Shares in Vulcan Energy Resources Ltd (ASX: VUL) are tracking lower after sliding down from the open of trade on Thursday.
At the time of writing, the Vulcan share price is at $9.06, down 1% on the day, extending losses to almost 13% for the year to date.
Is Vulcan a buying opportunity?
With the recent volatility and pullback, the gates have opened for investors interested in Vulcan.
Shares have glided down from a previous high of $15.90 in September last year, and there’s been volatility along the way.
Even still, according to Bloomberg data, three-out-of-three analysts covering the stock have it as a buy right now.
With that, the consensus price target is $19.07 per share, although Canaccord Genuity values the company at $23 per share.
One factor that could drive the Vulcan share price higher is a shift away from Russian energy imports, one broker says.
“Overall, we expect the conditions for Vulcan to receive a further impetus not only due to the conflict, but also due to the fulfilment of climate targets,” wrote Alster Research in a recent note.
Nevertheless, it still values Vulcan at $20 per share – an upside potential of 78% if the firm is right on its conviction.
It is confident that Vulcan can be a “provider of renewable energy and lithium with a zero-carbon footprint” resulting in a buy rating.
With most other majors in energy, utilities and materials booming in 2022, Vulcan is down 13%, yet this hasn’t seemed to deter these brokers.
In the last 12 months, the Vulcan share price has jumped 22% but has crept down by more than 13% this past month.
The post Down 13% in a month, is the Vulcan share price a buying opportunity? appeared first on The Motley Fool Australia.
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More reading
- Analysts name 3 top ASX lithium stocks to buy now
- Why this broker says the Vulcan share price can more than double
- Vulcan share price up on new offtake agreement
- March was a stellar month for the Vulcan Energy (ASX:VUL) share price. Here’s why
- Vulcan (ASX:VUL) share price lifts amid company quest to replace Russian gas
Motley Fool contributor Zach Bristow 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.
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