Traders Purchase High Volume of Call Options on Rio Tinto (NYSE:RIO)

Rio Tinto PLC (NYSE:RIO) was the target of unusually large options trading on Thursday. Stock traders purchased 1,248,427 call options on the company. This is an increase of approximately 17,817% compared to the typical daily volume of 6,968 call options.

Rio Tinto Price Performance

Shares of RIO opened at $93.41 on Friday. The company has a debt-to-equity ratio of 0.33, a quick ratio of 0.98 and a current ratio of 1.44. The business has a fifty day moving average of $91.06 and a 200 day moving average of $76.40. Rio Tinto has a 52-week low of $51.67 and a 52-week high of $101.53.

Rio Tinto Announces Dividend

The company also recently declared a dividend, which will be paid on Thursday, April 16th. Investors of record on Friday, March 6th will be paid a dividend of $2.54 per share. The ex-dividend date of this dividend is Friday, March 6th. This represents a dividend yield of 544.0%.

Wall Street Analysts Forecast Growth

A number of research firms recently weighed in on RIO. Barclays lowered shares of Rio Tinto from an “overweight” rating to an “equal weight” rating in a report on Tuesday, February 24th. Citigroup upgraded shares of Rio Tinto to a “hold” rating in a research report on Tuesday, February 10th. Argus lifted their price objective on shares of Rio Tinto from $70.00 to $85.00 and gave the stock a “buy” rating in a research note on Thursday, December 11th. Weiss Ratings upgraded shares of Rio Tinto from a “hold (c)” rating to a “buy (b-)” rating in a report on Friday, February 20th. Finally, HSBC cut shares of Rio Tinto from a “buy” rating to a “hold” rating in a research report on Monday, January 26th. One investment analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating and nine have given a Hold rating to the company. Based on data from MarketBeat, the company has an average rating of “Hold” and an average target price of $85.00.

Institutional Trading of Rio Tinto

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Cubist Systematic Strategies LLC purchased a new position in shares of Rio Tinto during the first quarter valued at approximately $84,000. AQR Capital Management LLC lifted its stake in shares of Rio Tinto by 78.4% during the 1st quarter. AQR Capital Management LLC now owns 12,087 shares of the mining company’s stock worth $726,000 after acquiring an additional 5,310 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its holdings in Rio Tinto by 20.7% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 11,485 shares of the mining company’s stock valued at $690,000 after acquiring an additional 1,968 shares during the period. Empowered Funds LLC boosted its holdings in Rio Tinto by 5.8% during the 1st quarter. Empowered Funds LLC now owns 5,280 shares of the mining company’s stock valued at $317,000 after acquiring an additional 288 shares during the period. Finally, Focus Partners Wealth grew its position in Rio Tinto by 16.7% in the 1st quarter. Focus Partners Wealth now owns 15,985 shares of the mining company’s stock valued at $962,000 after acquiring an additional 2,285 shares during the last quarter. 19.33% of the stock is owned by hedge funds and other institutional investors.

Rio Tinto Company Profile

Rio Tinto is a global mining and metals company that explores for, mines, processes and markets a wide range of commodities. Its principal products include iron ore, aluminum, copper, diamonds and various other minerals and industrial materials. The company’s activities span the full value chain from exploration and project development to mining, processing, smelting and refining, supplying raw materials to industries such as steelmaking, automotive, packaging, electronics and construction.

The origins of Rio Tinto date back to mining operations in the Rio Tinto region of Spain in the 19th century, and the group has since grown into a multinational enterprise.