Rio Tinto (ASX:RIO) ROCE %: 15.70% (As of Dec. 2025)


ASX:RIO Rio Tinto Ltd ASX:RIO
78 GF Score
Price A$173.92
GF Value A$128.12
Valuation Significantly Overvalued
! 10 Warning Signs
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What is Rio Tinto ROCE %?

Rio Tinto ASX:RIO -1.19% 78 ROCE % is 15.70% as of Dec. 2025. GuruFocus rates ASX:RIO with a GF Score™ of 78/100 and a GF Value™ of A$128.12 (Significantly Overvalued). The stock has 10 warning signs investors should review.

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. Rio Tinto's annualized ROCE % for the quarter that ended in Dec. 2025 was 15.70%.

Rio Tinto  (ASX:RIO) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.

Rio Tinto ROCE % Related Terms

Rio Tinto ROCE % Historical Data

* Premium members only.

The historical data trend for Rio Tinto's ROCE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Rio Tinto ROCE % Chart

Rio Tinto Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 36.60 24.10 17.96 19.49 15.71

Rio Tinto Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
ROCE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 17.30 19.82 18.85 15.28 15.70
ASX:RIO
78GF Score
Rio Tinto Ltd ASX:RIO
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Rio Tinto ROCE % Calculation

Rio Tinto's annualized ROCE % for the fiscal year that ended in Dec. 2025 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=24677.485/( ( (162299.094 - 18542.197) + (192793.51 - 22469.65) )/ 2 )
=24677.485/( (143756.897+170323.86)/ 2 )
=24677.485/157040.3785
=15.71 %

Rio Tinto's ROCE % of for the quarter that ended in Dec. 2025 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Dec. 2025 )  (Q: Jun. 2025 )(Q: Dec. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Dec. 2025 )  (Q: Jun. 2025 )(Q: Dec. 2025 )
=26283.32/( ( (185556.48 - 21103.104) + (192793.51 - 22469.65) )/ 2 )
=26283.32/( ( 164453.376 + 170323.86 )/ 2 )
=26283.32/167388.618
=15.70 %

(1) Note: The EBIT data used here is two times the semi-annual (Dec. 2025) EBIT data.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about ROCE % →
What does a ROCE % of 15.70% mean?
Rio Tinto (ASX:RIO) has a ROCE % of 15.70% as of Dec. 2025.
Is Rio Tinto's ROCE % too high?
Rio Tinto's current ROCE % is 15.70%. Overall, Rio Tinto has a GF Score™ of 78/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Rio Tinto's ROCE % compare to competitors?
Rio Tinto's ROCE % of 15.70% can be compared against companies in the Metals & Mining industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROCE % for a Metals & Mining company?
A good ROCE % depends on the Metals & Mining industry context. However, ROCE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROCE % mean?
A high ROCE % can signal that a stock is expensive relative to its fundamentals. Rio Tinto's current ROCE % is 15.70%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Rio Tinto stock overvalued right now?
Based on GuruFocus' analysis, Rio Tinto (ASX:RIO) is currently considered Significantly Overvalued. The stock's GF Value™ is A$128.12, compared to a current price of A$173.92 — trading 35.7% above its estimated fair value. The current ROCE % is 15.70%. Rio Tinto's overall GF Score™ is 78/100 with 10 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROCE % calculated?
ROCE % is calculated from a company's financial statements. For Rio Tinto (ASX:RIO), the current ROCE % is 15.70% as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Rio Tinto (ASX:RIO) Overvalued in 2026?

Based on GuruFocus' analysis, Rio Tinto stock appears to be overvalued. The current stock price of A$173.92 is trading 35.7% above its estimated GF Value™ of A$128.12. GuruFocus considers Rio Tinto to be Significantly Overvalued.

Key valuation signals for ASX:RIO:

  • ROCE %: 15.70%
  • GF Value™: A$128.12 vs. price of A$173.92 (35.7% above fair value)
  • GF Score™: 78/100 with 10 warning signs

No single metric tells the full story. See the ASX:RIO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Rio Tinto Business Description

Other Exchanges RTNTF:USACRA1:Germany
Address 120 Collins Street, Level 43, Melbourne, VIC, AUS, 3000
Rio Tinto is a global diversified miner. Iron ore is its major commodity, with lesser contributions from copper and aluminum. Lithium, diamonds, gold, and industrial minerals are more minor contributors. 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.
78GF Score

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ROCE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

A$173.92
Price
A$128.12
GF Value