Lithium Americas (NYSE:LAC) Stock Price Down 7.5% – Should You Sell?

Lithium Americas Corp. (NYSE:LAC)’s stock price was down 7.5% during mid-day trading on Thursday . The company traded as low as $5.04 and last traded at $5.0690. Approximately 3,635,959 shares changed hands during trading, a decline of 70% from the average daily volume of 11,937,558 shares. The stock had previously closed at $5.48.

Analysts Set New Price Targets

A number of research analysts have recently issued reports on LAC shares. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Lithium Americas in a research note on Monday, April 27th. Wedbush started coverage on Lithium Americas in a research note on Monday, April 20th. They set a “neutral” rating and a $8.00 price objective on the stock. Jefferies Financial Group reaffirmed a “buy” rating on shares of Lithium Americas in a research note on Monday, February 23rd. TD Securities raised Lithium Americas to a “hold” rating in a research note on Monday, February 9th. Finally, Wall Street Zen upgraded shares of Lithium Americas from a “strong sell” rating to a “sell” rating in a report on Saturday. Two analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company has an average rating of “Hold” and an average price target of $5.71.

Lithium Americas Trading Down 2.3%

The company has a quick ratio of 5.16, a current ratio of 5.16 and a debt-to-equity ratio of 0.50. The stock’s fifty day moving average price is $4.61 and its two-hundred day moving average price is $4.93. The company has a market capitalization of $1.74 billion, a PE ratio of -12.25 and a beta of 2.50.

Lithium Americas (NYSE:LAC) last posted its earnings results on Thursday, May 14th. The company reported $0.00 earnings per share for the quarter, topping analysts’ consensus estimates of ($0.07) by $0.07. Sell-side analysts anticipate that Lithium Americas Corp. will post -0.3 earnings per share for the current year.

Institutional Trading of Lithium Americas

A number of institutional investors have recently modified their holdings of LAC. Van ECK Associates Corp lifted its holdings in Lithium Americas by 158.1% in the third quarter. Van ECK Associates Corp now owns 14,479,615 shares of the company’s stock worth $82,679,000 after buying an additional 8,868,971 shares during the period. Millennium Management LLC lifted its holdings in Lithium Americas by 1,188.3% in the third quarter. Millennium Management LLC now owns 3,307,103 shares of the company’s stock worth $18,885,000 after buying an additional 3,050,405 shares during the period. Legal & General Group Plc lifted its holdings in Lithium Americas by 212.7% in the fourth quarter. Legal & General Group Plc now owns 3,062,306 shares of the company’s stock worth $13,349,000 after buying an additional 2,082,891 shares during the period. Trexquant Investment LP purchased a new stake in Lithium Americas in the fourth quarter worth about $6,055,000. Finally, Old West Investment Management LLC purchased a new position in shares of Lithium Americas in the 3rd quarter valued at approximately $7,647,000.

About Lithium Americas

Lithium Americas Corp. is a Vancouver‐based resource company focused on the development of lithium projects to support the global transition to electric vehicles and renewable energy storage. The company specializes in advancing lithium brine and claystone assets through feasibility studies, environmental permitting and engineering design. Its technical teams work to produce high‐purity lithium chemicals, including lithium carbonate and lithium hydroxide, for battery manufacturers worldwide.

Lithium Americas’ two flagship projects are the Cauchari‐Olaroz lithium brine operation in Jujuy Province, Argentina—developed in partnership with Ganfeng Lithium—and the Thacker Pass lithium clay deposit in northern Nevada, United States.