Lithium Americas (TSE:LAC) Shares Down 6.4% – What’s Next?

Shares of Lithium Americas Corp. (TSE:LAC) traded down 6.4% on Wednesday . The stock traded as low as C$7.33 and last traded at C$7.43. 763,133 shares traded hands during trading, a decline of 53% from the average session volume of 1,615,859 shares. The stock had previously closed at C$7.94.

Analyst Upgrades and Downgrades

Several research analysts recently weighed in on the company. Wedbush upgraded Lithium Americas to a “hold” rating in a research note on Monday, April 20th. Scotia boosted their target price on Lithium Americas from C$8.50 to C$11.00 and gave the stock a “sector outperform” rating in a research note on Friday, May 15th. TD Securities upgraded Lithium Americas to a “hold” rating in a research note on Monday, February 9th. Finally, National Bank Financial dropped their target price on Lithium Americas from C$7.50 to C$7.25 and set a “sector perform” rating on the stock in a research note on Friday, May 15th. Two equities research analysts have rated the stock with a Buy rating and six have given a Hold rating to the company’s stock. According to data from MarketBeat.com, the company currently has an average rating of “Hold” and an average target price of C$8.25.

Lithium Americas Trading Down 2.3%

The company has a debt-to-equity ratio of 65.10, a quick ratio of 52.06 and a current ratio of 7.36. The company has a 50 day simple moving average of C$6.64 and a two-hundred day simple moving average of C$6.79. The firm has a market cap of C$2.49 billion, a PE ratio of -15.73 and a beta of 1.26.

Lithium Americas Company Profile

Lithium Americas is developing three lithium production assets, two brine resources located in northwestern Argentina and a clay resource in Nevada, U.S. While the company has no current lithium production, we expect the first Argentina resource, Cauchari-Olaroz, to enter production in late 2022. We expect the Nevada project, Thacker Pass, to enter production in the middle of the 2020s and the second brine resource, Pastos Grandes, to enter production in the late-2020s. Lithium Americas plans for all three resources to be fully integrated, selling into the lithium chemical market.