Rainbow Rare Earths (LON:RBW) Stock Price Down 5.5% – Here’s Why

Rainbow Rare Earths Limited (LON:RBW)’s share price dropped 5.5% on Wednesday . The company traded as low as GBX 25 and last traded at GBX 26. Approximately 1,750,639 shares changed hands during trading, an increase of 37% from the average daily volume of 1,273,814 shares. The stock had previously closed at GBX 27.50.

Analysts Set New Price Targets

Several research analysts recently commented on the stock. Canaccord Genuity Group raised shares of Rainbow Rare Earths to a “speculative buy” rating and raised their price objective for the stock from GBX 22 to GBX 39 in a report on Tuesday, May 12th. Stifel Nicolaus reaffirmed a “buy” rating and issued a GBX 30 price objective on shares of Rainbow Rare Earths in a report on Wednesday, March 11th. Finally, Berenberg Bank reaffirmed a “buy” rating and issued a GBX 34 price objective on shares of Rainbow Rare Earths in a report on Wednesday, March 11th. Three research analysts have rated the stock with a Buy rating, According to MarketBeat.com, the stock presently has a consensus rating of “Buy” and an average target price of GBX 34.33.

Rainbow Rare Earths Stock Performance

The company’s fifty day moving average is GBX 25.18 and its 200 day moving average is GBX 21.08. The company has a market capitalization of £181.92 million, a P/E ratio of -23.85 and a beta of 0.46. The company has a current ratio of 1.22, a quick ratio of 3.79 and a debt-to-equity ratio of 9.83.

About Rainbow Rare Earths

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. It is doing this successfully via the identification and development of secondary rare earth deposits that can be brought into production quicker and at a lower cost than traditional hard rock mining projects, with a focus on the permanent magnet rare earth elements neodymium and praseodymium, dysprosium and terbium.

The Company is focused on the development of the Phalaborwa Rare Earths Project in South Africa and the earlier stage Uberaba Project in Brazil.