Rainbow Rare Earths (LON:RBW) Reaches New 52-Week High - Still a Buy?

Key Points

• Rainbow Rare Earths has reached a new 52-week high, trading at GBX 22.20 ($0.30), demonstrating significant share price movement and trading volume of over 7 million shares.
• Despite Berenberg Bank lowering the price target from GBX 34 to GBX 33, the stock maintains a "buy" rating, with a consensus rating of "buy" and an average price target remaining at GBX 33.
• The company focuses on establishing an ethical supply chain for rare earth elements, particularly those needed for the green energy transition, with key projects located in South Africa and Brazil.

Rainbow Rare Earths Limited (LON:RBW - Get Free Report)'s share price hit a new 52-week high on Monday . The company traded as high as GBX 22.50 ($0.30) and last traded at GBX 22.20 ($0.30), with a volume of 7151767 shares trading hands. The stock had previously closed at GBX 20.50 ($0.27).

Analyst Ratings Changes

Separately, Berenberg Bank dropped their price objective on shares of Rainbow Rare Earths from GBX 34 to GBX 33 and set a "buy" rating for the company in a research note on Tuesday, October 7th. One equities research analyst has rated the stock with a Buy rating, Based on data from MarketBeat.com, the company has a consensus rating of "Buy" and an average price target of GBX 33.

Rainbow Rare Earths Stock Performance

The firm's 50 day moving average price is GBX 16.87 and its two-hundred day moving average price is GBX 13.34. The company has a debt-to-equity ratio of 3.34, a quick ratio of 3.79 and a current ratio of 0.21. The firm has a market cap of £143.03 million, a PE ratio of -2,960.00 and a beta of 2.25.

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.

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