Rainbow Rare Earths (LON:RBW) Shares Down 3.5% – Here’s Why

Rainbow Rare Earths Limited (LON:RBW) traded down 3.5% during mid-day trading on Thursday. The stock traded as low as GBX 20.50 and last traded at GBX 20.50. 286,407 shares were traded during mid-day trading, a decline of 70% from the average daily volume of 945,593 shares. The stock had previously closed at GBX 21.25.

Wall Street Analysts Forecast Growth

RBW has been the subject of several analyst reports. Canaccord Genuity Group reissued a “speculative buy” rating and issued a GBX 39 price target on shares of Rainbow Rare Earths in a report on Thursday, September 24th. Berenberg Bank reaffirmed a “buy” rating and issued a GBX 52 price target on shares of Rainbow Rare Earths in a report on Thursday, September 24th. Three analysts have rated the stock with a Buy rating. According to MarketBeat.com, the stock currently has an average rating of “Buy” and an average target price of GBX 40.33.

Rainbow Rare Earths Stock Performance

The company has a current ratio of 1.22, a quick ratio of 3.79 and a debt-to-equity ratio of 9.83. The company’s 50 day moving average is GBX 23.35 and its 200-day moving average is GBX 23.65. The company has a market capitalization of £143.99 million, a P/E ratio of -18.81 and a beta of 0.46.

Insider Buying and Selling

In related news, insider Alexander Lowrie purchased 95,555 shares of the business’s stock in a transaction that occurred on Thursday, August 13th. The shares were bought at an average price of GBX 25 per share, for a total transaction of £23,888.75. Also, insider George Bennett sold 550,000 shares of the company’s stock in a transaction that occurred on Thursday, August 13th. The stock was sold at an average price of GBX 21, for a total value of £115,500. Insiders own 23.30% of the company’s stock.

Rainbow Rare Earths Company Profile

Rainbow Rare Earths aims to be a forerunner in the establishment of an independent and ethical supply chain of the rare earth elements that are driving the green energy transition and other advanced future-facing technologies.

It is doing this successfully via pioneering the first commercial recovery of rare earth elements from phosphogypsum that occurs as the by-product of phosphoric acid production. These projects eliminate the cost and risk of mining, meaning that they can be brought into production quicker and at a lower cost than traditional hard rock mining projects.

The Company is developing the Phalaborwa Project in South Africa and the earlier stage Uberaba Project in Brazil.