Mkango Resources (LON:MKA) Stock Falls 12.3% – Time to Sell?

Mkango Resources Ltd. (LON:MKA) shares dropped 12.3% on Thursday. The stock traded as low as GBX 28.05 and last traded at GBX 28.40. Approximately 3,250,732 shares changed hands during trading, an increase of 112% from the average session volume of 1,530,418 shares. The stock had previously closed at GBX 32.37.

Mkango Resources Stock Performance

The company has a market capitalization of £110.46 million, a P/E ratio of -6.12 and a beta of 1.73. The company has a debt-to-equity ratio of 25.45, a quick ratio of 0.87 and a current ratio of 1.11. The business’s fifty day simple moving average is GBX 39.14 and its 200-day simple moving average is GBX 41.46.

Mkango Resources (LON:MKA) last released its quarterly earnings data on Tuesday, September 1st. The company reported GBX (0.70) EPS for the quarter. Mkango Resources had a negative net margin of 31,610.42% and a positive return on equity of 5,692.08%.

Mkango Resources Company Profile

Mkango’s corporate strategy is to develop new sustainable primary and secondary sources of neodymium, praseodymium, dysprosium and terbium to supply accelerating demand from electric vehicles, wind turbines and other clean technologies. This integrated Mine, Refine, Recycle strategy differentiates Mkango from its peers, uniquely positioning the Company in the rare earths sector.

Mkango released a Feasibility Study for Songwe Hill, Malawi, in July 2022. Malawi is known as “The Warm Heart of Africa”, a stable democracy with existing road, rail and power infrastructure, and new infrastructure developments underway.

In parallel, Mkango recently announced that Mkango and Grupa Azoty PULAWY, Poland’s leading chemical company and the second largest manufacturer of nitrogen and compound fertilizers in the European Union, have agreed to work together towards development of a rare earth Separation Plant at Pulawy in Poland.