Pro Medicus grew revenue 33.4% annually since 2021, reaching $162m. Rio Tinto returned 6.8% average yield with 20.3% ROE. BHP's Alpha Score sits at 71.
A Rask Media analysis this week laid out the financial profiles of two ASX stocks that sit at opposite ends of the market. Pro Medicus (PME), a radiology software firm, has grown revenue at 33.4% per year since 2021. Rio Tinto (RIO), the world's second-largest miner, offers a dividend yield that averaged 6.8% over the past five years.
PME's revenue reached $162 million in FY24, up from $99 million three years earlier. Net profit more than doubled to $83 million. Return on equity came in at 50.7%, a figure that reflects the capital-light nature of its Visage software platform. The product lets radiologists view large image files on mobile devices, a capability that drives recurring subscription revenue.
Rio Tinto reported a debt-to-equity ratio of 23.9% for calendar 2024, meaning it carries more equity than debt. ROE stood at 20.3%, comfortably above the 10% threshold that income investors often look for in a mature business. The company's earnings remain tied to iron ore prices, which introduces volatility that a software business mostly avoids.
BHP Group, the largest miner globally, holds an Alpha Score of 71 out of 100 from AlphaScala, classified as Moderate. The score sits in the Basic Materials sector. Investors comparing Rio Tinto with BHP might weigh Rio's dividend track record and lower leverage against BHP's broader commodity mix.
The analysis stops short of calling either stock a buy or sell. The numbers serve as a starting point, not a valuation. PME's growth rate, if sustained, would compound earnings quickly. Rio's yield, if commodity prices hold, offers steady income. Each profile suits a different strategy.
Prepared with AlphaScala editorial tooling from the source reporting linked above. Indexable analysis may include a cited Alpha Score value. Publishing checks screen each story before release. Educational coverage, not personalized advice.