Ultime notizie per Rio Tinto (NYSE:RIO) Azioni

Rio Tinto

Rio Tinto is a global diversified miner. Iron ore is the dominant commodity, with significantly lesser contributions from copper, aluminum, diamonds, gold, and industrial minerals. The 1995 merger of RTZ and CRA, via a dual-listed structure, created the present-day company. The two operate as a single business entity, with shareholders in each company having equivalent economic and voting rights. Major assets included the Pilbara iron ore operations, a 30% stake in the Escondida copper mine, 66%-ownership of the Oyu Tolgoi copper mine in Mongolia, the Weipa and Gove bauxite mines in Australia, and six hydro-powered aluminum smelters in Canada.

Rio Tinto PLC

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The leading global miner Rio Tinto (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/RIO#NYSE">RIO</a>) has missed analysts' estimates, scoring weaker-than-expected third-quarter production across the board. Despite this short-term weakness, the company's <a target="_blank" href="https://www.benzinga.com/m-a/24/10/41246302/major-tesla-supplier-arcadium-lithium-jumps-over-30-in-pre-market-after-rio-tinto-acquires-company-f" rel="noreferrer noopener">$6.7b acquisition of </a><a target="_blank" href="https://www.benzinga.com/m-a/24/10/41246302/major-tesla-supplier-arcadium-lithium-jumps-over-30-in-pre-market-after-rio-tinto-acquires-company-f" rel="noreferrer noopener">Arcadium Lithium</a> is unlikely to meet criticism, given the long-term potential and cyclicality of that market.
Rio Tinto increased Pilbara's production by 1%, reaching 84.1 million tons of iron ore, as productivity gains helped offset ore depletion. However, Goldman Sachs' analysts expected 86.2.
The firm has maintained its full-year shipping guidance between 323 and 338 million tons, but cash cost units could rise with forecasts in the upper range of $21.75 to $23.50 per ton, citing inflationary pressures.
"We continue to strengthen our operations, with the roll-out of the Safe Production System delivering consistent production at our Pilbara iron ore business," <a target="_blank" href="https://www.riotinto.com/en/news/releases/2024/rio-tinto-releases-third-quarter-production-results" rel="noreferrer noopener">said</a> CEO Jakob Stausholm,
Copper production took a slight hit, with mined copper down by 1% to 168,000 tons in Q3. This decline was largely due to the highwall movement at the Kennecott mine in Utah, which restricted access to the main ore face and required the use of lower-grade stockpile ore.
Rio Tinto expects this disruption to impact mined copper production by approximately 50,000 tons in 2024. The company has revised its mine plan to address this challenge, but the highwall movement could affect output through 2025 and 2026.
On the bright side, the company is making progress regarding organic growth. The first lithium production from the Rincon plant in Argentina is expected in the coming months.
Meanwhile, in Guinea, the Simfer iron ore mine is on track to begin operations next year. It will have a capacity of 60 million tons per year, of which Rio Tinto will contribute 27 million tons share.
Additionally, copper production ramp-up continues at the Oyu Tolgoi underground mine in Mongolia, where higher copper grades are expected to boost output.
Stausholm also highlighted the company's continued focus on expansion into critical and battery metals.
"The acquisition of Arcadium Lithium brings a world-class lithium business alongside our leading aluminum and copper operations," he noted. "This is aligned with our strategy and increases our exposure to a high-growth, attractive market."
Despite its 90% premium to share price, the Arcadium acquisition is deemed a solid move given the company's scope of operations, assets potential, and a significant plunge in lithium prices. It is expected to close in mid-2025, propelling Rio Tinto to a top global lithium producer.
Price Action: Rio Tinto's shares are trading 0.27% lower to $66.29 in the premarket session at the last check on Wednesday.
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Rio Tinto Disappoints On Q3 Production, Sets Positive Tone About Organic Growth

<ul>
<li>In the Pilbara, it produced 84.1 million tonnes (Rio Tinto share 71.0 million tonnes) in the&nbsp;third quarter,&nbsp;1%&nbsp;higher than the corresponding period of 2023. Productivity gains continue to offset ore depletion. Shipments of 84.5 million tonnes (Rio Tinto share 72.5 million tonnes) were also&nbsp;1%&nbsp;higher than the&nbsp;third quarter&nbsp;of 2023.</li>
<li>Bauxite production of 15.1 million tonnes was&nbsp;8%&nbsp;higher than the&nbsp;third quarter&nbsp;of 2023.&nbsp;</li>
<li>Aluminium production of 0.8 million tonnes was&nbsp;2%&nbsp;lower than the&nbsp;third quarter&nbsp;of 2023.</li>
<li>Mined copper production of 168 thousand tonnes (consolidated basis) was&nbsp;1%&nbsp;lower than the&nbsp;third quarter&nbsp;of 2023.</li>
</ul>

Rio Tinto Says Long-Term Pathway To Deliver Profitable Growth And Create Shareholder Value Remains Clear; Reports Q3 Production Results

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Shares of copper companies are trading lower possibly after China's September exports data missed estimates. Betting markets project Donald Trump's victory in the U.S. presidential election, which may result in a decline in demand for commodities related to renewable energy.

On CNBC's &#8220;Mad Money Lightning Round,&#8221; Jim Cramer said Uranium Energy Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/UEC#NYSE">UEC</a>) is going higher. &#8220;UEC's the real deal…We need more uranium. I think it's a great <a href="https://www.benzinga.com/markets/equities/24/09/40983348/uranium-energy-strikes-175m-deal-to-acquire-rio-tintos-wyoming-assets">situation,&#8221; he added.</a>
On Sept. 23, Uranium Energy disclosed a deal to fully acquire Rio Tinto Plc‘s (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/RIO#NYSE">RIO</a>) Wyoming assets for a purchase price of $175 million. As per the deal, the buyout includes the fully licensed Sweetwater Plant and a portfolio of uranium mining projects with around 175 million pounds of historic resources.
When asked about Novo Nordisk (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/NVO#NYSE">NVO</a>), he said, &#8220;Doesn't hold a candle to Eli Lilly (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LLY#NYSE">LLY</a>).&#8221;
Sen. Elizabeth Warren (D-MA), last week, wrote a letter to the Federal Trade Commission's chair, Lina Khan, urging the department to investigate Novo Nordisk&#8217;s proposed $16.5 billion acquisition of contract development and manufacturing organization Catalent Inc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/CTLT#NYSE">CTLT</a>) thoroughly, amid growing concerns about potential antitrust violations. Critics argue that this merger could increase Novo Nordisk's control over producing vital GLP-1 receptor agonists, drugs used to treat diabetes and obesity. This could potentially drive up <a href="https://www.benzinga.com/general/biotech/24/10/41277809/ftc-faces-pressure-to-block-novo-nordisk-catalent-merger-over-antitrust-fears">prices and limit competition</a>.
Cramer recommended staying away from Halliburton (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HAL#NYSE">HAL</a>).
On Monday, BofA Securities analyst Chase Mulvehill maintained Halliburton with a Buy rating and lowered the price target from $40 to $38.
Price Action:
<ul>
<li>Novo Nordisk shares fell 0.2% to settle at $119.78 on Monday.</li>
<li>Uranium Energy shares gained 0.7% to close at $7.14.</li>
<li>Halliburton shares fell 0.8% to close at $30.58 on Monday.</li>
</ul>
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</ul>
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Jim Cramer: 'We Need More Uranium,' Recommends This Stock; Says Novo Nordisk 'Doesn't Hold A Candle' To Big Pharma Rival

Selling the news is a common trading strategy in which traders buy a stock in anticipation of expected news, then sell once the event occurs. It&#39;s a short-term strategy based on the psychology that the unknown is frequently better or worse than the known. Once traders have time to interpret the news, they find that it won&#39;t mean much for the long-term outlook for the stock.&nbsp;
But sometimes news happens unexpectedly. In this case, traders may buy a stock after the news is announced. But in many cases, these still turn out to be sell-the-news events. Although many long-term investors don&#39;t concern themselves too much with short-term news, they can still use this strategy to take some short-term profits if a stock becomes overbought.&nbsp;
This week, investors received news about three stocks that moved each stock higher in the immediate aftermath. However, 24 hours later, it&#39;s a good time for traders to examine the stocks and decide whether to buy the rally or take some profits. &nbsp;&nbsp;
<h2>Activist Investor Starboard Acquires $1 Billion Stake in Pfizer </h2>
Pfizer Inc. (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/pfe#NYSE">PFE</a>) stock jumped over 4% on Monday, October 7, on the news that Starboard Value, an activist investor, had accumulated a $1 billion stake in the company. That&#39;s not newsworthy by itself, but the company plans to use its stake to force some changes at the pharmaceutical company.
At issue is the company&#39;s post-COVID-19 strategy, which has involved growth through acquisition. Under current chief executive officer (CEO) Albert Bourla, Pfizer has spent $70 billion in M&amp;A (mergers and acquisitions) since 2020. Many of these investments have not delivered an impressive return.&nbsp;
Starboard, which is enlisting the support of two former Pfizer executives, wants the company to return to a business model that emphasizes a disciplined financial posture and focuses on investing in novel drugs.&nbsp;&nbsp;
It&#39;s important to note that short interest in Pfizer stock was up 14.4% in the last 30 days. That means some of the spikes could be due to short covering. After the initial spike, Pfizer&#39;s stock returned about 0.5%. Despite the recent move, PFE stock has still been down 12.3% in the last 12 months.&nbsp;
<h2>Arcadium Lithium Could Become an Acquisition Target&nbsp;</h2>
The catalyst for the move in Arcadium Lithium plc (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/altm#NYSE">ALTM</a>) comes on the news that the Rio Tinto Group (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/rio#NYSE">RIO</a>) has made a non-binding offer to acquire the lithium miner. ALTM stock is up more than 50% in the 48 hours since the news broke making it one of the leading performers among basic materials stocks.
Rio Tinto is already the world&#39;s second-largest mining company. It has been taking steps to increase its lithium production, including potentially building Europe&#39;s biggest lithium mine in Serbia. However, with those plans stalled, the company could be turning to growth through acquisition strategy. &nbsp;
Lithium is a core component needed for electric vehicle (EV) batteries, smartphones, and other electronic devices. Demand stalled in 2024 but is expected to remain strong for the rest of the decade. &nbsp;
Investors should note that the announcement did not include financial specifics. Because the offer is non-binding, it&#39;s difficult to speculate on Rio Tinto&#39;s degree of interest. That&#39;s not discouraging investors in the short term; analysts were already bullish on ALTM stock before the announcement. &nbsp;
<h2>Netflix Stock Remains Resilient in the Face of Downgrades&nbsp;</h2>
After falling over 2.5% on news that Barclay&#39;s downgraded its stock, Netflix Inc. is already approaching a new all-time high. That&#39;s because, on the same day that Barclay&#39;s downgraded the stock, TD Cowen reaffirmed its Buy rating on the stock and raised its price target from $775 to $820.
While maintaining a price target of $550 for NFLX stock, Barclay&#39;s lowered the company&#39;s ratings from Equal Weight to Underweight. That&#39;s the equivalent of a Sell rating. &nbsp;
The concern is over the streaming giant&#39;s valuation. Netflix currently trades at 49.9x earnings and 37.7x forward earnings. Netflix has faced this question before. At levels like this, it has to prove that it can grow earnings on a path that&#39;s consistent with that multiple.
For now, analysts believe the company will continue to capture market share based on its pricing power. And the revenue it generates from its ad-supported tier should support expectations for a 20% increase in earnings in the next 12 months.&nbsp;
The article &quot;<a href="https://www.marketbeat.com/stock-ideas/these-3-stocks-just-spikedbuy-the-rally-or-sell-the-news/">These 3 Stocks Just Spiked&mdash;Buy the Rally or Sell the News?</a>&quot; first appeared on MarketBeat.

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These 3 Stocks Just Spiked—Buy the Rally or Sell the News?

The Serbian parliament didn't accept the opposition's proposal to modify the country's mining law to ban the exploration and exploitation of lithium and boron. Such a decision would have ended Rio Tinto's (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/RIO#NYSE">RIO</a>) <a target="_blank" href="https://www.benzinga.com/news/large-cap/24/06/39357247/rio-tinto-to-initiate-largest-european-lithium-project-by-2028" rel="noreferrer noopener">multi-billion dollar </a><a target="_blank" href="https://www.benzinga.com/news/large-cap/24/06/39357247/rio-tinto-to-initiate-largest-european-lithium-project-by-2028" rel="noreferrer noopener">Jadar</a><a target="_blank" href="https://www.benzinga.com/news/large-cap/24/06/39357247/rio-tinto-to-initiate-largest-european-lithium-project-by-2028" rel="noreferrer noopener"> project</a>.
After a four-day discussion, the 214 members voted as follows: 84 voted yes, 128 voted no, two didn't vote.
"Forbidding exploration and exploitation of lithium and other mineral goods would create ripple effects, not only in Serbian economy but in its geopolitical positioning, "said Minister of Mining and Energy Dubravka Dedovic Handanovic, <a target="_blank" href="https://www.slobodnaevropa.org/a/skupstina-srbije-rasprava-litijum/33153519.html" rel="noreferrer noopener">per</a> Slobodna Evropa's report.
The Jadar deposit, discovered in 2004, is one of the largest lithium deposits in the world. According to estimates, it contains 118 million tons of ore grading 1.8% lithium oxide in mineral form.
However, its unique mineral form also creates issues for extraction technology, making the latest direct lithium extraction (DLE) advancements inapplicable.
Faced with large environmental protests, the government revoked licenses in January 2022 before reinstating them earlier this year. Still, environmentalists' backlash remains despite Rio Tinto's guarantees that the project will be subject to stringent environmental requirements and compliant with Serbian and EU regulations.
Even if everything goes right, mines take time to develop, and it is unlikely Rio Tinto will start production in Serbia before 2028. Thus, its <a target="_blank" href="https://www.benzinga.com/m-a/24/10/41250060/arcadium-lithium-stock-is-soaring-wednesday-whats-behind-the-move" rel="noreferrer noopener">latest acquisition</a> of Arcadium (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ALTM#NYSE">ALTM</a>) makes sense.
Arcadium has a <a target="_blank" href="https://www.riotinto.com/en/news/releases/2024/rio-tinto-to-acquire-arcadium-lithium" rel="noreferrer noopener">global operation</a> spanning five continents. It has lithium assets in Australia and Argentina, alongside downstream conversion assets in the U.S., China, Japan, and the U.K.
Geographical diversity aligns with Rio Tinto's global orientation, giving it a presence in Argentina—a rapidly growing lithium market—while also strengthening its domestic assets. Furthermore, with Rio Tinto's technical expertise, Arcadium's 75,000-ton production capacity could grow as much as 130% by 2028.
Meanwhile, initial production estimates placed Serbia's Jadar at 58,000 tons. Thus, a 90% premium to market cap with $6.7 billion in cash for Ardacium's assets and technology seemed like a good bet, especially given its enterprise value of $10.6 billion at the time of its creation and the lithium's current price, which is over 80% off its 2022 highs.
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<li><a href="https://www.benzinga.com/news/24/10/41268494/china-pledges-24b-for-coal-to-oil-infrastructure-to-reduce-oil-imports" target="_blank" rel="noreferrer noopener">China Pledges $24B For Coal-to-Oil Infrastructure To Reduce Oil Imports</a></li>
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Serbian Parliament Doesn't Pass Lithium Ban, Keeps Rio Tinto's Major Project Alive

See-sawing mood persists on Wall Street as the index futures point to a marginally lower start on Wednesday after the tech-led rebound witnessed in the previous session. Nvidia Corp. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) is advancing in premarket and the rest of the big techs were just about higher. Commodities are weakening and bond yields are easing. Federal Reserve&#8217;s September rate-setting meeting minutes, speeches by Fed officials and developments around Hurricane Milton&#8217;s landfall in Florida could be on traders&#8217; radar.
Some may choose to move to the sidelines ahead of Thursday&#8217;s consumer price inflation report which is expected to show a further easing in pricing pressure. Some key earnings reports are also expected to drop over the next two sessions, which is likely to give early indications regarding how this reporting season will pan out.
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<td>Futures</td>
<td>Performance (+/-)</td>
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<td>Nasdaq 100</td>
<td>-0.08%</td>
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<td>S&amp;P 500</td>
<td>-0.06%</td>
</tr>
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<td>Dow</td>
<td>-0.07%</td>
</tr>
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<td>R2K</td>
<td>-0.13%</td>
</tr>
</tbody>
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In premarket trading on Wednesday,&nbsp;the SPDR S&amp;P 500 ETF Trust (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SPY#NYSE">SPY</a>) edged down 0.04% to $572.93 and the&nbsp;Invesco QQQ ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQ#NASDAQ">QQQ</a>) moved down 0.209% to $488.85, according to&nbsp;<a href="https://benzinga.grsm.io/lxquj26b2sag" target="_blank" rel="noreferrer noopener">Benzinga Pro data</a>.
Cues From Last Session:
IT, communication services and consumer discretionary stocks fueled a strong rally on Wall Street on Tuesday even as energy stocks served as drags. The gains came despite the threat of Hurricane Milton looming large. Nvidia Corp. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) rose over 4% after contracts electronics manufacturer Hon Hai Precision Manufacturing Co. Ltd. (OTC:<a class="ticker" href="https://www.benzinga.com/stock/HNHPF#OTC">HNHPF</a>) issued positive commentary about the demand for the former&#8217;s Blackwell GB200 chips. The positive sentiment rubbed off on other AI-levered tech stocks as well.
The Nasdaq Composite and the S&amp;P 500 hovered in positive territory throughout the session, while the Dow Jones Industrial Average experienced volatility before closing modestly higher. 
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<td>Index</td>
<td>Performance (+/)</td>
<td>Value</td>
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<td>Nasdaq Composite</td>
<td>+1.45%</td>
<td>18,182.92</td>
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<td>S&amp;P 500 Index</td>
<td>+0.97%</td>
<td>5,751.13</td>
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<td>Dow Industrials</td>
<td>+0.30%</td>
<td>42,080.37</td>
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<td>Russell 2000</td>
<td>+0.09%</td>
<td>2,194.98</td>
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Insights From Analysts:
The current bull market started on Oct. 12, 2022, and as its second anniversary nears, a strategist suggested there be could many more years of gains. Carson Group&#8217;s Chief Markey Strategist Ryan Detrick said the S&amp;P 500 Index is up 61% so far in this bull market. On average, a bull market lasts about 5.5 years and the average gain clocked is 181%.
The strategist said the bull market may not end soon. Sharing a graphic showing performances of the index during the previous bull markets, he said, &#8220;Many more years of gains would be perfectly normal.&#8221;
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<blockquote class="twitter-tweet" data-width="500" data-dnt="true">The bull market is about to turn two. Stocks are up 61% during this bull market, compared with the avg bull market lasting 5.5 years and gaining 181%. Yes, it &#39;could&#39; end soon, but we don&#39;t think it will. In fact, this shows many more years of gains would be perfectly normal. <a href="https://t.co/sbPROOIrTg">pic.twitter.com/sbPROOIrTg</a>
&mdash; Ryan Detrick, CMT (@RyanDetrick) <a href="https://twitter.com/RyanDetrick/status/1843649022126690442?ref_src=twsrc%5Etfw">October 8, 2024</a></blockquote>
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See also: <a href="https://www.benzinga.com/money/best-futures-trading-software">Best Futures Trading Software</a>
Upcoming Economic Data:
<ul>
<li>The Fed speakers lined up for the day include:
<ul>
<li>Atlanta Fed President Raphael&nbsp;Bostic: 8 a.m. EDT, 12:45 p.m. EDT</li>
<li>Dallas Fed President Lorie&nbsp;Logan: 9:15 a.m. EDT</li>
<li>Chicago Fed President Austan Goolsbee: 10:30 a.m. EDT</li>
<li>Federal Reserve Vice Chair Philip Jefferson: 12:30 p.m. EDT</li>
<li>Boston Fed President Susan Collins: 5 p.m. EDT</li>
<li>San Francisco Fed President Mary&nbsp;Daly: 6 p.m. EDT</li>
</ul>
</li>
<li>The Commerce Department is due to release wholesale inventories report for August at 10 a.m. EDT. Economists, on average, expect wholesale inventories to rise 0.2% month-over-month, the same pace as in July.</li>
<li>The Energy Information Administration is scheduled to release its customary weekly petroleum status report at 10:30 a.m. EDT.</li>
<li>The Treasury is set to auction 10-year notes at 1 p.m. EDT.</li>
<li>The Federal Open Market Committee will release the minutes of its September rate-setting meeting at 2 p.m. EDT.</li>
</ul>
Stocks In Focus:
<ul>
<li>Helen of Troy Limited (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/HELE#NASDAQ">HELE</a>) is due to report its quarterly results before the market opens, while Applied Digital Corporation (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/APLD#NASDAQ">APLD</a>) and AZZ Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/AZZ#NYSE">AZZ</a>) will announce their results after the market close.</li>
<li>Astera Labs, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ALAB#NASDAQ">ALAB</a>) climbed over 7% after the company announced a new portfolio of fabric switches meant for demanding AI workloads in accelerated computing platforms deployed at cloud-scale.&nbsp;</li>
<li>Affirm Holdings, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AFRM#NASDAQ">AFRM</a>) rose over 3% on a positive analyst action.</li>
<li>Boeing Company (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BA#NYSE">BA</a>) slipped over 1% after the company said talks with union members weren&#8217;t going smoothly. Following the strike, S&amp;P placed  Boeing&#8217;s rating on CreditWatch as negative.</li>
<li>Australian miner Arcadium Lithium plc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ALTM#NYSE">ALTM</a>) soared more than 30% after the company announced an agreement to be acquired by Rio Tinto Group (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/RIO#NYSE">RIO</a>).</li>
</ul>
Commodities, Bonds And Global Equity Markets:
 Crude oil futures traded modestly lower following Tuesday&#8217;s sharp retreat and gold futures were little changed. Bitcoin (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/btc/usd">BTC</a>) was down less than a percent at a little over $62K. The yield on the benchmark 10-year Treasury note was down 1.9 points to 4.016%.
The Asian stocks had another mixed outing on Wednesday, with China&#8217;s Shanghai Composite slumping 6.62% and Hong Kong&#8217;s Hang Seng Index falling 1.38%. The lack of any further announcements concerning additional stimulus weighed down on these two markets. On the other hand, the Japanese market advanced. The South Korean market was closed for a public holiday.
The European markets were firmer in early trading on Wednesday. 
Read Next:
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<li><a href="https://www.benzinga.com/markets/equities/24/10/41245350/nvidia-poised-to-overtake-apple-as-worlds-most-valuable-company-how-much-jensen-huangs-company-n">Nvidia Poised To Overtake Apple As World&#8217;s Most Valuable Company: How Much Jensen Huang&#8217;s Company Needs To Gain By Wednesday</a></li>
</ul>
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US Stocks Set To Open Marginally Lower, Nvidia Gains, Traders Eye Fed Minutes: Strategist Predicts Many More Years Of Gains Ahead Of Bull Market's 2nd Anniversary

Rio Tinto PLC ADR (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/RIO#NYSE">RIO</a>) has announced a definitive agreement to acquire Arcadium Lithium plc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ALTM#NYSE">ALTM</a>) in an all-cash deal valued at $6.7 billion.
What Happened: As per the press release on Wednesday, the acquisition price of $5.85 per share represents a 90% premium over Arcadium&#8217;s closing price on Oct. 4.
According to <a href="https://pro.benzinga.com">Benzinga Pro</a>, at the time of writing, Arcadium was up by 29.48% in pre-market since its Tuesday close while Rio was trading 1.16% lower than its previous day&#8217;s closing price.
The transaction will integrate Arcadium&#8217;s lithium operations into Rio Tinto&#8217;s portfolio, positioning the company as a leader in energy transition commodities. Arcadium, a vertically integrated lithium chemicals producer, boasts a production capacity of 75,000 tonnes of lithium carbonate equivalent annually, with plans to double by 2028.
This acquisition comes at a time when Rio Tinto is in heated debates with the Serbian government on a proposal to ban lithium and borate mining, a move that could impact Rio Tinto&#8217;s significant mining project in the country&#8217;s western region.
As per Reuters on Monday, Serbia reinstated Rio Tinto&#8217;s license in July to develop what is poised to be Europe&#8217;s largest lithium mine, reversing a previous government decision influenced by environmental protests.
The Jadar lithium project, valued at $2.4 billion, is expected to fulfill 90% of Europe&#8217;s current lithium demand, potentially establishing Rio Tinto as a key player in the global lithium market.
Rio Tinto&#8217;s CEO, Jakob Stausholm, emphasized the strategic importance of this acquisition, stating it aligns with the company&#8217;s long-term goals and enhances its capabilities in lithium production. Arcadium&#8217;s CEO, Paul Graves, expressed confidence in the deal, highlighting its potential to accelerate Arcadium&#8217;s growth strategy.
See Also:<a href="https://www.benzinga.com/markets/cryptocurrency/24/10/41204472/if-you-invested-1000-in-bitcoin-when-rap-legend-nas-sang-that-he-was-coin-based-basically-?itm_source=parsely-api"> If You Invested $1000 in Bitcoin When Rap Legend Nas Sang That He Was &#8216;Coin-Based, Basically Crypto-Currency Scarface,&#8217; Here&#8217;s How Much You&#8217;d Have Today</a>
The acquisition, approved by both companies&#8217; boards, is expected to close by mid-2025, pending shareholder and regulatory approvals. This strategic move comes as Rio Tinto aims to capitalize on the growing demand for lithium, driven by the global energy transition.
Why It Matters: The acquisition of Arcadium Lithium marks a significant step for Rio Tinto in its ambition to become a major player in the <a href="https://www.benzinga.com/news/large-cap/24/10/41203850/rio-tinto-confirms-interest-in-arcadium-lithium-shares-surge">global lithium market.</a> Earlier in October, Rio Tinto confirmed its interest in acquiring Arcadium, a key supplier for Tesla Inc., which caused Arcadium&#8217;s shares to surge. This acquisition positions Rio Tinto as one of the largest lithium producers worldwide, trailing only behind industry giants like Albemarle Corp and SQM.
In June, Rio Tinto announced plans to initiate <a href="https://www.benzinga.com/news/large-cap/24/06/39357247/rio-tinto-to-initiate-largest-european-lithium-project-by-2028">Europe&#8217;s largest lithium project</a> by 2028 in Serbia. The Jadar project, which has been on hold since 2022, is set to produce 58,000 tons of refined battery-grade lithium carbonate annually. This project is expected to supply 17% of Europe&#8217;s electric vehicle production needs, underscoring Rio Tinto&#8217;s strategic focus on the lithium market.
Read Also:
<ul>
<li>Why Arcadium Lithium Shares Are Trading Higher By 28%; Here Are 20 Stocks Moving Premarket</li>
</ul>
Disclaimer: This content was partially produced with the help of <a href="https://www.benzinga.com/author/benzinga-neuro">Benzinga Neuro</a> and was reviewed and published by Benzinga editors.
Image via Pixabay

Major Tesla Supplier Arcadium Lithium Jumps Over 30% In Pre-Market After Rio Tinto Agrees To Buy Company For $6.7B

Shares of Saratoga Investment Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SAR#NYSE">SAR</a>) rose sharply in today's pre-market trading after the company reported better-than-expected earnings and sales results <a href="https://www.benzinga.com/quote/SAR/earnings">for its second quarter</a>.
The company reported quarterly earnings of $1.33 per share which beat the analyst consensus estimate of 94 cents per share.
Saratoga Investment shares jumped 7.9% to $25.43 in the pre-market trading session.
Here are some other stocks moving in pre-market trading.
<h3 class="wp-block-heading">Gainers</h3>
<ul>
<li>Carmell Corporation (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CTCX#NASDAQ">CTCX</a>) rose 52.5% to $0.5118 in pre-market trading after dipping 5% on Tuesday.</li>
<li>WW International, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/WW#NASDAQ">WW</a>) rose 42.4% to $1.65 in pre-market trading. WW shares jumped 47% on Tuesday after the company announced the addition of compounded semaglutide into its offering.</li>
<li>Arcadium Lithium plc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ALTM#NASDAQ">ALTM</a>) gained 31.1% to $5.56 in pre-market trading after Rio Tinto (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/RIO#NYSE">RIO</a>) announced plans to acquire the company in an all-cash transaction for $5.85 per share.</li>
<li>Kezar Life Sciences, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/KZR#NASDAQ">KZR</a>) shares rose 20.3% to $0.8850 in pre-market trading. Tang Capital Management disclosed a 9.9% active stake in Kezar Life Sciences with 7.2 million shares acquired for $5.6 million.</li>
<li>iCoreConnect Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ICCT#NASDAQ">ICCT</a>) shares gained 16.1% to $0.4150 in pre-market trading. iCoreConnect recently announced it acquired substantially all of the assets of the Healthcare Circle of Excellence..</li>
<li>PLBY Group, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/PLBY#NASDAQ">PLBY</a>) shares surged 12% to $0.80 in pre-market trading.</li>
<li>The Oncology Institute, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TOI#NASDAQ">TOI</a>) shares jumped 10.2% to $0.3449 in pre-market trading after declining around 4% on Tuesday.</li>
<li>IN8bio, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INAB#NASDAQ">INAB</a>) gained 9.5% to $0.2466 in pre-market trading after dipping around 12% on Tuesday.</li>
<li>Standard Lithium Ltd. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SLI#NYSE">SLI</a>) rose 7.5% to $1.86 in pre-market trading after declining 8% on Tuesday.</li>
</ul>
<h3 class="wp-block-heading">Losers</h3>
<ul>
<li>Paltalk, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/PALT#NASDAQ">PALT</a>) shares dipped 20.2% to $2.45 in pre-market trading after falling around 4% on Tuesday.</li>
<li>Kidpik Corp. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/PIK#NASDAQ">PIK</a>) shares declined 19.6% to $1.76 in pre-market trading.</li>
<li>Moolec Science SA (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MLEC#NASDAQ">MLEC</a>) fell 19.2% to $0.7100 in today's pre-market trading. The company recently reported a loss for the fourth quarter.</li>
<li>LeddarTech Holdings Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/LDTC#NASDAQ">LDTC</a>) shares fell 18.7% to $0.22 in pre-market trading after gaining 3% on Tuesday.</li>
<li>Nature&#8217;s Miracle Holding Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NMHI#NASDAQ">NMHI</a>) fell 17% to $0.1632 in pre-market trading after gaining 45% on Tuesday.</li>
<li>Ambow Education Holding Ltd. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/AMBO#NYSE">AMBO</a>) shares declined 15.8% to $3.52 in pre-market trading after gaining 4% on Tuesday.</li>
<li>Royalty Management Holding Corporation (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/RMCO#NASDAQ">RMCO</a>) shares fell 14.7% to $0.7865 in pre-market trading after declining 3% on Tuesday.</li>
<li>Ontrak, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/OTRK#NASDAQ">OTRK</a>) shares fell 14.2% to $2.37 after jumping 52% on Tuesday.</li>
<li>Delek Logistics Partners, LP (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/DKL#NYSE">DKL</a>) fell 10.2% to $40.11 in pre-market trading. Delek Logistics Partners priced its public offering of 3,846,153 common units at $39 per unit.</li>
<li>UP Fintech Holding Limited (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TIGR#NASDAQ">TIGR</a>) declined 7.3% to $8.92 in pre-market trading after dipping around 16% on Tuesday.</li>
</ul>
Now Read This: 
<ul>
<li><a href="https://www.benzinga.com/markets/24/10/41238686/jim-cramer-ast-spacemobile-is-just-too-hot-recommends-buying-this-tech-stock">Jim Cramer: AST SpaceMobile Is &#8216;Just Too Hot,&#8217; Recommends Buying This Tech Stock</a></li>
</ul>

AMBO

CTCX

ICCT

INAB

LDTC

MLEC

NMHI

OTRK

PALT

PLBY

RMCO

TIGR

Why Saratoga Investment Shares Are Trading Higher By Around 8%; Here Are 20 Stocks Moving Premarket

<ul>
<li>World-class lithium business to strengthen Rio Tinto&#39;s position as global leader in</li>
<li>energy transition commodities</li>
<li>Counter-cyclical expansion into a high-growth market, aligned with Rio Tinto&#39;s long-term strategy and disciplined capital allocation framework</li>
<li>Rio Tinto&#39;s scale, project development capabilities and financial strength to unlock full potential of</li>
<li>Arcadium Lithium&#39;s Tier 1 resource base</li>
</ul>

Rio Tinto To Acquire Arcadium Lithium For $6.7B At $5.85/Share, Boosting Global Position In Lithium Market

Rio Tinto plc ADR Common Stock (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/RIO#NYSE">RIO</a>) shares are trading lower by 4.2% to $66.65 Tuesday afternoon. Shares of copper and iron ore companies are trading lower amid China <a href="https://www.benzinga.com/analyst-ratings/analyst-color/24/10/41227136/chinese-stocks-plunge-as-stimulus-hopes-fade-hong-kong-posts-worst-daily-decline-si">stimulus uncertainty</a>.
What Happened: Rio Tinto shares fell today in response to a sharp selloff in Chinese markets, with the Hang Seng Index plunging more than 9%. 
The drop, the index's worst since the 2008 financial crisis, was driven by mounting investor disappointment over the lack of aggressive economic stimulus from Beijing, sparking fears of slowing demand for key commodities like iron ore, copper and aluminum—major products in Rio Tinto&#8217;s portfolio.
Rio Tinto&#8217;s business is closely tied to the health of the Chinese economy, which accounts for a significant portion of global demand for industrial metals. As one of the world's largest consumers of raw materials, China's economic policies and growth trajectory have a direct impact on the mining giant's revenues.
Read Also: <a href="https://www.benzinga.com/news/earnings/24/10/41236355/stocks-rally-as-oil-prices-tumble-tech-chipmakers-lead-as-traders-focus-on-ai-winners-before-earnin">Stocks Rally As Oil Prices Tumble; Tech, Chipmakers Lead As Traders Focus On AI Winners Before Earnings Season: What&#8217;s Driving Markets Tuesday?</a>
What Else: For Rio Tinto, the market reaction reflects growing concerns about the demand outlook for industrial commodities, particularly iron ore, which is used primarily in steel production—a key component of China's infrastructure and construction sectors. Without strong stimulus measures, particularly in the form of new infrastructure projects or housing construction, analysts fear that China's demand for iron ore could stagnate or even decline. This would be a major headwind for Rio Tinto, which derives a significant portion of its revenue from iron ore production in Australia, one of the company&#8217;s core businesses.
Copper, a key material in construction, electronics and renewable energy projects, has been a focal point for Rio Tinto's growth strategy as it positions itself to benefit from the global energy transition. However, if China's economic slowdown continues, demand for copper and aluminum could also weaken, further weighing on Rio Tinto's outlook.
Rio Tinto has been benefiting from strong commodity prices over the past few years, driven by China's previous stimulus efforts and post-pandemic recovery. But the current lack of significant fiscal support from Beijing raises concerns that the mining giant may face softer demand, particularly if economic growth in China continues to fall short of expectations. 
With China's property sector still facing challenges and infrastructure investment lagging, the absence of a more aggressive stimulus package could signal a slower rebound in key industries that drive commodity consumption.
<a href="https://www.benzinga.com/markets/cannabis/24/10/41233018/exclusive-ross-gerber-sees-tsunami-of-money-pouring-into-cannabis-companies-upon-federal-legaliz">EXCLUSIVE: Ross Gerber Sees &#8216;Tsunami Of Money&#8217; Pouring Into Cannabis Companies Upon Federal Legalization, Says Cannabis Is One Of &#8216;Biggest&#8217; Opportunities Beyond AI</a>
<h2 class="wp-block-heading">Is RIO A Good Stock To Buy?</h2>
An investor can make a few decisions when deciding whether a stock is a good buy. In addition to valuation metrics and price action which you can find on Benzinga's quote pages &#8211; like <a href="https://www.benzinga.com/quote/RIO">Rio Tinto</a>&#8216;s page for example &#8211; there are factors like whether or not a company pays a dividend or buys a large portion of its stock each quarter.
These are known as capital allocation programs. Rio Tinto does pay a dividend, which yields 7.77% per year as of the closing price on Oct. 8, 2024. Feel free to search Benzinga's <a href="https://www.benzinga.com/calendars/dividends">dividend calendar</a> for the next company that is due to pay a dividend and determine what kind of yield you can earn for holding a share of the company.
For example, if you're looking to earn an annualized return of 14.18%, you'll need to buy a share of Ellington Residential by the Oct. 31, 2024. Once done, you can expect to receive a nominal payout of $0.08 on Nov. 25, 2024.
Buyback programs are obviously different and highly variable. A company can approve a buyback program and purchase shares as it sees fit over the course of time in which the buyback was authorized. Looking through the latest news on <a href="https://www.benzinga.com/quote/RIO">Rio Tinto</a> will often yield whether or not the company has approved a buyback program recently. Buyback programs usually serve as a support for share prices, serving as a backstop for demand.
According to data from&nbsp;<a href="https://benzinga.grsm.io/register174">Benzinga Pro</a>, RIO has a 52-week high of $75.09 and a 52-week low of $59.35.

Why Rio Tinto Stock Is Trading Lower Tuesday

VALE

Shares of copper and iron ore companies are trading lower amid China stimulus uncertainty.

On Monday, Rio Tinto (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/RIO#NYSE">RIO</a>) confirmed that it is in <a target="_blank" href="https://www.riotinto.com/en/news/releases/2024/rio-tinto-confirms-approach-to-arcadium-lithium" rel="noreferrer noopener">non-binding talks to acquire</a> Arcadium Lithium (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ALTM#NYSE">ALTM</a>), a <a target="_blank" href="https://www.benzinga.com/topic/lithium" rel="noreferrer noopener">major lithium miner</a> formed from the merger of Livent and Allkem. Both companies clarified that the discussions are preliminary, and there is no certainty that a transaction will proceed.
If the acquisition goes through, Rio Tinto would become one of the largest lithium producers globally, behind industry leaders like Albemarle Corp (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ALB#NYSE">ALB</a>) and SQM (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SQM#NYSE">SQM</a>).
However, the company would have to pay a significant premium, as industry insiders value Arcadium between $4 billion and $6 billion—representing a potential 60% premium over the company's market value.
Still, even that premium would be far off Arcadium's $10.6 billion valuation in January when a merger between Alkem and Livent <a target="_blank" href="https://www.benzinga.com/markets/commodities/23/12/36309873/livent-secures-allkem-merger-following-piper-sandler-downgrade" rel="noreferrer noopener">created the enterprise</a>.
Since then, a prolonged slump in the lithium market has sent the shares down by more than 50%, making it an acquisition target. The company is also a diverse producer, with an operational footprint in nine countries and high-profile customers such as Tesla (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>), BMW, and General Motors (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GM#NYSE">GM</a>).
Michael Teran, deputy portfolio manager at Blackwattle Investment Partners, classified this move as an "opportunistic bid to take advantage of low lithium prices."
Most investors in the stock have already had a lot of pain or are there for the longer term, so they are looking through the cycle to see where this could end up," he said <a target="_blank" href="https://www.ft.com/content/a2f3f634-28fb-46cf-933e-9cc44b476a31" rel="noreferrer noopener">to</a> the Financial Times.
Rio Tinto already has significant lithium projects in development, including the Rincon project in Argentina and the Jadar project in Serbia. The company has committed <a target="_blank" href="https://www.benzinga.com/markets/commodities/24/03/37855851/argentinas-lithium-mining-sector-gets-350m-boost-with-rio-tinto-investment" rel="noreferrer noopener">significant capital to developing Rincon</a>, with plans to invest $2 billion in building a lithium carbonate production plant to ramp up production in 2025.
However, the Jadar project has faced <a target="_blank" href="https://www.benzinga.com/news/large-cap/24/06/39357247/rio-tinto-to-initiate-largest-european-lithium-project-by-2028" rel="noreferrer noopener">considerable opposition</a> from local communities in Serbia. They are concerned about environmental impacts and slowing progress on one of Rio's critical European ventures.
Owing to the mineral nature of the lithium there, the project could not even use Arcadium's advanced direct lithium extraction (DLE) technology, which the company has been refining. Still, it would be a valuable advancement for brine-based projects in South America.
The Australian listing of Arcadium Lithium rose 45.7% on the news, closing at A$6.09 ($4.13). The US premarket listing was up 30%, trading at $3.98&nbsp; as of 6 AM ET.
Read Next:
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<li><a href="https://www.benzinga.com/news/large-cap/24/10/41176539/vale-plans-to-expand-copper-output-invests-184m-for-domestic-critical-minerals" target="_blank" rel="noreferrer noopener">Vale Plans To Expand Copper Output, Invests $184M For Domestic Critical Minerals</a></li>
</ul>
Photo via Shutterstock

TSLA

Rio Tinto Confirms Interest In Arcadium Lithium, Shares Surge

Reported Sunday, Arcadium Lithium Confirms Non-Binding Acquisition Approach By Rio Tinto

Rio Tinto In Talks To Buy Arcadium Lithium; Deal Could Value Arcadium Between $4B-$6B Or Higher

Source: <a href="https://www.streetwisereports.com/article/2024/10/02/strategic-expansion-fuels-u-s-uranium-production-surge-amid-global-supply-shifts.html?utm_medium=feed">Streetwise Reports 10/02/2024</a>
Uranium Energy Corp. (AMEX:UEC) has taken a step in expanding its U.S. uranium production capacity through the acquisition of Rio Tinto Plc.&#39;s (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/rio#NYSE">RIO</a>) Sweetwater Plant and a portfolio of Wyoming uranium assets.
Announced on September 23, the transaction, valued at US$175 million, adds approximately 175 million pounds of historic uranium resources to UEC&#39;s holdings. This acquisition creates UEC&#39;s third hub-and-spoke production platform in the U.S., further solidifying its role as a leading player in the domestic uranium market.
The Sweetwater Plant has a licensed processing capacity of 4.1 million pounds of uranium per year and is a key strategic asset. This enables UEC to expand its capabilities for both in-situ recovery (ISR) and conventional mining methods. This announcement comes as the U.S. increases its focus on securing domestic uranium supplies in light of geopolitical shifts, like the U.S. ban on Russian uranium imports. The transaction is expected to close in Q4 2024, with UEC utilizing its available liquidity to fund the purchase.
<h2>Looking Into The Uranium Market</h2>
On September 30, The New York Times reported that &quot;uranium mines are ramping up across the West, spurred by rising demand for electricity and federal efforts to cut Russia out of the supply chain for U.S. nuclear fuel.&quot;
This surge in demand has helped drive uranium prices to their highest levels in over 15 years, according .to TradeTech, a consulting firm. These market conditions have led to a revitalization of mining regions that had been in decline since the end of the Cold War.
<blockquote class="callOut left">Chris Temple of The National Investor noted that UEC was &quot;upgraded back to Buy&quot; following recent market news and encouraged increased exposure to the uranium sector.</blockquote>
The industry is expected to continue growing, with U.S. production of uranium, specifically yellowcake, predicted to reach approximately six million pounds by 2028. John W. Cash, CEO of Ur-Energy, highlighted the recovery in the Times article, comparing the industry to &quot;a broken arm that&#39;s been in a cast for a long time.&quot;
Kitco, on September 25, also noted the robust market conditions, stating that &quot;the U3O8 uranium spot price has risen significantly over the last five years.&quot; The article pointed out that uranium and related equities have outperformed other asset classes over the long term, reinforcing the optimistic outlook for the sector.
In line with this positive trajectory, The Financial Times reported on September 20 that the price of enriched uranium has more than tripled since early 2022, signaling the growing demand for nuclear energy. Additionally, uranium hexafluoride prices have increased fourfold, underscoring the bottlenecks in the conversion stage of the nuclear fuel supply chain. Jonathan Hinze, CEO of UxC, explained that this surge in conversion and enrichment prices was &quot;reflecting a much bigger supply squeeze due to the Russia-Ukraine war and other factors.&quot;
<h2>Catalysts</h2>
According to UEC&#39;s September 2024 investor presentation, the acquisition of Rio Tinto&#39;s Wyoming assets marks a highly strategic addition to UEC&#39;s growing U.S. portfolio. The transaction creates operational synergies by integrating Rio Tinto&#39;s Sweetwater Plant with UEC&#39;s existing operations in Wyoming&#39;s Great Divide Basin. This allows UEC to streamline infrastructure and personnel across its newly expanded land position, which now totals over 108,000 acres, further enhancing exploration and production opportunities.
<blockquote class="callOut right">Joe Reagor of Roth MKM, also on September 25, reiterated his Buy rating on UEC and increased the company&#39;s price target from US$9.00 to US$9.50</blockquote>
The Sweetwater Plant&#39;s capability to be adapted for ISR processing, in addition to conventional mining, provides UEC with significant production flexibility at a lower capital cost compared to building new facilities.
This expansion comes as uranium demand continues to grow due to global clean energy initiatives and recent U.S. government actions, including the Department of Energy&#39;s efforts to bolster domestic uranium production.
UEC&#39;s latest acquisition supports its long-term strategy of becoming a leading supplier of uranium in North America, capitalizing on both industry tailwinds and its expanded resource base.
<h2>A Buy-Rated Stock</h2>
On September 25, Chris Temple of The National Investor noted that UEC was &quot;upgraded back to Buy&quot; following recent market news and encouraged increased exposure to the uranium sector. He pointed to UEC&#39;s acquisition of Rio Tinto&#39;s Wyoming uranium assets as a catalyst, emphasizing that uranium is &quot;in the early innings of this new bull market.&quot; Temple also recommended UEC as part of his broader strategy for capitalizing on uranium&#39;s growth potential.
Jeff Clark of The Gold Advisor, in his September 26 update, discussed UEC&#39;s expansion of its U.S. production capacity by acquiring Rio Tinto&#39;s Sweetwater Plant and other Wyoming uranium assets. He called this acquisition a &quot;significant move&quot; noting that it consolidated a large portfolio of uranium assets under UEC&#39;s control, positioning the company for rapid growth. He also highlighted the company&#39;s strategic advantage with &quot;53,000 additional acres for exploration&quot; reinforcing UEC&#39;s potential to ramp up production.
Joe Reagor of Roth MKM, also on September 25, reiterated his Buy rating on UEC and increased the company&#39;s price target from US$9.00 to US$9.50. He referred to the Rio Tinto acquisition as an &quot;ideal bolt-on&quot; for UEC, with the potential to unlock significant shareholder value. Reagor pointed out that UEC&#39;s ability to update these assets to be SK-1300 compliant could significantly increase their worth, supporting his optimistic outlook for the company.
<h2>Ownership and Share Structure </h2>
According to the company&#39;s investor presentation, Uranium Energy has a market cap of US$2.13 billion and 406 million shares outstanding. 
Yahoo! Finance notes that 1.99% of the company is owned by management and insiders.
The largest portion, 77.75%, is held by institutional investors.
The rest is in retail.
Important Disclosures:
<ol>
<li>As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Uranium Energy Corp.</li>
<li>James Guttman wrote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an employee.</li>
<li>This article does not constitute investment advice and is not a solicitation for any investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Each reader is encouraged to consult with his or her personal financial adviser and perform their own comprehensive investment research. By opening this page, each reader accepts and agrees to Streetwise Reports&#39; terms of use and full legal disclaimer. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company.</li>
</ol>

Strategic Expansion Fuels U.S. Uranium Production Surge Amid Global Supply Shifts

Uranium stocks have been surging thanks to the Constellation Energy Co. (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/ceg#NASDAQ">CEG</a>) and Microsoft Co.&nbsp;deal for the largest power-purchasing deal in history. The large hyperscalers are committed to sustainable and clean energy solutions to power their data centers. The electricity will be supplied by restarting the Three Mile Island Unit 1 nuclear reactor pending regulatory approval by the United States Nuclear Regulatory Commission (NRC). Uranium is required to power this and other nuclear reactors, which is why uranium stocks in the oils and energy sector have been rising sharply.
Here are two more uranium stocks that are gaining from the movement to fuel nuclear power plants.
<h2>Uranium Royalty Gains Access Without the Risk of Mining and Processing </h2>
While Uranium Royalty Co. (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/uroy#NASDAQ">UROY</a>) doesn&#39;t produce nor intends to produce uranium, it believes itself to be a pure-play uranium company. The word &#39;royalty&#39; in its name doesn&#39;t refer to monarchs or bloodlines but to royalty payments it receives from its portfolio of geographically diversified uranium assets. They basically make money off of partially owning uranium assets by collecting royalty payments without having to bear the capital expenditure (CAPEX) and risk that comes from operating a mining company.
<h3>A Portfolio of Royalty-Bearing Uranium Assets</h3>
Uranium Corp.&#39;s portfolio of 22 uranium assets for which it has minor and royalty interests. The interests range in project stage from exploration like the Rio Tinto Group (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/rio#NYSE">RIO</a>) owned Russell Lake project for which it can receive a 1.9766% of the net smelter return (MSR) to the 2% to 4% gross value return royalty (GVR) of the Energy Fuels Inc. (AMEX:UUUU) owned Whirlwind project to the 10% to 20% net profits interest (NPI) royalty from the Cigar Lake/Waterbury project operated by Cameco Co. (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/ccj#NYSE">CCJ</a>). The stock can be considered a mini-ETF of tiny stakes in uranium assets. Uranium Royalty also owns 2.8 million pounds of physical uranium. The company is still in the process of generating revenue.
<h2>Denison Mines&#39; Wheeler River Project: A Uranium Powerhouse in the Making</h2>
Denison Mines (AMEX:DNN) is a speculative uranium exploration and development company based in Toronto, Canada. It holds a 95% interest in its flagship Wheeler River Project, located in Saskatchewan&#39;s Athabasca Basin. The project spans roughly 300,000 hectares and includes the Gryphon and Phoenix deposits.
<h3>The Phoenix Deposit</h3>
While the Wheeler River Project isn&#39;t yet producing uranium, the Phoenix deposit is currently undergoing the permitting process for In-Situ Recovery (ISR). The Phoenix deposit has a 10-year mining life with probable resources of $56.7 million tons of U3O8 uranium. Approval is expected in 2025. The all-in-sustaining cost (AISC) is around $16.00 per pound, with $318.10 million in initial costs, making it extremely lucrative at current uranium spot prices above $80 per pound.
<h3>The Gryphon Deposit</h3>
The Gryphon deposit is several years behind Phoenix in development, with a mine life of 6.5 years and 49.7 million pounds of probable uranium resources. Its AISC is $25.47, but initial capital costs are higher, estimated at $564.2 million.
<h3>Denison&#39;s Uranium Inventory and Revenue Generating Interests</h3>
While Denison doesn&#39;t yet produce uranium, it owns 2.2 million pounds of it that it purchased for $29.60 per pound in 2021, worth around $178 million. It also generates revenue from its 22.5% stake in McClean Lake, which has a licensed mill for an annual production capacity of 24 million pounds. Dennison collects revenues from the toll milling. The mill processes ore from the Cigar Lake mine, where Cameco Corp operates.
Denison generated $964,000 in Q2 2024 with an EPS loss of 1 cent, matching consensus estimates. Incidentally, Denison is debt-free and has working capital and investments valued at nearly 70% of its market cap. This prompted BMO to upgrade its rating to Outperform from Market Perform with a $2.22 price target. CIBC started coverage on Denison with a Sector Outperform rating. MarketBeat has seven analyst Buy ratings with an average consensus price target of $2.93 and a high target of $3.25.
The article &quot;<a href="https://www.marketbeat.com/stock-ideas/2-uranium-stocks-fueling-growth-from-the-nuclear-power-surge/">2 Uranium Stocks Fueling Growth From the Nuclear Power Surge</a>&quot; first appeared on MarketBeat.

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2 Uranium Stocks Fueling Growth From the Nuclear Power Surge

Shares of copper companies are trading higher following a report suggesting China will issue up to $284 billion of sovereign debt as part of a stimulus.

Freeport-McMoRan (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FCX#NYSE">FCX</a>) shares, among other metal and mining stocks, are moving higher Tuesday after China Central Bank announced a <a href="https://www.benzinga.com/markets/asia/24/09/41007724/gold-breaks-records-on-chinas-policy-stimulus-mining-metal-stocks-exhibit-strongest-1-day-rally-in-2">new stimulus package.</a>
What Happened: The stimulus package includes cutting the reserve requirement ratio (RRR) by .5 percentage points and lowering both the loan prime rate and deposit rates by 0.2 to 0.25 percentage points.
In addition, the central bank cut the seven-day reverse repurchase rate to 1.5% and lowered the minimum down-payment ratio to 15%. The announcement of these economic measures comes amid a slowdown in China&#8217;s markets and could help support investment and support metals demand. 
Larry Hu, head of China economics at Macquarie Group Limited, told Bloomberg, "The purpose of today's briefing is to inject confidence into the market, judging by the fact that the authorities revealed measures in one go. The stimulus push will still need coordination from other policies — particularly follow-up policies from the fiscal side.&#8221;
Other copper related stocks that are trading higher following the bank&#8217;s announcement include Hudbay Minerals Inc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HBM#NYSE">HBM</a>) and Rio Tinto Plc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/RIO#NYSE">RIO</a>).
How To Buy Freeport-McMoRan Shares
Besides going to a brokerage platform to purchase a share &#8211; or fractional share &#8211; of stock, you can also gain access to shares either by buying an exchange traded fund (ETF) that holds the stock itself, or by allocating yourself to a strategy in your 401(k) that would seek to acquire shares in a mutual fund or other instrument. 
For example, in Freeport-McMoRan (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FCX#NYSE">FCX</a>)'s case, it is in the Materials sector. An ETF will likely hold shares in many liquid and large companies that help track that sector, allowing an investor to gain exposure to the trends within that segment.
Related Link: <a href="https://www.benzinga.com/markets/equities/24/09/41010971/kbr-lands-113m-air-force-deal-to-drive-next-gen-refueling-systems-and-cybersecurity-innovation">KBR Lands $113M Air Force Deal To Drive Next-Gen Refueling Systems And Cybersecurity Innovation</a>
FCX Price Action: At the time of publication, Freeport-McMoRan shares are trading 7.72% higher at $48.63, according to data from <a href="https://www.benzinga.com/pro/">Benzinga Pro</a>.
Image: Photo via Shutterstock

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As the global economy shifts with changing central bank policies and varied growth rates, investing in fundamentally sound stocks like Taiwan Semiconductor Manufacturing (TSM), Alibaba Group (BABA), and Rio Tinto Group (RIO) could help diversify your portfolio and mitigate domestic risks. Read on… Investing internationally can offer unique opportunities to capture returns from markets outside the U.S., diversify your portfolio, and potentially balance weaker performance in one region with stronger gains elsewhere. While the U.S. stock market is the largest globally, stocks of roughly 17,500 companies outside the U.S. make up <a href="https://www.dimensional.com/us-en/insights/go-global-for-diversification-that-travels-well">almost 40% of the $82 trillion</a> global equity market.
For investors looking to tap into this broad pool of potential, I have highlighted three fundamentally sound global stocks, namely, Taiwan Semiconductor Manufacturing Company Limited (TSM), Alibaba Group Holding Limited (<a href="https://stocknews.com/stock/BABA/">BABA</a>), and Rio Tinto Group (<a href="https://stocknews.com/stock/RIO/">RIO</a>).
This year has been pivotal for the global economy, with a record number of elections and central banks pivoting to interest rate cuts. George Brown, Senior US Economist, believes that while rate cuts can support growth, moving too quickly may carry risks, particularly as the U.S. economy is on track for a soft landing without a recession. He said that aggressive rate cuts at this stage could reignite inflation concerns, a sentiment <a href="https://www.schroders.com/en-lu/lu/professional/insights/interest-rates-inflation-and-elections-what-s-dominating-investor-sentiment/">echoed by over 60%</a> of survey respondents.
Meanwhile, global economic growth is expected to continue at a steady pace, with real GDP forecasted to <a href="https://www.piie.com/research/piie-charts/2024/global-gdp-will-rise-steadily-through-next-year-growth-prospects-vary">grow by 3.2%</a> in both 2024 and 2025. However, growth rates will likely differ between advanced and emerging economies, making international stocks with solid growth prospects appealing to those aiming to hedge against domestic market risks.
With that being said, let's evaluate the fundamentals of the stocks mentioned above in detail:
Taiwan Semiconductor Manufacturing Company Limited (TSM)
Headquartered in Hsinchu City, Taiwan, TSM manufactures, tests, and markets integrated circuits and other semiconductor products globally. Its products are used in automotive electronics, high-performance computing, and mobile device markets.
On October 4, the company signed a memorandum of understanding with Amkor Technology, Inc. (<a href="https://stocknews.com/stock/AMKR/">AMKR</a>) to enhance Arizona's advanced packaging and testing capabilities, bolstering the region's semiconductor ecosystem. Under this agreement, TSM will contract AMKR for turnkey packaging and testing services at a planned facility in Peoria. These services will support TSM's customers, particularly those utilizing Phoenix's advanced wafer fabrication facilities.
TSM's net sales increased 38.9% year-over-year to NT$759.69 billion ($23.60 billion) in the third quarter that ended September 30, 2024. Its gross profit grew 48.1% from the prior year's quarter to NT$439.34 billion ($13.65 billion), while its income from operations came in at NT$360.77 billion ($11.21 billion), up 58.2% year-over-year. In addition, the company's <a href="https://www.investopedia.com/terms/n/netincome.asp">net income</a> and EPS increased 54.2% year-over-year to NT$325.26 billion ($10.10 billion) and NT$12.54, respectively.
The consensus revenue estimate of $25.02 billion for the fiscal fourth quarter (ending December 2024) represents a 26.3% increase year-over-year. The consensus EPS estimate of $1.95 for the same quarter indicates a 35.3% improvement year-over-year. The company has an excellent surprise history; it surpassed the consensus revenue and EPS estimates in each of the trailing four quarters.
The stock has gained 105.5% over the past year and 80.3% year-to-date to close the last trading session at $187.48.
TSM's promising fundamentals are apparent in its <a href="https://stocknews.com/powr-ratings/">POWR Ratings</a>. The stock has an overall rating of B, which equates to Buy in our proprietary rating system. The POWR Ratings are calculated by considering 118 different factors, each weighted to an optimal degree.
It has an A grade for Sentiment and Quality. In the 91-stock <a href="https://stocknews.com/category/semiconductor-wireless-chip/">Semiconductor &amp; Wireless Chip</a> industry, it is ranked #9.
Beyond what we stated above, we also have TSM ratings for Growth, Value, Momentum, and Stability. Get all TSM ratings <a href="https://stocknews.com/stock/TSM/">here</a>.
Alibaba Group Holding Limited (<a href="https://stocknews.com/stock/BABA/">BABA</a>)
Based in Hangzhou, China, BABA offers technology infrastructure and marketing reach to help merchants, brands, and retailers connect with international users and customers. Its segments include China Commerce; International Commerce; Local Consumer Services; Cainiao; Cloud; Digital Media and Entertainment; Innovation Initiatives and Others.
On September 5, BABA partnered with Mastercard Incorporated (<a href="https://stocknews.com/stock/MA/">MA</a>) and Cardless to introduce a co-branded credit card that rewards businesses for cross-border and domestic purchases on Alibaba.com. The partnership would simplify shopping, boost customer loyalty, and strengthen BABA's global presence.
For the fiscal 2025 first quarter that ended June 30, 2024, BABA's revenue increased 3.9% year-over-year to $33.47 billion. Its income from operations amounted to $4.95 billion. Plus, the company reported its adjusted EBITA at $6.20 billion for the quarter. Moreover, non-GAAP net income and non-GAAP EPS came in at $5.60 billion and $0.28 for the quarter, respectively.
Analysts expect BABA's revenue for the fiscal third quarter ending December 2024 to increase 9.8% year-over-year to $39.75 billion. Likewise, its EPS for the ongoing quarter is expected to grow 3.9% from the prior year to $2.74.
Shares of BABA have gained 46.8% over the past six months and 31.8% year-to-date to close the last trading session at $102.17.
BABA's POWR Ratings reflect its positive outlook. The stock has an overall rating of B, which equates to a Buy in our proprietary rating system.
It also has a B grade for Momentum and Quality. Out of 41 stocks in the B-rated <a href="https://stocknews.com/category/china/">China</a> industry, it is ranked #16. To see BABA's Growth, Value, Stability, and Sentiment ratings, <a href="https://stocknews.com/stock/BABA/">click here</a>.
Rio Tinto Group (<a href="https://stocknews.com/stock/RIO/">RIO</a>)
London-based mining and metals company RIO is involved in the global exploration and production of materials through four segments: Iron Ore; Aluminum; Copper; and Minerals. Its business also includes diamond mining, sorting and marketing, and lithium exploration.
On October 9, the company agreed to acquire Arcadium Lithium for $6.7 billion, a deal that will catapult it to become the world's third-largest miner of the metal used in electric vehicle batteries. Already a leader in iron ore, RIO is expanding its focus on processing high-end, low-carbon materials essential for the energy transition.
Through the acquisition, the company would gain access to lithium mines and processing facilities in Argentina, Australia, Canada, and the U.S., fueling future growth.
On August 15, RIO partnered with the Queensland Government to strengthen the heavy industrial manufacturing base around Gladstone and boost renewable energy investments. The partnership secures the future of Boyne Smelters Limited, Australia's second-largest aluminum smelter, ensuring sustainability and long-term growth for RIO's operations.
For six months of fiscal 2024 that ended on June 30, 2024, RIO reported consolidated sales revenue of $26.80 billion, indicating a marginal year-over-year increase. The company's operating profit for the same period rose 14% from the year-ago value to $8.26 billion. In addition, profit after tax for the period and EPS came in at $5.89 billion and $3.56, up 19.1% and 13.3% year-over-year, respectively.
Street expects RIO's EPS and revenue for the fiscal year ending in December 2024 to come in at $7.02 and $52.90 billion, respectively. Over the past month, the stock has gained 4.4%, closing the last trading session at $65.95.
RIO's strong prospects are reflected in its POWR Ratings. The stock has an overall rating of A, translating to Strong Buy in our proprietary rating system. The POWR Ratings assess stocks by 118 different factors, each with its own weighting.
It has a B grade for Value, Stability, and Quality. The stock is ranked #2 among the 29 stocks in the <a href="https://stocknews.com/category/industrial-metals/">Industrial - Metals</a> industry. <a href="https://stocknews.com/stock/RIO/">Click here</a> to see the other RIO ratings for Growth, Momentum, and Sentiment.
What To Do Next?
Discover 10 widely held stocks that our proprietary model shows have tremendous downside potential. Please make sure none of these "death trap" stocks are lurking in your portfolio:
<a href="https://report.stocknews.com/free-report/10-stocks-to-sell/?formplacement=artbotad_10sell">10 Stocks to SELL NOW! &gt;</a>

<hr />
TSM shares were trading at $207.75 per share on Thursday afternoon, up $20.27 (+10.81%). Year-to-date, TSM has gained 101.48%, versus a 23.83% rise in the benchmark S&amp;P 500 index during the same period.
<hr><div style="clear:both;"></div> <h2>About the Author: Shweta Kumari</h2> <img src='https:/wp-content/uploads/2022/03/Shweta-Kumari_Image-2.jpg' style="float:left; padding:5px;width:125px;">Shweta's profound interest in financial research and quantitative analysis led her to pursue a career as an investment analyst. She uses her knowledge to help retail investors make educated investment decisions.<a href="https://stocknews.com/authors/?author=shweta-kumari">More...</a>The post <a href=https://stocknews.com/news/tsm-baba-rio-ma-amkr-3-global-stocks-to-buy-for-international-diversification/>3 Global Stocks to Buy for International Diversification</a> appeared first on <a href=https://stocknews.com/>StockNews.com</a>

3 Global Stocks to Buy for International Diversification

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