Rio Tinto’s Aluminum For Iron Ore Tradeoff To Boost Profit

Forbes reported Rio Tinto (NYSE:RIO,ASX:RIO,LSE:RIO) will sell 13 of its aluminum assets while investing in the resource base for its iron ore business.

As quoted in the market news,

The company is moving aggressively toward streamlining its business and securing resources at key locations for further development. Rio Tinto competes primarily with global metals and mining giants like Vale, BHP, Freeport McMoran and other companies that mine bauxite, copper, coal and iron ore.

Our price estimate of near $82 for Rio Tinto implies about 70% upside to its current market price.

Click here to read the full Forbes report.