Portfolio Amendment – Active Income Portfolio
We are making several changes to the Income Portfolio today.
Rio Tinto (RIO)
RIO $150.57
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Performance
Advanced charting functionality with the ability to amend timeframes, chart type & indicator selection, powered by TradingView.
Share price activity
Displays share price activity. Volume = number of shares traded, Turnover = value of shares traded, VWAP = volume-weighted average price for the day, sourced from Morningstar.
- Last (Price)
- 150.57
- Change
- ▼ -3.30 (-2.14)
- Bid / Ask
- 150.57 - 150.72
- Volume
- 885,104
- Turnover
- 133,350,727
- Open
- 152.80
- Day Range
- 150.57 - 153.48
- VWAP
- 151.21
- Prev Close
- 153.87
- Last Trade
- 12/11 4:10pm
Key information
Displays key information on the security, sourced from Morningstar.
- Sector
- Basic Materials
- Shares Issued
- 371,821,214
- NTA/Share
- 37.89
- Last Dividend
- 2.96
- Dividend Ex Date
- 13 AUG 2026
- Dividend Pay Date
- 24 SEP 2026
Current (USD) · FY2025
Displays key financial data for the most recent fiscal year, in millions. Note - Per share data is in local currency terms irrespective of reporting currency, and may be different to the stated currency, sourced from Morningstar.
- Revenue
- 57,638.00
- EBITDA
- 22,902.00
- Profit
- 9,966.00
- Earnings Per Share (EPS)
- 6.08
- Dividend Per Share (DPS)
- 4.02
- Yield %
- 4.41
- Market Cap
- 244,885.49
- Price to Earnings Ratio (P/E)
- 13.95
Estimates (USD) · FY2027
Displays consensus analyst’s estimates for key measures for the next fiscal year, sourced from Morningstar.
- Revenue
- —
- EBITDA
- —
- Profit
- 13,944.15
- Earnings Per Share (EPS)
- 8.51
- Dividend Per Share (DPS)
- 4.68
Quantitative rating
Displays Morningstar’s Quantitative Equity Research Rating for the security: a star rating from 1 (overvalued) to 5 (undervalued) from the share price against a fair value estimated by a statistical model of Morningstar’s analyst ratings, with the model’s economic moat, financial health and fair value uncertainty, sourced from Morningstar.
Overvalued
- Economic Moat
- None
- Financial Health
- Moderate
- Uncertainty
- Medium
Morningstar Quantitative Rating as of 11 NOV 2026.
Quantitative Equity Rating Methodology – view here
Fair value estimate
Displays Morningstar’s quantitative fair value estimate for the security against the current share price, with the band around it: the five-star price below which the model would rate the stock five stars and the one-star price above which it would rate it one star, sourced from Morningstar.
Five-star price 124.14 Fair value 143.02 One-star price 164.76
Morningstar Quantitative Rating as of 11 NOV 2026.
Quantitative valuation
Displays where the share price sits in Morningstar’s quantitative fair value band, from the five-star price (undervalued) to the one-star price (overvalued), with the fair value estimate, the price to fair value ratio, the model’s valuation label and its uncertainty rating, sourced from Morningstar.
Buy
Sell
- Fair Value
- 143.02
- Price / Fair Value
- 1.08
- Valuation
- Overvalued
- Uncertainty
- Medium
Morningstar Quantitative Rating as of 11 NOV 2026. The slider runs from the five-star price (124.14) to the one-star price (164.76).
Displays useful ratios for the security, NB the pricing date used, sourced from Morningstar.
| Ratios |
|---|
| Currency (Price/reporting): AUD/USD |
| Exchange Rate: 1.4661 |
Price, volume and trading statistics for the security, sourced from Morningstar.
| Price - closing or last bid | 150.57 |
| Price - 12 month high | 195.84 |
| Price - 12 month low | 127.31 |
| Pricing date | 11 NOV 2026 |
| Volume - avg. trading volume for the last ten days | 1.36 |
| Market capitalization | 55,974.43 |
| 12 Month High price date | 3 JUN 2026 |
| 12 Month Low price date | 21 NOV 2025 |
| Volume - avg. trading volume for the last 3 months | 1.17 |
| Price - 1 Day % Change | -2.14% |
| Price - 13 week price percent change | -16.28% |
| Price - 26 week price percent change | -16.25% |
| Price - 5 Day % Change | 5.26% |
| Price - 52 week price percent change | 16.22% |
| Price - YTD price percent change | 2.55% |
| Price % Change Month To Date | -7.27% |
Earnings, dividends, cash flow and book value per share, sourced from Morningstar.
| EPS excluding extraordinary items - most recent fiscal year | 6.084 |
| EPS excluding extraordinary items - trailing 12 month | 7.382 |
| EPS Normalized - most recent fiscal year | 6.635 |
| Revenue/share - most recent fiscal year | 35.188 |
| Revenue/share - trailing 12 month | 37.695 |
| Book value per share - most recent fiscal year | 38.281 |
| Book value per share - most recent half-year | 40.253 |
| Book value (tangible) per share - most recent fiscal year | 37.894 |
| Book value (tangible) per share - most recent half-year | 39.111 |
| Cash per share - most recent fiscal year | 4.249 |
| Cash per share - most recent half-year | 5.481 |
| Cash Flow per share - most recent fiscal year | 10.617 |
| Cash Flow per share - trailing 12 month | 12.571 |
| Dividend per share - most recent fiscal year | 4.020 |
| Dividends per share - trailing 12 month | 6.635 |
| EBITD per share - trailing 12 month | 15.942 |
| EPS Basic excluding extraordinary items - most recent fiscal year | 6.137 |
| EPS Basic excluding extraordinary items - trailing 12 month | 7.448 |
| EPS including extraordinary items - most recent fiscal year | 6.137 |
| EPS including extraordinary items - trailing 12 month | 7.448 |
| Free Cash Flow per share - trailing 12 month | 4.306 |
Valuation multiples such as P/E, price to sales, price to book and enterprise value ratios, sourced from Morningstar.
| P/E excluding extraordinary items, most recent fiscal year | 13.82 |
| P/E Normalized, most recent fiscal year | 12.95 |
| Price to sales - most recent fiscal year | 2.71 |
| Price to Tangible Book - most fiscal year | 2.94 |
| Price to Free Cash Flow per Share - most recent fiscal year | 23.69 |
| Price to Cash Flow per share - trailing 12 month | 8.11 |
| Price to Book - most recent fiscal year | 2.57 |
| P/E excluding extraordinary items high, trailing 12 months | 20.60 |
| P/E excluding extraordinary items low, trailing 12 months | 13.13 |
| Net Debt, LFI | 13,345.00 |
| Net Debt, LFY | 16,065.00 |
| Dividend Yield - 5 Year Average | 5.48% |
| Dividend Yield - indicated annual dividend divided by closing price | 4.34% |
| Current Dividend Yield - Common Stock Primary Issue, LTM | 4.41% |
Cash flow, liquidity and leverage measures, sourced from Morningstar.
| Free Cash Flow - most recent fiscal year | 5,055.00 |
| LT debt/equity - most recent fiscal year | 33.21% |
| Payout ratio - most recent fiscal year | 66.08% |
| Total debt/total equity - most recent fiscal year | 35.09% |
| LT debt/equity - most recent half-year | 29.46% |
| Total debt/total equity - most recent half-year | 31.87% |
| Free Cash Flow - trailing 12 month | 7,059.00 |
| Payout ratio - trailing 12 month | 62.99% |
Key income statement lines for the most recent fiscal year, in millions, sourced from Morningstar.
| Revenue - most recent fiscal year | 57,638.00 |
| Revenue - trailing 12 month | 61,793.00 |
| EBITD - most recent fiscal year | 22,902.00 |
| EBITD - trailing 12 month | 26,133.00 |
| Earnings before taxes - most recent fiscal year | 14,568.00 |
| Earnings before taxes - trailing 12 month | 17,144.00 |
| Net Income available to common - most recent fiscal year | 9,966.00 |
| Net Income available to common - trailing 12 months | 12,102.00 |
| Earnings before taxes Normalized - most recent fiscal year | 15,413.00 |
| Net Income Available to Common, Normalized - most recent fiscal year | 10,868.00 |
| Earnings per Share, Normalized, Excluding Extraordinary Items, Avg. Diluted Shares Outstanding, TTM | 7.88 |
Profitability margins for the most recent fiscal year, sourced from Morningstar.
| Net Profit Margin % - 1st historical fiscal year | 17.78% |
| Net Profit Margin % - trailing 12 month | 20.89% |
| Operating margin - 1st historical fiscal year | 26.80% |
| Operating margin - trailing 12 month | 28.31% |
| Pretax margin - trailing 12 month | 27.74% |
| Pretax margin - 1st historical fiscal year | 25.28% |
| Operating Margin - 5 year average | 33.16% |
| Pretax Margin - 5 year average | 32.41% |
| Free Operating Cash Flow/Revenue, 5 Year Average | 16.60% |
| Free Operating Cash Flow/Revenue, TTM | 11.42% |
| Net Profit Margin - 5 year average | 23.36% |
Returns on average assets and equity for the fiscal year, the trailing 12 months and as 5 year averages, and net income and revenue per employee in whole currency, sourced from Morningstar.
| Return on average assets - most recent fiscal year | 8.74% |
| Return on average assets - trailing 12 month | 10.13% |
| Return on average equity - most recent fiscal year | 17.50% |
| Return on average equity - trailing 12 month | 20.83% |
| Return on average assets - 5 year average | 12.27% |
| Return on average equity - 5 year average | 24.07% |
| Net Income/employee - most recent fiscal year | 167,385.27 |
| Revenue/employee - most recent fiscal year | 941,335.95 |
Growth in revenue, earnings, dividends and book value over recent periods, sourced from Morningstar.
| Revenue growth rate, 5 year | 5.26% |
| EPS growth rate, 5 year | 0.29% |
| Growth rate% - dividend, 3 year | -17.98% |
| Revenue/share (5 yr growth) | 5.14% |
| Growth rate% - Revenue, 3 year | 1.24% |
| Growth rate% - EPS, 3 year | -7.23% |
| Book value per share growth rate, 5 year | 5.65% |
| Capital Spending growth rate, 5 year | 14.79% |
| Earnings Before Interest, Taxes, Depreciation & Amortization, 5 Year CAGR | 2.43% |
Displays analyst’s forecasts for key measures. The estimates can be expanded to see the spread of the calls. Full lines = reported, and dotted lines are forward estimates. Click a measure to add or remove it from the chart, sourced from Morningstar.
Financial forecast (USD, millions except per share)
| Actuals | Estimates | |||||||
| 2025 | 2026 | 2027 | ||||||
| Estimate breakdown | ||||||||
Financial metrics can be plotted on the graph to see trends. Multiple metrics from multiple statements can be plotted against each other, sourced from Morningstar.
Financials (USD, millions)
| Period end: | DEC 21 | DEC 22 | DEC 23 | DEC 24 | DEC 25 |
| Fiscal year: | 2021 | 2022 | 2023 | 2024 | 2025 |
| Period length: | 12 months | 12 months | 12 months | 12 months | 12 months |
Displays all company announcements released by the company to the exchange, sourced from Morningstar.
Announcements
| DATE | TIME | HEADING | PAGES |
| Price sensitive |
Opinion
Fortescue (ASX: FMG) vs Rio Tinto (ASX: RIO)
Fortescue (FMG) has come under significant pressure recently, falling more than 35% from its 12-month highs as softer iron ore prices, operational challenges and increasingly difficult negotiations with China's centralised iron ore buyer weigh on the stock. We hold FMG in the Income Portfolio, largely for its attractive dividend yield, but recent developments have us questioning whether RIO is now a better option. Both stocks have fallen, but while FMG has traditionally offered a higher yield, RIO provides greater diversification, lower operational risk and arguably better value at current levels.
Portfolio Amendment – Active Growth Portfolio
We expect RIO to be hit on open this morning on broader commodity weakness overnight. Having trimmed BHP from a ~11% prevailing weight back to an 8% target early last month, we are now recycling the capital into Rio Tinto following an aggressive pullback, inline with our view of adding quality commodity exposure into weakness. Risk/reward looks appealing below $150.
RIO Tinto (ASX: RIO) $150.30
The aggressive unwind of the AI trade combined with soaring oil prices is causing almost panic-like selling across the copper miners; RIO and Sandfire have tumbled 23% and 21% respectively below their 2026 highs. However, while selling gathers momentum across the sector, softness in the underlying industrial metal hardly registers on the chart below. However, we note, just as we’ve illustrated in the past, stocks often lead their related commodities.
RIO Tinto Ltd (ASX: RIO) $155.51
RIO has managed to eke out a ~6% gain in 2026, well behind BHP’s ~33% due to its commodity mix and poorer earnings momentum. BHP’s re-rating has been driven by its growing exposure to copper, which overtook iron ore as its largest earnings contributor in FY26 for the first time. Copper prices have risen more than 30% YoY, helping BHP deliver a 30% increase in underlying profit to US$13.2 billion. Rio Tinto (RIO), by contrast, remains more reliant on iron ore, which accounted for around 47% of first-half earnings, compared with approximately 26% from copper.
GLEN vs BHP & RIO: The Copper growth story
Glencore’s ASX listing through CHESS Depositary Interests (CDIs) has given ASX only investors with direct access to another global diversified miner with growing exposure to copper, the industrial metal at the forefront of global electrification. Copper is forecast to increase from around one-third of Glencore’s earnings (EBITDA) in FY26 to more than half by the early 2030s, supported by projects across South America and Central Africa, alongside optimisation of existing operations including Collahuasi, Antapaccay and Katanga/KCC - in other words, its profile is evolving like BHPs over the coming years, a factor we like.
Rio Tinto (ASX: RIO) $160.48
RIO -0.32%: Delivered a broadly solid September quarter, with Pilbara shipments slightly ahead of expectations and its major growth projects progressing to plan. While the operational result was relatively uneventful, the combination of productivity improvements, capital discipline and increasing copper exposure is encouraging.
RIO Tinto Ltd (ASX: RIO) $177.36
RIO has spent much of 2026 in BHP’s shadow, gaining 21% compared with BHP’s impressive 39%, although both are clearly enjoying stellar years. Much like BHP around the $65 area, RIO is starting to look a little tired around $180, and some near-term consolidation, or a pullback, wouldn’t surprise us. Unlike its larger peer, RIO is still primarily an iron ore miner; hence, further stimulus from Beijing would be a positive lever, but hoping on such moves is akin to buying a stock hoping for a takeover.
RIO Tinto Ltd (ASX: RIO) $165.47
RIO has noticeably underperformed BHP in 2026, not helped by its recent 20% pullback. Yesterday the diversified miner delivered its Q2 production report, which was initially regarded as neutral. However, weaker copper production appears to have caught traders' attention overnight - RIO shares slipped 2.3% in UK trade, implying another session in BHP's shadow today.
Rio Tinto (RIO) $165.47
RIO +1.14%: delivered a mixed but broadly resilient second-quarter production update today, with a strong recovery across its Pilbara iron ore operations offset by weaker copper output following operational issues at Kennecott in the US.
Action
Updated
28/10/2026
12:03
RIO
Updated 28/10/2026 12:03
MM is buying RIO in the Active Income Portfolio, allocating 4% around $150
Updated
26/10/2026
10:07
RIO
Updated 26/10/2026 10:07
MM is buying RIO in the Active Growth Portfolio, allocating 4% around $150.00
Updated
23/10/2026
09:36
RIO
Updated 23/10/2026 09:36
MM is bullish toward RIO in the $142-$145 area
Updated
20/10/2026
09:46
RIO
Updated 20/10/2026 09:46
MM likes RIO if/when it tests ~$142-5
Updated
14/10/2026
17:10
RIO
Updated 14/10/2026 17:10
MM remains bullish toward RIO
Updated
08/09/2026
09:32
RIO
Updated 08/09/2026 09:32
MM is cautiously bullish towards RIO
Updated
16/07/2026
09:23
RIO
Updated 16/07/2026 09:23
MM is bullish towards RIO around $165
Updated
15/07/2026
17:08
RIO
Updated 15/07/2026 17:08
MM is bullish RIO
Updated
22/04/2026
09:54
RIO
Updated 22/04/2026 09:54
MM is bullish toward RIO, but we prefer BHP
Updated
24/03/2026
09:24
RIO
Updated 24/03/2026 09:24
MM is bullish toward RIO around $144
Business Summary
Rio Tinto is a global diversified miner. Iron ore is its major commodity, with lesser contributions from copper and aluminum. Lithium, diamonds, gold, and industrial minerals are more minor contributors. The 1995 merger of RTZ and CRA, viaa dual-listed structure, created the present-day company. The two operate as a single business entity, with shareholders in each company having equivalent economic and voting rights. Major assets included the Pilbara iron ore operations, a30% stake in the Escondida copper mine, 66%-ownership of the Oyu Tolgoi copper mine in Mongolia, the Weipa and Gove bauxite mines in Australia, and six hydro-powered aluminum smelters in Canada.
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