The Lynas Rare Earths Ltd (ASX: LYC) share price is gaining today despite no news from the company.
The rare earth producer is leading the S&P/ASX 200 Materials Index on Tuesday, potentially protecting it from the worst of its 1.2% fall.
The Lynas share price is currently $7.14, 2.59% higher than its previous close after hitting a high of $7.30 earlier today.
Let’s take a look at what’s been driving Lynas’ shares on the ASX lately.
Lynas’ leading the materials sector
The Lynas share price is gaining again today, despite no news being released by the company.
However, the rare earths producer’s stock has soared 8% since it released its earnings for financial year 2021 (FY21) late last month. Today’s gains from Lynas’ stock could be part of an ongoing reaction to its profitable FY21.
The company reported it brought in $489 million in revenue in FY21, a 60% increase to that of FY20.
It also boasted it had recovered from the $19.4 million loss it reported for FY20. Lynas posted $157.1 million of net profit after tax for FY21.
While the Lynas share price initially fell 3.6% on the back of its FY21 earnings, it has since soared.
Lynas is also one of only a few ASX 200 materials shares to be decisively in the green today.
The Boral Limited (ASX: BLD) share price is in second place on the materials index today, having gained 0.59%.
Meanwhile, the share prices of Fortescue Metals Group Ltd (ASX: FMG) and Mineral Resources Limited (ASX: MIN) are bringing up the material index’s rear. Today, they’ve fallen 2.91% and 2.96% respectively.
Lynas share price snapshot
Today’s gains included, the Lynas share price has been performing exceptionally well lately.
It is currently 80% higher than it was at the start of 2021. It has also gained an impressive 198% since this time last year.
The post The Lynas Rare Earths (ASX:LYC) share price is soaring 4% on Tuesday appeared first on The Motley Fool Australia.
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More reading
- Fortescue’s big fall, job ad numbers disappoint and rates in focus. Scott Phillips on Nine’s Late News
- Top broker says Mineral Resources (ASX:MIN) share price is in the buy zone
- Why BHP, Fortescue, & Rio Tinto shares could tumble today
- Why BlueBet, Fortescue, Hansen, & Pro Medicus shares are sinking
- Which ASX shares are leading the way on the ASX 300?
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.
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