• RBC Capital has upgraded Rio Tinto (NYSE: RIO) to Sector Perform, indicating expected performance in line with its sector.
• The global mining giant is strategically expanding its lithium operations, positioning itself for long-term demand from electric vehicles and energy storage.
• Rio Tinto (NYSE: RIO) demonstrates strong operational stability, securing its Bell Bay Aluminium future, and boasts a robust balance sheet to fund future growth.

Rio Tinto (NYSE: RIO) mines and processes metals used in construction, manufacturing, and energy systems. It also has aluminium operations and is expanding into lithium, where it competes with producers such as Albemarle (NYSE: ALB). RBC Capital upgrades the stock to Sector Perform from Underperform. Rio Tinto trades at $95.65 when the rating change is published.

Sector Perform means RBC expects Rio Tinto to perform roughly in line with its sector, rather than trail it. The upgrade does not mean RBC expects the stock to rise. Rio Tinto is up $1.44, or 1.53%, at $95.65, within today’s range of $94.11 to $96.23.

Rio Tinto has an agreement with the Tasmanian and Australian governments to keep its Bell Bay Aluminium operation running through the end of 2031, as highlighted by Business Wire. Hydro Tasmania will supply electricity until December 31, 2031, while both governments provide support as Tasmania’s energy system changes.

Rio Tinto is advancing major lithium projects and increasing output to serve long-term demand from electric vehicles and energy storage, as highlighted by Zacks. Zacks also points to its strong balance sheet, which can help fund growth. Lithium prices face pressure from softer Chinese EV demand, high inventories, and expected new supply, though energy storage demand remains resilient.

Rio Tinto has traded between $65.35 and $112.58 over the past year. Its market capitalization—the total value of its shares—is approximately $155.4 billion. About 2.54 million shares have traded today.