Lithium Americas (TSE:LAC) Stock Passes Below 200-Day Moving Average – Time to Sell?

Lithium Americas Corp. (TSE:LAC) passed below its 200-day moving average during trading on Tuesday . The stock has a 200-day moving average of C$6.82 and traded as low as C$5.97. Lithium Americas shares last traded at C$6.20, with a volume of 1,037,513 shares.

Analyst Upgrades and Downgrades

Several research analysts recently weighed in on LAC shares. National Bank Financial decreased their price objective on shares of Lithium Americas from C$10.00 to C$7.50 and set a “sector perform” rating on the stock in a research report on Friday, December 19th. TD Securities raised shares of Lithium Americas to a “hold” rating in a research note on Monday, February 9th. Canaccord Genuity Group set a C$6.50 price target on shares of Lithium Americas and gave the stock a “hold” rating in a report on Wednesday, November 19th. Scotiabank raised shares of Lithium Americas from a “strong sell” rating to a “hold” rating in a report on Thursday, November 13th. Finally, Cormark upgraded shares of Lithium Americas from a “hold” rating to a “moderate buy” rating in a research report on Friday, November 21st. One equities research analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating and five have issued a Hold rating to the company’s stock. According to MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus target price of C$7.00.

Lithium Americas Stock Performance

The company has a market cap of C$1.88 billion, a P/E ratio of -5.74 and a beta of 1.26. The company’s fifty day moving average is C$7.07 and its 200 day moving average is C$6.82. The company has a current ratio of 13.88, a quick ratio of 52.06 and a debt-to-equity ratio of 0.65.

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.