Rio Tinto (Germany) Market Value
| RIO1 Stock | EUR 56.57 1.39 2.40% |
| 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 Group or generate 0.0% return on investment in Rio Tinto over 90 days. Rio Tinto is related to or competes with Chiba Bank, COREBRIDGE FINANCIAL, Erste Group, BLUESCOPE STEEL, CREDIT AGRICOLE, and MAANSHAN IRON. Rio Tinto Group engages in finding, mining, and processing mineral resources worldwide 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 Group upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | 0.0577 | |||
| Maximum Drawdown | 7.3 | |||
| Value At Risk | (2.11) | |||
| Potential Upside | 1.73 |
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 | (0.01) | |||
| Jensen Alpha | (0.05) | |||
| Total Risk Alpha | 0.1417 | |||
| Treynor Ratio | 0.1474 |
Rio Tinto Group Backtested Returns
At this point, Rio Tinto is very steady. Rio Tinto Group maintains Sharpe Ratio (i.e., Efficiency) of close to zero, which implies the firm had a close to zero % return per unit of risk over the last 3 months. We have found twenty-three technical indicators for Rio Tinto Group, which you can use to evaluate the volatility of the company. Please check Rio Tinto's Coefficient Of Variation of (6,865), risk adjusted performance of (0.01), and Variance of 1.88 to confirm if the risk estimate we provide is consistent with the expected return of 8.0E-4%. The company holds a Beta of -0.2, 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 Group right now holds a risk of 1.3%. Please check Rio Tinto Group maximum drawdown, potential upside, kurtosis, as well as the relationship between the value at risk and skewness , to decide if Rio Tinto Group will be following its historical price patterns.
Auto-correlation | -0.45 |
Modest reverse predictability
Rio Tinto Group has modest 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 Group price movement. The serial correlation of -0.45 indicates that just about 45.0% of current Rio Tinto price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.45 | |
| Spearman Rank Test | 0.13 | |
| Residual Average | 0.0 | |
| Price Variance | 0.95 |
Rio Tinto Group 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 Group.
Regressed Prices |
| Timeline |
Currently Active Assets on Macroaxis
Other Information on Investing in Rio Stock
Rio Tinto financial ratios help investors to determine whether Rio Stock is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in Rio with respect to the benefits of owning Rio Tinto security.