Lithium Americas (Argentina) (NYSE:LAR) Shares Gap Down After Earnings Miss

Lithium Americas (Argentina) Corp. (NYSE:LAR)’s stock price gapped down before the market opened on Tuesday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $7.10, but opened at $6.65. Lithium Americas (Argentina) shares last traded at $6.5240, with a volume of 470,025 shares changing hands.

The company reported $0.01 earnings per share for the quarter, missing analysts’ consensus estimates of $0.05 by ($0.04). During the same quarter in the prior year, the company earned ($0.03) earnings per share.

Wall Street Analysts Forecast Growth

LAR has been the topic of a number of research reports. Scotiabank dropped their price objective on Lithium Americas (Argentina) from $11.00 to $10.00 and set a “sector outperform” rating on the stock in a research note on Tuesday, July 28th. Zacks Research lowered Lithium Americas (Argentina) from a “hold” rating to a “strong sell” rating in a research note on Tuesday, July 14th. Finally, Weiss Ratings restated a “sell (d-)” rating on shares of Lithium Americas (Argentina) in a report on Thursday, July 2nd. One equities research analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, one has given a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus price target of $7.99.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of the business. TD Waterhouse Canada Inc. lifted its position in shares of Lithium Americas (Argentina) by 538.8% in the fourth quarter. TD Waterhouse Canada Inc. now owns 6,995 shares of the company’s stock worth $39,000 after purchasing an additional 5,900 shares in the last quarter. BNP Paribas Financial Markets lifted its position in Lithium Americas (Argentina) by 45.3% in the 3rd quarter. BNP Paribas Financial Markets now owns 11,388 shares of the company’s stock worth $38,000 after buying an additional 3,552 shares in the last quarter. Fifth Third Bancorp lifted its position in Lithium Americas (Argentina) by 250.0% in the 4th quarter. Fifth Third Bancorp now owns 14,000 shares of the company’s stock worth $78,000 after buying an additional 10,000 shares in the last quarter. Modera Wealth Management LLC acquired a new stake in shares of Lithium Americas (Argentina) during the 1st quarter valued at $97,000. Finally, VectorGlobal IAG Inc. acquired a new stake in Lithium Americas (Argentina) during the first quarter valued at $100,000. 49.17% of the stock is owned by institutional investors and hedge funds.

Lithium Americas (Argentina) Price Performance

The business has a 50 day simple moving average of $7.66 and a 200 day simple moving average of $7.96. The stock has a market cap of $1.06 billion and a PE ratio of -17.20.

About Lithium Americas (Argentina)

Lithium Americas (Argentina) is a subsidiary of Lithium Americas Corp. focused on the exploration, development and production of lithium brine resources in the Jujuy province of northwest Argentina. The company’s principal asset is the Cauchari-Olaroz project, situated within the Lithium Triangle, one of the world’s richest regions for lithium-bearing brines. Through its Argentine operations, Lithium Americas aims to supply battery-grade lithium carbonate critical to electric vehicle and energy-storage markets.

The Cauchari-Olaroz project encompasses concessions on the Salar de Cauchari and Salar de Olaroz salt flats, where detailed drilling programs and pilot‐scale evaporation ponds have demonstrated favorable lithium concentrations.