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REXC - ETF AI Analysis

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REXC

Sprott Rare Earths Ex-China ETF (REXC)

Rating:45Neutral
Price Target:
REXC, the Sprott Rare Earths Ex-China ETF, has a moderate overall rating that reflects a mix of solid leaders and more challenged holdings in the rare earths space. Stronger positions like MP Materials and Lynas Rare Earths support the fund with strategic initiatives, solid balance sheets, and generally constructive long-term outlooks, while weaker names such as Sunrise Energy Metals, Lindian Resources, and other financially strained miners weigh on the rating due to losses, cash flow issues, and negative valuations. The main risk is the fund’s concentration in a single, specialized sector where many companies face profitability and cash flow pressures, which can increase volatility and downside risk for investors.
Positive Factors
Strong Top Holdings Performance
Several of the largest positions, including MP Materials and Lynas Rare Earths, have shown strong gains this year, supporting the fund’s overall results.
Focused Rare Earths Exposure Outside China
The ETF offers targeted access to rare earths companies in countries like Australia, the U.S., and Canada, giving investors a way to invest in the theme while avoiding direct China exposure.
Broad Geographic Mix Among Key Producers
Holdings spread across Australia, the U.S., Canada, and the UK help reduce the impact of country-specific regulatory or political risks on the portfolio.
Negative Factors
High Concentration in a Few Stocks
The two largest holdings each make up a sizable portion of the fund, which increases the impact that problems at those companies could have on overall performance.
Heavy Reliance on the Materials Sector
With most assets in materials companies, the ETF is highly sensitive to swings in commodity prices and demand for rare earths.
Relatively High Expense Ratio
The fund’s management fee is on the higher side for an ETF, which can modestly reduce net returns over time compared with lower-cost options.

REXC vs. SPDR S&P 500 ETF (SPY)

REXC Summary

The Sprott Rare Earths Ex-China ETF (REXC) follows the Nasdaq Sprott Rare Earths Ex-China Index, focusing on companies that find, mine, and process rare earth metals outside of China. These metals are key ingredients in electric vehicles, wind turbines, smartphones, and other high-tech products. The fund holds companies like MP Materials in the U.S. and Lynas Rare Earths in Australia. An investor might choose this ETF to bet on long-term growth in clean energy and advanced technology, while also diversifying away from China. However, it is concentrated in mining stocks, so its price can swing sharply with commodity markets and global news.
How much will it cost me?This ETF has an expense ratio of 0.65%, which means you’ll pay about $6.50 per year for every $1,000 you invest. That’s higher than the average ETF because it’s a specialized, thematic fund focused on rare-earths companies rather than a broad, plain-vanilla index.
What would affect this ETF?This ETF could benefit if global demand for electric vehicles, wind power, and high-tech electronics keeps growing, and if governments outside China support new rare-earth mines and processing plants to secure their own supply chains. On the downside, it may be hurt by falling rare-earth prices, project delays or permitting issues at key holdings like MP Materials and Lynas, or if economic slowdowns and policy changes reduce investment in clean energy and advanced manufacturing.

REXC Top 10 Holdings

REXC is heavily tilted toward a handful of rare-earth miners, with MP Materials and Lynas Rare Earths acting as the twin engines of the portfolio. MP has been rising lately, helping to pull the fund forward, while Lynas has been more mixed—strong over the year but recently losing steam. Smaller names like Sunrise Energy Metals, REalloys, and Neo Performance Materials have been on a strong upswing, adding extra torque. The fund is tightly focused on the materials and mining theme, with a global mix of holdings outside China driving this specialized bet on critical metals.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
MP Materials19.81%$10.94M$10.84B61.31%
61
Neutral
Lynas Rare Earths 19.07%$10.53MAU$18.30B104.25%
62
Neutral
USA Rare Earth6.13%$3.39M$5.63B102.96%
Sunrise Energy Metals 5.25%$2.90MAU$2.74B2203.64%
52
Neutral
REalloys5.17%$2.85M$1.09B211.38%
52
Neutral
Neo Performance Materials Inc4.89%$2.70MC$1.47B179.08%
50
Neutral
Iluka Resources Limited4.68%$2.59MAU$3.37B119.66%
68
Neutral
Critical Metals Corp4.18%$2.31M$1.24B307.63%
NioCorp Developments3.67%$2.03M$773.07M104.23%
Lindian Resources Limited3.56%$1.97MAU$1.53B606.25%
40
Underperform

REXC Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
100DMA
200DMA
Market Momentum
MACD
-0.44
Negative
RSI
48.30
Neutral
STOCH
65.83
Neutral
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For REXC, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 21.28, equal to the 50-day MA of ―, and equal to the 200-day MA of ―, indicating a neutral trend. The MACD of -0.44 indicates Negative momentum. The RSI at 48.30 is Neutral, neither overbought nor oversold. The STOCH value of 65.83 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for REXC.

REXC Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$55.71M0.65%
45
Neutral
$94.91M0.99%
56
Neutral
$29.02M0.65%
61
Neutral
$28.01M0.35%
74
Outperform
$15.69M0.35%
54
Neutral
$13.00M0.35%
64
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
REXC
Sprott Rare Earths Ex-China ETF
20.86
-0.67
-3.11%
METL
Sprott Active Metals & Miners ETF
FMTL
First Trust Indxx Critical Metals ETF
AUMI
Themes Gold Miners ETF
COPA
Themes Copper Miners ETF
AGMI
Themes Silver Miners ETF
Glossary
BuyAn ETF rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF is likely to deliver higher returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldAn ETF rated as a "Hold" s expected to perform in line with the overall market or a specific benchmark. This rating indicates that the ETF is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellAn ETF rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF may deliver lower returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
DisclaimerThis AI Analyst ETF Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in ETFs carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: ―
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