Published on 22 Nov 2022 on Simply Wall St. via Yahoo Finance
Generally speaking the aim of active stock picking is to find companies that provide returns that are superior to the market average. Buying under-rated businesses is one path to excess returns. For example, the Rio Tinto Group (LON:RIO) share price is up 46% in the last 5 years, clearly besting the market decline of around 6.2% (ignoring dividends). On the other hand, the more recent gains haven't been so impressive, with shareholders gaining just 29% , including dividends .
So let's assess the underlying fundamentals over the last 5 years and see if they've moved in lock-step with shareholder returns.
Check out our latest analysis for Rio Tinto Group
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