Rio Tinto PLC (NYSE:RIO) Plans Dividend of $2.11

Rio Tinto PLC (NYSE:RIO) announced a dividend on Wednesday, July 29th. Stockholders of record on Friday, August 14th will be paid a dividend of 2.11 per share by the mining company on Thursday, September 24th. This represents a dividend yield of 438.0%. The ex-dividend date is Friday, August 14th.

Rio Tinto has decreased its dividend by an average of 0.0%per year over the last three years. Rio Tinto has a payout ratio of 81.4% meaning its dividend is currently covered by earnings, but may not be in the future if the company’s earnings decline. Analysts expect Rio Tinto to earn $9.16 per share next year, which means the company should continue to be able to cover its $5.04 annual dividend with an expected future payout ratio of 55.0%.

Rio Tinto Price Performance

Shares of RIO traded up $2.72 on Thursday, reaching $96.38. 1,871,629 shares of the stock traded hands, compared to its average volume of 3,218,591. The company has a debt-to-equity ratio of 0.33, a quick ratio of 0.98 and a current ratio of 1.44. Rio Tinto has a 12 month low of $58.40 and a 12 month high of $112.58. The stock’s 50-day moving average price is $97.84 and its 200-day moving average price is $96.02.

Analysts Set New Price Targets

A number of research firms have weighed in on RIO. Weiss Ratings reiterated a “buy (b-)” rating on shares of Rio Tinto in a research note on Wednesday, May 20th. Bank of America downgraded shares of Rio Tinto from a “buy” rating to a “neutral” rating in a report on Friday, May 22nd. Sanford C. Bernstein lifted their target price on shares of Rio Tinto from $82.00 to $83.50 and gave the company an “outperform” rating in a research report on Monday, April 27th. Zacks Research cut shares of Rio Tinto from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, April 7th. Finally, Royal Bank Of Canada lowered shares of Rio Tinto from a “sector perform” rating to an “underperform” rating in a research report on Wednesday, June 3rd. One investment analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating, seven have assigned a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat.com, Rio Tinto currently has a consensus rating of “Hold” and an average price target of $105.50.

About Rio Tinto

Rio Tinto is a global mining and metals company that explores for, mines, processes and markets a wide range of commodities. Its principal products include iron ore, aluminum, copper, diamonds and various other minerals and industrial materials. The company’s activities span the full value chain from exploration and project development to mining, processing, smelting and refining, supplying raw materials to industries such as steelmaking, automotive, packaging, electronics and construction.

The origins of Rio Tinto date back to mining operations in the Rio Tinto region of Spain in the 19th century, and the group has since grown into a multinational enterprise.