A Scenario That Could Negatively Impact Rio Tinto's Stock Price

The company is betting on the robustness of Chinese demand for the commodity to drive its iron ore sales. However, the company's fortunes are to a large extent tied to the sustainability of Chinese demand for its iron ore sales. If economic growth in China takes longer than expected to recover, there is a possibility that the company would be unable to sell its envisioned levels of iron ore shipments, which would negatively impact its prospects.