It’s been a big year for Ioneer. Here’s what it reported last financial year and how it’s travelled since.
The post How did the Ioneer (ASX: INR) share price respond last earnings season? appeared first on The Motley Fool Australia. –
The Ioneer Ltd (ASX: INR) share price is falling today despite no news having been released by the company. It has slipped 3.03% at the time of writing, with shares in the lithium producer currently going for 48 cents each.
That’s significantly down on the broader market’s performance. The S&P/ASX 200 Index (ASX: XJO) is up 0.54% right now, while the All Ordinaries Index (ASX: XAO) has slipped 0.43%.
The Ioneer share price’s dip comes with the market excited over reporting season.
So, while the ASX awaits Ioneer’s full-year results, let’s go back to last year to see how the Ioneer share price reacted to its FY20 results.
What did Ioneer report for FY20?
The Ioneer share price has had a fantastic 12 months on the ASX. In fact, when the company released its FY20 results on 17 September, its share price was just 11 cents.
The company’s full-year report detailed what its chair, James Calaway, described as ” a year of significant progress”. The progress was, in fact, all that was needed to begin production at Ioneer’s flagship Rhyolite Ridge Lithium-Boron project, located in Nevada, USA.
Here’s a summary of the financial stats the company posted for FY20:
Ioneer’s operating cash flows came to a loss of around $6.7 million
It ended FY20 with approximately $38.2 million of cash in the bank
As Ioneer’s project wasn’t yet in operation, it didn’t report any revenue. Additionally, the Ioneer share price had no reaction to its FY20 results.
What’s happened with the Ioneer share price since?
While the Ioneer share price didn’t move when it released its FY20 results, it gained 72% between then and when it next released price-sensitive news.
As The Motley Fool Australia reported in October, the company’s gains were likely caused by then-US President Donald Trump. Trump had looked to increase the nation’s domestic supply of critical minerals.
Then, in January, Ioneer reported it had successfully produced battery-grade lithium hydroxide.
We got a quick look into Ioneer’s finances late last month when the company released its fourth-quarter report.
Over the June quarter, the company spent $5 million on investing activities and $2 million on operation activities. It had $83.1 million of cash in the bank as of 30 June 2021.
The Ioneer share price has gained 336% since it released its FY20 results.
Should you invest $1,000 in Ioneer right now?
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Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned.
The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.