Lithium Americas (TSE:LAC) Stock Price Down 21.6% – Here’s What Happened

Lithium Americas Corp. (TSE:LAC) dropped 21.6% on Friday . The company traded as low as C$10.29 and last traded at C$10.39. Approximately 4,766,525 shares changed hands during trading, an increase of 375% from the average daily volume of 1,002,767 shares. The stock had previously closed at C$13.26.

Analyst Upgrades and Downgrades

LAC has been the topic of a number of recent analyst reports. Scotiabank cut shares of Lithium Americas from a “hold” rating to a “strong sell” rating in a report on Monday, October 6th. TD Cowen cut shares of Lithium Americas from a “strong-buy” rating to a “hold” rating in a report on Thursday, September 25th. Canaccord Genuity Group cut shares of Lithium Americas from a “moderate buy” rating to a “sell” rating and set a C$6.25 price target on the stock. in a report on Thursday, October 2nd. Cormark cut shares of Lithium Americas from a “moderate buy” rating to a “hold” rating in a report on Thursday, October 2nd. Finally, National Bankshares increased their price target on shares of Lithium Americas from C$5.00 to C$10.00 and gave the company a “sector perform” rating in a report on Thursday, October 2nd. One equities research analyst has rated the stock with a Strong Buy rating, six have given a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus price target of C$8.13.

Lithium Americas Stock Down 8.3%

The company’s 50 day moving average price is C$6.40 and its two-hundred day moving average price is C$4.72. The firm has a market cap of C$2.36 billion, a PE ratio of -38.12 and a beta of 1.26. The company has a current ratio of 13.88, a quick ratio of 52.06 and a debt-to-equity ratio of 0.65.

About Lithium Americas

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.