Despite getting sold off this year, Jefferies sees SQM as an attractively valued play in the commodities space. Analyst Alejandro Demichelis upgraded U.S. shares of the Latin American lithium producer to buy from hold. Demichelis raised his price target by $10.80 to $62.80, now suggesting an upside of 31.9%.
SQM has performed just about in line with peer Albemarle since the start of 2023. That lack of outperformance can be tied to some uncertainties around a deal to extend a Chilean lithium concession to 2060 instead of 2030, the analyst said. SQM ALB,.SPX 1Y mountain SQM vs. Albemarle and S & P 500 While there is not yet a definitive agreement, Demichelis said the plan can create value for the company once executed.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more: