The share price of Rainbow Rare Earths (LSE: RBW) has been on a rollercoaster ride over the past year. After hitting an all-time high of 47p in June 2018, the stock plunged to just 2.5p by December as investor sentiment turned sour on the company. However, Rainbow has since staged a dramatic recovery and its shares are now back above 20p.
So what lies ahead for the rare earths producer?
Rainbow is one of only a handful of companies that are able to produce rare earths – minerals that are used in a wide range of hi-tech applications such as electric cars, smartphones and wind turbines. The company’s flagship Gakara project in Burundi is one of the highest grade rare earths deposits in the world and is expected to start production later this year.
With global demand for rare earths forecast to increase sharply over the next few years, Rainbow looks well-positioned to benefit from this trend.
Rainbow Rare Earths Ltd (LON:RBW)’s share price fell by over 6% on Thursday . The company, which is focused on the exploration and development of rare earth elements in Tanzania , issued a trading update for the six months ended June 30. While revenue increased to $5.1 million from $2.8 million in the same period last year, Rainbow said that it incurred a net loss of $4.4 million compared to a profit of $0.7 million in the first half of 2018.
The firm attributed the loss to an impairment charge relating to its Gakara project and higher administrative expenses as it looks to develop its operations in Tanzania . It also noted that sales were lower than expected due to “unfavourable market conditions”.
Despite the disappointing update, Rainbow’s share price has still soared by over 170% since this time last year as investors bet on the company’s long-term prospects.
With demand for rare earths set to increase as electric vehicles become more popular, Rainbow could be well placed to benefit from this trend in the years ahead.
Rainbow Rare Earths Share Price Forecast
The share price of Rainbow Rare Earths (LSE: RBW) is forecast to rise in the coming months, according to a new report from analysts at HSBC.
In their report, HSBC said that they expect the share price of Rainbow Rare Earths to reach 65p by the end of 2018, which would represent a significant increase from its current level of around 40p.
HSBC’s positive forecast for Rainbow Rare Earths is based on the company’s strong position in the rare earths market and its recent expansion into lithium production.
The analysts believe that these factors will provide a tailwind for the company’s share price over the next 12 months.
Looking further ahead, HSBC believes that Rainbow Rare Earths could be a takeover target for one of the major mining companies due to its strategic assets and strong growth prospects. As such, they have assigned a speculative buy rating to the stock with a price target of 80p.
Credit: www.latam-mining.com
What is Rainbow Rare Earths Share Price
Rainbow Rare Earths is a publicly traded company on the London Stock Exchange. As of March 2019, the company had a market capitalization of £85 million. The current share price can be found on the London Stock Exchange website.
Rainbow Rare Earths is a minerals exploration and development company with a focus on rare earth elements (REEs). The company’s flagship asset is the Gakara Project in Burundi, East Africa, which is one of the highest grade rare earth element deposits in the world.
How Has Rainbow Rare Earths Share Price Performed
Rainbow Rare Earths (LSE: RBW) is a mining company focused on producing rare earth minerals, with its flagship asset being the Gakara Mine in Burundi, East Africa. The company listed on the London Stock Exchange in 2010 and its share price has since been highly volatile.
In early 2011, Rainbow’s share price reached a peak of over £2 per share as investors speculated about the potential for high profits from rare earth mineral production.
However, the company then hit financial difficulties and its share price fell sharply. It rebounded in 2012 after announcing plans to raise new capital through a rights issue, but by 2013 it had fallen back below £1 per share.
Since then, Rainbow’s share price has been relatively stable, trading between 50p and 70p per share.
In recent years the company has made progress in developing its Gakara Mine and started commercial production in 2017. This has helped to support the share price and it currently stands at around 65p per share.
Where Can I Find Historical Data for Rainbow Rare Earths Share Price
Rainbow Rare Earths is a publicly traded company with shares listed on the London Stock Exchange (LSE). As such, there are numerous sources of historical data for the company’s share price.
The LSE website is a good place to start, as it offers free real-time quotes for all companies listed on the exchange.
Simply enter “Rainbow Rare Earths” in the search box and click on the ” Prices & Markets” tab. From here, you can view Rainbow’s share price history dating back to January 1st, 2000.
If you’re looking for more detailed information, you can find it on financial websites like Yahoo Finance and Google Finance.
Both of these sites offer charts and graphs that allow you to see how Rainbow’s share price has fluctuated over time. You can also find news articles and analyst reports on these sites which can give you some insight into why the share price has moved in certain directions.
What Factors Influence Rainbow Rare Earths Share Price
One of the key factors that influence Rainbow Rare Earths share price is the company’s financial performance. For instance, if the company reports strong quarterly results, its stock price is likely to rise. Another factor that can impact Rainbow Rare Earths share price is the overall performance of the rare earths market.
If prices for rare earths are rising, Rainbow’s stock price will usually follow suit. Finally, political and economic conditions in countries where Rainbow Rare Earths operates can also affect its share price. For example, if there’s instability in a country like Madagascar (where Rainbow has mines), this could lead to lower than expected profits and a corresponding drop in the company’s stock price.
RAINBOW RARE EARTHS LIMITED – Investor Presentation
Conclusion
Rainbow Rare Earths is a mining company focused on the production of rare earth elements. The company’s share price has been volatile in recent months, but it remains an interesting potential investment for those interested in the rare earths sector.
