Lynas rallies after quarterly update and CEO retirement

Lynas Rare Earths reported a quarterly update that combined stronger sales revenue with operational hiccups and key project milestones, while long-serving CEO Amanda Lacaze signalled her intention to retire. Shares have rebounded sharply, with a 30‑day gain of 34.13%, year‑to‑date up 37.97% and a one‑year total shareholder return of 158.59%, reflecting renewed investor momentum around the update and succession news. The stock trades around A$16.86. Valuation debates have intensified: a discounted cash flow view implies a fair value near A$15.77, about 6.9% below the share price, while price ratios show a P/S of 30.5x versus 9.9x for peers and a regression‑based fair ratio near 5x, suggesting the market currently prices substantial future margin recovery and growth. Supporters point to Lynas’s integrated non‑Chinese rare earth supply position, which aligns with global diversification trends and long‑term demand for magnets and critical materials. Skeptics flag dependence on stable rare‑earth prices, timely execution of expansion and magnet projects, and potential regulatory or project delays as key downside risks. Investors will be watching management succession execution and operational performance closely to see whether the company can deliver the growth embedded in current valuations.