The Lynas Rare Earths Ltd (ASX: LYC) share price has had a tough year in 2023 so far. With only a fortnight or so remaining in the calendar year, time is running out for Lynas to record a positive year.
The rare earths miner started 2023 at $7.69. But today, the company is trading at just $6.64. Despite this Friday's healthy 4.4% bounce, Lynas shares are still looking at a year-to-date loss of 13.6%.
It would be an unpleasant reminder for Lynas shareholders, who also suffered a hefty loss of more than 20% over 2022 as well. Of course, that came after a 155% return over 2021.
Check that all out for yourself below:
But now that we're at the end of 2023, it would be more productive to discuss what might happen next year, as opposed to what has happened this year.
So let's see what an ASX expert reckons.
Image source: Getty Images
Lynas share price remains a buy: Firetrail
Fund manager Firetrail has recently released its November update for the Firetrail Australian Small Companies Fund. Lynas shares were named as one of the largest detractors for the fund over November.
Even so, portfolio manager Matt Fist remains bullish on Lynas' future. Here's what the monthly update had to say about Lynas shares:
Lynas underperformed in November in sympathy with weak rare earths prices. Despite a short-term weaker commodity price, the outlook for Lynas is now substantially de-risked following a 3-year extension of the company's Malaysian operating license in late October.
Lynas is the only significant producer of rare earth oxides outside of China. With two facilities in Australia and Malaysia, Lynas can scale production to meet demand that will be driven by decarbonisation.
In another development that will no doubt be well-received by shareholders, Lynas CEO Amanda Lacaze has just been named as one of the Australian Financial Review (AFR)'s business people of the year.
Iron ore magnate Gina Rinehart took out the top spot. However, the AFR lauded Lacaze's "major victory in October when the Malaysian government overturned a ban on a vital part of Lynas' processing operations in that country, which was due to kick in on January 1, 2024".
The award also highlighted how Lynas, under Lacaze's leadership, is "riding a wave of interest from governments around the world desperate to shore up supply chains as the energy transition intensifies".
No doubt shareholders will be hoping that these wins translate into a better 2024 for the rare earths miner.
