Rio Tinto price target lowered to $72 from $80 at Argus

Argus analyst John Eade lowered the firm’s price target on Rio Tinto to $72 from $80 to reflect the high interest rates on stock multiples but keeps a Buy rating on the shares. The company has strengthened its operating performance and balance sheet by cutting costs and selling noncore assets, and despite the recent drop in commodity prices, Rio Tinto has traditionally performed well during difficult economic times, the analyst tells investors in a research note. The firm adds that the company has strong long-term growth opportunities, and it believes that the recent weakness offers a buying opportunity.