Rio Tinto vs Newmont

Rio Tinto and Newmont are presented here to compare their business models, financial performance, and market context in a neutral, accessible way. The page highlights how each company operates within the mining sector, outlining strategies, resources, and competitive dynamics for reader understanding. Educational content, not financial advice.

Rio Tinto and Newmont are presented here to compare their business models, financial performance, and market context in a neutral, accessible way. The page highlights how each company operates within ...

Comparison Snapshot

Key Financial Metrics

RIO

Metric

NEM

$152.29B

Market Cap

$137.41B

-12.55%

Potential Profit

-11.07%

Buy

Analyst Rating

Buy

Why It's Moving

Rio Tinto surges on analyst upgrade, merger buzz, and production triumphs.

Erste Group upgraded rating to Buy from Hold, citing 18% return on equity outpacing rivals and copper production ramp-up in Mongolia boosting 2026 sales.
Stock climbed 4.62% to GBX 6606 on merger talks with Glencore and record quarterly iron ore from Pilbara, plus first Simandou shipment.
Hit 2025 production targets with 883,000 tonnes copper exceeding guidance, 8% YoY copper equivalent growth, and new solar plant cutting emissions.

Sentiment:

🐃Bullish

Newmont Surges on Record Gold Prices and Bullish Analyst Upgrades Ahead of Key Earnings.

Bank of America hiked its price target to $129 from $114 on January 19, citing intensified macro drivers pushing gold higher and expecting robust Q4 capital returns.
Stock jumped 6.8% recently on record gold prices and gains from Tier 1 portfolio projects like Ahafo North, with analysts praising disciplined capital allocation and non-core divestitures.
Raymond James raised its target to $111 in late December, spotlighting Newmont's lower-risk assets, profitability surge, and dividend strength in the gold boom.

Sentiment:

🐃Bullish

Rio Tinto surges on analyst upgrade, merger buzz, and production triumphs.

Erste Group upgraded rating to Buy from Hold, citing 18% return on equity outpacing rivals and copper production ramp-up in Mongolia boosting 2026 sales.
Stock climbed 4.62% to GBX 6606 on merger talks with Glencore and record quarterly iron ore from Pilbara, plus first Simandou shipment.
Hit 2025 production targets with 883,000 tonnes copper exceeding guidance, 8% YoY copper equivalent growth, and new solar plant cutting emissions.

Sentiment:

🐃Bullish

Newmont Surges on Record Gold Prices and Bullish Analyst Upgrades Ahead of Key Earnings.

Bank of America hiked its price target to $129 from $114 on January 19, citing intensified macro drivers pushing gold higher and expecting robust Q4 capital returns.
Stock jumped 6.8% recently on record gold prices and gains from Tier 1 portfolio projects like Ahafo North, with analysts praising disciplined capital allocation and non-core divestitures.
Raymond James raised its target to $111 in late December, spotlighting Newmont's lower-risk assets, profitability surge, and dividend strength in the gold boom.

Sentiment:

🐃Bullish

Investment Analysis

Rio Tinto

RIO

Pros

Rio Tinto has strategically restructured to focus on high-growth sectors: iron ore, aluminium and lithium, and copper, aligning with energy transition trends.
The company benefits from rising iron ore prices driven by strong Chinese steel production and supply disruptions in Brazil.
Rio Tinto offers a healthy dividend yield around 5.35% supported by strong profitability and a robust balance sheet.

Considerations

Its stock currently trades in a low historical percentile indicating elevated risk levels and potential downside.
The company faces commodity price volatility and cyclicality, especially linked to iron ore and copper markets affected by global supply dynamics.
Technical indicators show mixed signals with some bearish momentum, and recent sentiment is neutral to fearful, limiting short-term upside.

Newmont

NEM

Pros

Newmont is viewed as a relatively lower-risk gold mining investment with better risk scores compared to Rio Tinto.
The company benefits from gold’s defensive qualities in uncertain macroeconomic environments, supporting stable cash flows.
Newmont's good operational performance and strategic positioning give it growth potential amid rising demand for precious metals.

Considerations

Newmont’s stock performance is sensitive to gold price fluctuations, which can be negatively impacted by rising interest rates or a strong dollar.
The company operates in politically sensitive regions which elevates execution and regulatory risks.
Despite favorable risk metrics, Newmont’s sector exposure to precious metals can face cyclical downturns when industrial metals outperform.

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