Rio Tinto (Australia) Market Value
| RIO Stock | 117.10 1.11 0.96% |
| Symbol | Rio |
Rio Tinto 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to Rio Tinto's stock what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of Rio Tinto.
| 12/16/2024 |
| 03/16/2025 |
If you would invest 0.00 in Rio Tinto on December 16, 2024 and sell it all today you would earn a total of 0.00 from holding Rio Tinto or generate 0.0% return on investment in Rio Tinto over 90 days. Rio Tinto is related to or competes with Event Hospitality, Aussie Broadband, Oceania Healthcare, Austco Healthcare, Super Retail, British Amer, and Collins Foods. Rio Tinto is entity of Australia. It is traded as Stock on AU exchange. More
Rio Tinto Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure Rio Tinto's stock current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess Rio Tinto upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 1.44 | |||
| Information Ratio | 0.0844 | |||
| Maximum Drawdown | 8.24 | |||
| Value At Risk | (2.76) | |||
| Potential Upside | 2.82 |
Rio Tinto Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Rio Tinto's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Rio Tinto's standard deviation. In reality, there are many statistical measures that can use Rio Tinto historical prices to predict the future Rio Tinto's volatility.| Risk Adjusted Performance | 0.0197 | |||
| Jensen Alpha | (0.01) | |||
| Total Risk Alpha | 0.2031 | |||
| Sortino Ratio | 0.087 | |||
| Treynor Ratio | (0.06) |
Rio Tinto Backtested Returns
Currently, Rio Tinto is very steady. Rio Tinto maintains Sharpe Ratio (i.e., Efficiency) of 0.0277, which implies the firm had a 0.0277 % return per unit of risk over the last 3 months. We have found twenty-nine technical indicators for Rio Tinto, which you can use to evaluate the volatility of the company. Please check Rio Tinto's Semi Deviation of 1.41, coefficient of variation of 5594.47, and Risk Adjusted Performance of 0.0197 to confirm if the risk estimate we provide is consistent with the expected return of 0.037%. Rio Tinto has a performance score of 2 on a scale of 0 to 100. The company holds a Beta of -0.28, which implies not very significant fluctuations relative to the market. As returns on the market increase, returns on owning Rio Tinto are expected to decrease at a much lower rate. During the bear market, Rio Tinto is likely to outperform the market. Rio Tinto right now holds a risk of 1.33%. Please check Rio Tinto total risk alpha, treynor ratio, value at risk, as well as the relationship between the sortino ratio and maximum drawdown , to decide if Rio Tinto will be following its historical price patterns.
Auto-correlation | -0.54 |
Good reverse predictability
Rio Tinto has good reverse predictability. Overlapping area represents the amount of predictability between Rio Tinto time series from 16th of December 2024 to 30th of January 2025 and 30th of January 2025 to 16th of March 2025. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of Rio Tinto price movement. The serial correlation of -0.54 indicates that about 54.0% of current Rio Tinto price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.54 | |
| Spearman Rank Test | 0.03 | |
| Residual Average | 0.0 | |
| Price Variance | 5.31 |
Rio Tinto lagged returns against current returns
Autocorrelation, which is Rio Tinto stock's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting Rio Tinto's stock expected returns. We can calculate the autocorrelation of Rio Tinto returns to help us make a trade decision. For example, suppose you find that Rio Tinto has exhibited high autocorrelation historically, and you observe that the stock is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values |
| Timeline |
Rio Tinto regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If Rio Tinto stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Rio Tinto stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Rio Tinto stock over time.
Current vs Lagged Prices |
| Timeline |
Rio Tinto Lagged Returns
When evaluating Rio Tinto's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Rio Tinto stock have on its future price. Rio Tinto autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, Rio Tinto autocorrelation shows the relationship between Rio Tinto stock current value and its past values and can show if there is a momentum factor associated with investing in Rio Tinto.
Regressed Prices |
| Timeline |
Thematic Opportunities
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Additional Tools for Rio Stock Analysis
When running Rio Tinto's price analysis, check to measure Rio Tinto's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Rio Tinto is operating at the current time. Most of Rio Tinto's value examination focuses on studying past and present price action to predict the probability of Rio Tinto's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Rio Tinto's price. Additionally, you may evaluate how the addition of Rio Tinto to your portfolios can decrease your overall portfolio volatility.