NioCorp (NB) Shares Plunge 6.7% as Q3 Loss and Weak Guidance Spur Sell-Off

NioCorp Developments (NB) fell to its lowest level since September 2025, with an intraday decline of 10.26% and a 6.70% drop in trading. The sharp selloff reflects broader concerns over the company’s financial outlook and strategic execution.

The stock’s performance was driven by a Q3 loss of $0.16 per share and a revised FY 2025 guidance of -0.350 EPS, underscoring ongoing operational challenges at its flagship Elk Creek niobium/scandium/titanium project. Despite recent analyst upgrades—such as HC Wainwright raising its price target to $8.25—the bearish guidance overshadowed optimism, as investors remain wary of the project’s timeline to profitability.

Capital-raising efforts, including a $50 million registered direct offering and a $60 million public offering, have drawn scrutiny for potentially diluting shareholder value. While the Pentagon’s $10 million grant for Elk Creek drilling validates the project’s strategic significance, the rapid succession of fundraisers has raised questions about financial sustainability. Institutional investors have shown limited but growing interest, with small allocations from entities like ProShare Advisors and New Jersey’s Police & Firemen’s Retirement System.

Upcoming milestones, including a presentation at the Munich Mining Conference and a planned investor webcast, will be critical for NioCorp to address concerns. The company’s ability to leverage government partnerships and advance Elk Creek’s development will determine its path forward in a sector prone to volatility. For now, the stock remains a high-risk bet on the long-term demand for critical minerals.