This rare earths/mineral sands business has struggled in line with the Chinese property market; we’re glad we didn’t go long until late 2024. Any recovery in China’s embattled property market feels more like an oil tanker in terms of how quickly it may recover, especially compared to the EV story. However, ILU does have exposure to rare earths, as well as mineral sands (ceramics). ILU has collapsed similarly to many in the ESG space, including those mentioned above; however, we question whether it can recover as quickly.
- We can see ILU testing $5 if optimism returns to the EV space and China recovery story – MM holds ILU in our Active Growth Portfolio, though we are not wedded to the position.
MM is cautiously bullish toward ILU
Add To Hit List
