Rio Tinto: Jefferies raises target price

(CercleFinance.com) - A Jefferies analyst said on Wednesday that he is raising his target price for the Rio Tinto share.


Maintaining a buy rating on the stock, Jefferies has increases its target price from 5,400 pene to 5,600 pence.

"We added Rio to the Jefferies US Franchise Picks List on May 18, 2020. The basis for this call was that we had expected iron ore prices to remain high and Rio to generate strong cash flow as a result. We now remove Rio from our US Franchise Picks list due to valuation and because company-specific risks have increased following the Juukan Gorge debacle. We maintain our Buy rating on Rio shares, but our relative preference now shifts to BHP over Rio," the broker says.


Copyright (c) 2020 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.