RIO · Verdict

A summary of rules, not a profit forecast — don’t buy just because of a green verdict.

• ▲ P/E 11.1 vs peer median 23.6 — cheaper than peers
• ▲ P/S 2.2 vs peer median 3.8 — cheaper than peers
• ▼ EV/EBITDA 6.7 — expensive for this stock (over 4 y: from 4.4 to 6.4)
• ▲ EV/EBITDA 6.7 vs peer median 12.2 — cheaper than peers
• ▼ FCF yield 3.4% — expensive for this stock (over 4 y: from 3.4% to 8.1%)
• ▲ FCF yield 3.4% vs peer median 2.1% — cheaper than peers
• ▲ Forward P/E 9.6 is below the current one — earnings growth expected

• ▼ Debt up 92% in 3 y
• ▼ Piotroski 2/7 — weak financial health
• ▲ ROE 19% — high return on equity
• ▼ Net margin fell: 22.3% → 17.3%
• ▲ Debt / equity 0.38 — moderate debt
• ▲ Free cash flow positive every year

• ▼ Earnings per share falls -7.2% per year (3 y)

• ▼ Over 6 mo weaker than its sector (XLB) by 21%
• ▼ Price below SMA200 — long-term downtrend
• ▼ SMA50 below SMA200 — trend down

• ▼ Volatility 31% per year — much higher than the market (13%)

• ▲ Consensus of 9 analysts — buy
• ▲ Mean analyst target +25% from the current price

• ▲ S&P 500 above SMA200 — the market is in an uptrend
• ▲ Sector (XLB) above SMA200 — in an uptrend