Ionic Rare Earths Limited

DB:6UH Stock Report

Market Cap: €27.4m

Ionic Rare Earths Valuation

Is 6UH undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 6UH when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 6UH (€0) is trading below our estimate of fair value (€0.3)

Significantly Below Fair Value: 6UH is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 6UH?

Key metric: As 6UH is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 6UH. This is calculated by dividing 6UH's market cap by their current revenue.
What is 6UH's PS Ratio?
PS Ratio19.9x
SalesAU$2.21m
Market CapAU$43.83m

Price to Sales Ratio vs Peers

How does 6UH's PS Ratio compare to its peers?

The above table shows the PS ratio for 6UH vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average13.1x
DLX Delignit
0.3x10.2%€24.6m
IBU IBU-tec advanced materials
0.7x19.2%€33.3m
NXM Nexus Minerals
21.8xn/aAU$29.2m
AXN Alliance Nickel
29.4xn/aAU$34.8m
6UH Ionic Rare Earths
19.9x77.7%€43.8m

Price-To-Sales vs Peers: 6UH is expensive based on its Price-To-Sales Ratio (19.9x) compared to the peer average (13.3x).

Price to Sales Ratio vs Industry

How does 6UH's PS Ratio compare vs other companies in the European Metals and Mining Industry?

35 CompaniesPrice / SalesEstimated GrowthMarket Cap
6UH 19.9xIndustry Avg. 0.7xNo. of Companies35PS00.81.62.43.24+
35 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: 6UH is expensive based on its Price-To-Sales Ratio (19.9x) compared to the European Metals and Mining industry average (0.7x).

Price to Sales Ratio vs Fair Ratio

What is 6UH's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

6UH PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio19.9x
Fair PS Ratio135.1x

Price-To-Sales vs Fair Ratio: 6UH is good value based on its Price-To-Sales Ratio (19.9x) compared to the estimated Fair Price-To-Sales Ratio (135.1x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 6UH forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€0.0045
€0.063
+1,290.8%
6.5%€0.067€0.059n/a2
Nov ’25€0.0045
€0.063
+1,290.8%
6.5%€0.067€0.059n/a2
Oct ’25€0.0045
€0.063
+1,290.8%
6.5%€0.067€0.059n/a2
Sep ’25€0.003
€0.059
+1,851.4%
2.4%€0.06€0.057n/a2
Aug ’25€0.005
€0.059
+1,070.8%
2.4%€0.06€0.057n/a2
Jun ’25n/a
€0.05
0%
27.8%€0.06€0.03n/a3
May ’25€0.009
€0.049
+445.8%
27.1%€0.06€0.03n/a3
Apr ’25€0.011
€0.049
+367.8%
27.1%€0.06€0.03n/a3
Mar ’25€0.012
€0.049
+312.4%
26.9%€0.061€0.031n/a3
Feb ’25€0.011
€0.045
+328.0%
29.1%€0.062€0.03n/a3
Jan ’25€0.018
€0.045
+156.8%
29.1%€0.062€0.03n/a3
Dec ’24€0.014
€0.045
+220.9%
33.3%€0.06€0.03n/a2
Nov ’24€0.011
€0.045
+290.6%
33.3%€0.06€0.03€0.00452
Oct ’24€0.015
€0.045
+209.8%
33.3%€0.06€0.03€0.00452

Analyst Forecast: Target price is more than 20% higher than the current share price, but there are not enough analysts covering the stock to determine statistical confidence in agreement.

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