Spanish government.
Since then, it has grown through a long series of mergers and acquisitions to place itself among the world leaders in the production of commodities, such as iron ore, uranium, aluminium, copper and diamonds.
Since ancient times, copper, silver, gold and other minerals were mined in sites along the Rio Tinto, in the Andalusian province of Huelva in Spain.
OVERVIEW OF RIO TINTO
- Rio Tinto Limited is a mining company that focuses on the finding, mining and processing of mineral resources. Its divisions include Iron Ore, Aluminum, Copper & Diamonds, Energy & Minerals, and Other Operations. Its products include aluminum, copper, diamonds, gold, industrial minerals, iron ore and thermal and metallurgical coal.
- The Iron Ore product group’s operations are located in the Pilbara region of Western Australia. The company’s business includes bauxite mines, alumina refineries and a range of aluminum smelters.
- The Copper & Diamonds product group has managed operations in Australia, Canada, Mongolia and the United States, and non-managed operations in Chile and Indonesia.
- The Energy & Minerals has operations across six sectors: borates, coal, iron ore concentrate and pellets, salt and titanium dioxide.
VISION & VALUES OF RIO TINTO
- The way Rio Tinto Limited works, outlines how it delivers both its purpose and strategy. It makes clear how it should behave, in accordance with its values of safety, teamwork, respect, integrity and excellence. This applies to each employee as well as consultants, agents, contractors and suppliers.
- Rio Tinto Limited is commitment to safety for its people, contractors, and the communities in which it operate. It collaborates with organizations to seek better ways to operate and work with NGOs to grow more food, make better use of water, extend access to healthcare, and reconcile enhanced living standards while minimizing impact on the planet.
- It also works with the communities sharing the wealth and benefits of what it does with local people, through employment, skills and education, and local economic development initiatives that aim to build self-sustaining communities.
- Shareholders who purchase company shares can rest assured of superior value.
MARKET PERFORMANCE OF RIO TINTO
Rio Tinto Limited is a dual-listed company that trades on both the London Stock Exchange, where it is a component of the FTSE 100 Index.
It also trades on the Australian Securities Exchange (ASX), where it is a component of the S&P/ASX 200 index. It lists under the stock symbol RIO.
In the interim report for the first half of 2019, the company reports an underlying EBITDA of US Dollar 10.3 billion, up 19%. Net earnings of US Dollar 4.1 billion, 6% lower and mainly reflects the impairment of Oyu Tolgoi.
Consolidated sales revenue of US Dollar 20.7 billion is 9% higher. Effective tax rate on underlying earnings is 31%, 3% higher.
Buy RIO TINTO stocks / shares – A Step by Step Guide how to Buy / Purchase RIO TINTO Stocks or Shares online.
Before buying any stock or share one has to consider a few factors.
STEP 1: PROPER RESEARCH IS ESSENTIAL
Upon deciding you want to buy RIO TINTO Stocks / Shares, it is critical for the serious investor to do proper research into the said company. Its values should align with those of the investor’s current portfolio. An investor needs to familiarise himself with the basics and history of the company, as well as its leadership and performance in the market. Its company reports should also be scrutinized.
Consultation with a brokerage firm can also assist in determining whether investing in a specific company will complement the investor’s current portfolio. The investment “risk ladder”, which identifies asset classes based on their relative riskiness, is another useful tool when determining which company’s stock / share is the best to buy.
STEP 2: CALCULATE THE AMOUNT OF INVESTMENT IN RIO TINTO STOCKS / SHARES
It is important for an investor to monitor his total investment in stock in order to keep his portfolio aligned to his investment strategy. The overall value of his holdings will change with the fluctuation in stock prices, which can throw his portfolio off balance. To determine the amount to invest, multiply the number of shares of each stock by its current market price to determine the total investment in that specific stock. For example, if you own 100 shares of a US Dollar 5 stock, multiply 100 by US Dollar 5 to get US Dollar 500.
STEP 3: DECIDE ON THE STOCK / SHARE ORDER TYPE
Investors can choose from a market order, a limit order, a stop order (also referred to as a stop-loss order) or a buy/sell stop order. It is important to familiarise yourself with each type’s pros and cons before deciding which one will suit your current stock profile best. An investor should be guided in this choice by his investment objective.
STEP 4: OPEN A BROKERAGE ACCOUNT
A brokerage account – also known as taxable investment account – is similar to a retirement account, but more flexible. Where a retirement account has limitations on the amount of money that can be contributed annually, and restrictions on when funds can be withdrawn, a brokerage account is more flexible. The latter has no income or contribution limit and the investor can withdraw his money at any given time. This flexibility, together with its potential investment gains, makes a brokerage account more attractive to serious investors. Brokerage accounts are ideal for goals or savings that are further than five years away, but closer than retirement. It can also supplement an investor’s emergency savings.
STEP 5: COMMIT AND PURCHASE RIO TINTO STOCKS / SHARES
Lastly, commit to the stock. Pro Tip: Monitor the value of your stock to ensure you have a growing stock value and dividend pay-out. Regularly check the share price online to ensure your investment delivers a positive return on investment. You are now a proud owner of RIO TINTO stocks / shares.
5 Questions to ask yourself before purchasing any stocks or shares.
- Is it the best time to buy this stock / share?
- Should I buy RIO TINTO stocks / shares in the current economic climate?
- Can I afford to buy this stock / share?
- What is the forecast of the stock / share growth?
- What is the current price per earning ration on the stock / share?