The Iluka Resources Limited (ASX: ILU) share price has struggled in the past month, but could there be better days ahead?
Since market close on 26 August, the company's share price has fallen nearly 18% to $8.82.
Let's take a look at the outlook for the Iluka Resources share price.
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Can the Iluka Resources share price go higher?
Iluka Resources is a mineral sands explorer producing rare earth minerals for an electrified future. These include neodymium, praseodymium, dysprosium, terbium, lanthanum, and cerium.
Spotee Connect managing director Elio D'Amato is recommending Iluka as a buy.
Commenting on the outlook for Iluka on The Bull, D'Amato highlighted Iluka delivered a "solid interim report" recently. He added:
Sales exceeded production, and all at high zircon prices. The company is expected to start its rutile mill in Western Australia by mid next year.
D'Amato believes Iluka's Eneabba rare earths refinery project in Western Australia is set to drive growth in the future. He said:
The Eneabba rare earths refinery will be a new growth engine, following recent approvals and a $1.25 billion non-recourse loan from the Australian Government to build it.
The Eneabba refinery will be the third of its kind outside China, as my Foolish colleague James reported recently.
Goldman Sachs has also recently placed a buy rating on the Iluka share price and a $13.30 price target. Goldman said: "We think ILU's Eneabba RE refinery is a strategic asset considering it will be only the third western world RE refinery."
Iluka reported a 186% increase in profit to $368,5 million in the first half of calendar year 2022.
Iluka share price snapshot
The Iluka share price has shed 4% in the past year, while it has fallen 11% year to date.
For perspective, the S&P/ASX 200 Materials Index (ASX: XMJ) has fallen 13% in the year to date.
Iluka has a market capitalisation of more than $3.7 billion based on the current share price.
