Equity Briefing: Rio Tinto, Burberry and Renold

Mining giant Rio Tinto release an operational update this morning, luxury fashion line Burberry will post first-quarter results, while industrial chain maker Renold is scheduled to publish preliminary full-year results.

Want the latest news to come to you?

You can get the latest market-moving news and incisive insight sent straight to your inbox every day, including the Equity Briefing, by subscribing to receive our market commentary updates.

Click here to subscribe.

Rio Tinto

Rio Tinto is due to release an operational update covering the second quarter today. These updates concentrate solely on production numbers rather than financials and the primary focus is on whether the miner’s output has kept on track for it to meet its full-year targets. Production of most commodities fell in the first quarter as Rio Tinto is constantly adjusting output to prioritise value over volumes, but it maintained its guidance for 2021 across the board. Reiterating its annual targets will be the priority for investors this morning.


Burberry will release a first-quarter trading update this morning. Burberry’s quarterly trading updates focus solely on revenue figures. Analysts are expecting first-quarter revenue of £444.5 million. That will be a marked improvement from the £257 million booked the year before, flattered by the fact sales were hard-hit as the pandemic erupted and lockdowns started to bite. Revenue will also start to benefit as Burberry focuses more on full-price sales and reducing the number of markdowns it makes in the new financial year. While this should benefit topline revenue it will hurt comparable store sales. Investors will also watch out for news on the search for a new CEO after Marco Gobetti, who has led the company’s transformation over the past three years, announced last month that he is leaving at the end of 2021.


Renold, the maker of industrial chains and power transmission products, is scheduled to publish annual results this morning. The company was hard hit by the pandemic in the first half, but things have been steadily improving since then. We already know that order intake was down 7.4% in the year to £170.0 million and that revenue fell 12.7% to £165.3 million. But, with revenue down just 8.3% year-on-year in the final quarter, Renold will be eyeing a return to pre-pandemic levels of activity in the new financial year. Analysts are expecting adjusted pretax profit to fall to £6.2 million from £8.2 million and for adjusted EPS to drop to £1.90 from £2.90 the year before.

How to trade top stocks

You can trade a variety of stocks with City Index by following these four steps:

  1. Open a City Index account, or log-in if you’re already a customer.
  2. Search for the company you want to trade in our award-winning platform
  3. Choose your position and size, and your stop and limit levels
  4. Place the trade 

Build your confidence risk free

More from Equities

Join our live webinars for the latest analysis and trading ideas. Register now

StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.