Livent: Undervalued With Significant Upside Potential

Dec. 19, 2023 2:57 AM ETArcadium Lithium plc (ALTM) StockALTM70 Comments
Yani Hellebaut
59 Followers

Summary

  • The strong share price decline is a result of the macro headwinds in the lithium sector. 50% decline over the past 12 months.
  • Despite these challenges, Livent's fundamental outlook remains strong, with anticipated growth in the lithium sector and a merger with Allkem as additional growth catalysts.
  • Technical analysis shows a bottom around $13-$14.
  • Strong undervaluation based on EV/EBITDA.
  • A bottom share price combined with a significant undervaluation based on the EBITDA presents a buying opportunity.

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Investment Thesis

Livent (LTHM), as of last week, has witnessed a substantial 31% year-over-year decline in its share price and a remarkable 50% drop over the past twelve months, positioning Livent as one of the most undervalued lithium players, in my opinion. Recent macro challenges, including a

This article was written by

59 Followers
Freelance Financial Analyst with a focus on the commodities and precious metals sector.Besides Seeking Alpha, I am a freelance analyst at Lynx Beleggen in Belgium.

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