Barclays Capital said the latest update from Rio Tinto PLC (LSE:RIO) revealed signs of a "Pilbara renaissance".
The Pilbara, in Western Australia, is one of the world's largest and most important iron ore-producing regions and is a major source of revenue for the Australian economy. Rio has a significant presence in the area as it operates the massive West Angelas and Paraburdoo mines.
These deposits are some of the most important and profitable, and they are critical to the company's overall business.
In the note following Rio’s fourth-quarter production update, Barclays repeated its ‘neutral’ recommendation and £58 a share price target.
Swiss bank UBS re-issued its ‘sell’ advice down to £50 a share. It asks whether the 5% dividend yield is too low.