Rare Element Resources (REEMF) AI Stock Analysis

• Market Cap: $438.66M
• Dividend Yield: N/A
• Average Volume (3M): 1.12M
• Price to Earnings (P/E): ―
• Beta (1Y): -0.54
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 7
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Industrial Materials
• EPS (TTM): >-0.01
• Shares Outstanding: 516,134,700
• 10 Day Avg. Volume: 2,310,292
• 30 Day Avg. Volume: 1,122,008
• PEG Ratio: 1.02
• Price to Book (P/B): 16.44
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -51.45
• Enterprise Value/Market Cap: 0.76
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: 414.32
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 43 Neutral
• Price Target: $0.73 ▼(-3.07% Downside)
• Action: N/A Date: 03/13/26
• Date: Action: N/A 03/13/26

The score is primarily held down by weak financial performance (no revenue, ongoing losses, and negative free cash flow), with only partial offset from low leverage and recent improvement in loss and cash burn. Technical indicators add additional pressure due to a broadly bearish moving-average setup and negative MACD, while valuation is also weak given a negative P/E and no dividend support.

Positive Factors

Low leverage / strong balance sheet

Very low leverage materially reduces solvency and refinancing risk during a multi-year development cycle. This conservative capital structure gives management flexibility to fund permitting and engineering work, preserve optionality for financing, and endure cyclical setbacks without immediate distress.

Notable improvement in losses

The sharp narrowing of net loss and return to positive EBIT indicate improving operational performance and cost discipline. Sustained improvement reduces near-term cash requirements, lengthens runway, and makes it easier to progress permitting and development without as frequent capital raises.

Strategic U.S. REE asset & development focus

Owning a U.S.-based rare earth deposit and focusing on permitting and process development positions the company to serve long-term clean‑energy and tech supply chains. Domestic rare-earth capability addresses structural geopolitical supply risk and aligns with government and industry incentives.

Negative Factors

No revenue / persistent unprofitability

The absence of revenue means the business cannot internally fund development and remains fully dependent on external financing. Persistent losses increase dilution risk, raise the bar for achieving self-sufficiency, and prolong the timeline to commercial operations and positive cash generation.

Structural negative cash flow

Consistent negative operating and free cash flow—free cash flow tracking net loss—indicates structural cash burn. This forces ongoing capital raises, limits ability to scale development activities internally, and heightens liquidity and execution risks over the medium term.

Development-stage execution and limited scale

Being a development-stage company with a tiny team implies long lead times, material regulatory and technical execution risk, and limited internal capacity to move to construction or production without significant hires or external partners, increasing dependency on outside resources.

Rare Element Resources Business Overview & Revenue Model

Company Description

Rare Element Resources Ltd. engages in the exploration of mineral properties in the United States. It holds a 100% interest in the Bear Lodge property that comprises the Bear Lodge REE project and the Sundance Gold project located in central Crook County, northeast Wyoming. The company is headquartered in Littleton, Colorado.

How the Company Makes Money

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Rare Element Resources Financial Statement Overview

Summary

Financials are weak overall: revenue is consistently $0 and the company remains unprofitable with recurring net losses and negative operating/free cash flow (ongoing cash burn). The key offset is a relatively strong balance sheet with very low leverage, and 2025 showed improvement with a narrower net loss and reduced cash burn versus 2024.

Income Statement

The income statement remains very weak: revenue is consistently $0 across the annual periods provided (including a -100% revenue growth reading in 2025, consistent with no revenue). Losses are persistent, but there is a notable improvement in 2025 with net loss narrowing to about -$4.9M versus -$18.5M in 2024, and EBIT turning positive in 2024–2025. However, profitability is still negative at the bottom line and results appear volatile year-to-year, which keeps the score low.

Balance Sheet

The balance sheet is a relative strength. Leverage is very low (debt-to-equity roughly ~1% in 2024–2025), providing financial flexibility and lowering solvency risk. Equity and total assets are sizable versus debt, though equity has moved around significantly over time (e.g., much lower in 2023 than in 2024–2025). Returns on equity are consistently negative due to ongoing losses, which is the key weakness despite the conservative capital structure.

Cash Flow

Cash flow quality is weak: operating cash flow and free cash flow are negative in every year shown, indicating ongoing cash burn to fund operations. There is improvement in 2025 (operating/free cash flow around -$7.1M vs. about -$10.6M operating and -$12.2M free cash flow in 2024), but free cash flow growth is still negative in 2025 and cash generation remains structurally negative. Free cash flow broadly tracks net losses (free cash flow to net income near ~1x), which suggests limited non-cash support to offset the cash burn.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	0.00	0.00	0.00	0.00	0.00
Gross Profit	0.00	-533.00K	0.00	-1.00K	-30.00K
EBITDA	801.00K	-17.92M	-8.89M	-9.33M	-5.35M
Net Income	-4.90M	-18.45M	-9.00M	-9.43M	-5.40M
Balance Sheet
Total Assets	24.12M	29.68M	10.74M	18.87M	26.12M
Cash, Cash Equivalents and Short-Term Investments	19.32M	26.73M	3.63M	15.52M	22.25M
Total Debt	214.00K	270.00K	203.00K	292.00K	377.00K
Total Liabilities	1.83M	2.50M	2.31M	1.93M	2.67M
Stockholders Equity	22.29M	27.18M	8.44M	16.93M	23.44M
Cash Flow
Free Cash Flow	-7.12M	-12.19M	-11.72M	-9.42M	-2.84M
Operating Cash Flow	-7.12M	-10.62M	-11.71M	-9.40M	-2.84M
Investing Cash Flow	-289.00K	-1.56M	-4.00K	0.00	0.00
Financing Cash Flow	0.00	35.29M	6.00K	-25.00K	25.08M

Rare Element Resources Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
USAR	62 Neutral	$4.24B	-2.81	-45.84%	―	―	―
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
ABAT	54 Neutral	$437.27M	-11.63	-46.98%	―	821.40%	44.70%
MP	54 Neutral	$10.16B	-100.09	-5.04%	―	26.44%	-95.87%
IONR	44 Neutral	$257.86M	―	>-0.01%	―	―	-10.45%
REEMF	43 Neutral	$438.66M	-74.79	-42.52%	―	―	―