Nikko Asset Management Reduces Holdings in Rio Tinto Group

Nikko Asset Management Americas Inc. has decreased its investment in Rio Tinto Group (NYSE:RIO) by 12.7% during the fourth quarter, as reported in its latest Form 13F filing with the Securities and Exchange Commission (SEC). Following the sale of 7,933 shares during this period, Nikko Asset Management now holds 54,581 shares of the mining giant. The value of this investment is estimated at approximately $3,209,000, based on the recent SEC filing.

Institutional Trading Activities

Other institutional investors have also been active in trading shares of Rio Tinto Group. For instance, Thurston Springer Miller Herd & Titak Inc. increased its stake in the company by 63.9% in the fourth quarter, now owning 500 shares valued at around $29,000 after buying an additional 195 shares. Similarly, Rakuten Securities Inc. boosted its holdings by 74.8% and currently owns 493 shares worth $29,000 after adding 211 shares to its portfolio. New investments were also made by firms such as Golden State Wealth Management LLC and HHM Wealth Advisors LLC, with stakes valued at approximately $47,000 and $50,000, respectively. Furthermore, FSC Wealth Advisors LLC raised its holdings by an impressive 150.0%, now holding 1,000 shares valued at $59,000. In total, institutional and hedge fund investors own about 19.33% of Rio Tinto Group's shares.

Analysts' Outlook

Several research analysts have recently conducted assessments of Rio Tinto Group's stock. Clarkson Capital upgraded the stock to a "strong-buy" in a report released on February 28. Conversely, StockNews.com downgraded the rating from "strong-buy" to "buy" on February 22. Jefferies Financial Group also adjusted its price target from $83.00 to $73.00, assigning a "buy" rating in a note published on January 6. Currently, the stock has a consensus opinion of "Moderate Buy" among analysts, with a consensus price target sitting at $73.00.

Current Trading Performance

The shares of Rio Tinto Group opened at $63.44 on the recent Tuesday. As for the company's financial ratios, it has a debt-to-equity ratio of 0.23, a current ratio of 1.63, and a quick ratio of 1.16. The stock's performance is reflected in its moving averages, with a 50-day simple moving average of $61.53 and a 200-day simple moving average of $62.84. Over the past year, the stock has seen a low of $57.85 and a high of $74.24, culminating in a market capitalization of approximately $79.49 billion, a price-to-earnings ratio of 9.84, a price-to-earnings-growth ratio of 0.42, and a beta of 0.60.

Dividend Announcement

Recently, Rio Tinto Group announced a semi-annual dividend that is set to be paid out on April 17. Shareholders who are on record by March 7 will receive a dividend of $2.23, an increase from the previous semi-annual dividend of $1.77. This reflects a yield of 7%, and the ex-dividend date aligns with March 7. The company currently maintains a payout ratio of 69.15%.

Company Overview

Rio Tinto Group is involved in the exploration, mining, and processing of mineral resources on a global scale. It operates through various segments including Iron Ore, Aluminum, Copper, and Minerals. The Iron Ore division focuses on mining iron ore, along with salt and gypsum production in Western Australia, while the Aluminum segment is engaged in activities such as bauxite mining, alumina refining, and aluminum smelting.

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