Lithium Americas (NYSE:LAC) Shares Gap Down - What's Next?

Key Points

• Lithium Americas Corp. shares saw a significant drop, gapping down from a previous close of $9.44 to an opening price of $8.92, and last traded at $7.91 with a high trading volume of over 34 million shares.
• Analyst ratings have varied, with Cormark downgrading the stock to a "hold," while other firms maintain a "hold" rating with price targets ranging from $5.00 to $8.00, where the stock has an average target of $5.30.
• Recent insider trading revealed VP Alexi Illya Zawadzki sold over 353,000 shares at $9.48, reducing their position by nearly 90%, indicating potential concerns about the stock's future performance.

Lithium Americas Corp. (NYSE:LAC - Get Free Report) gapped down before the market opened on Thursday . The stock had previously closed at $9.44, but opened at $8.92. Lithium Americas shares last traded at $7.91, with a volume of 34,061,433 shares.

Analyst Ratings Changes

Several research firms recently weighed in on LAC. Cormark cut Lithium Americas from a "moderate buy" rating to a "hold" rating in a research report on Thursday, October 2nd. TD Cowen reaffirmed a "hold" rating and issued a $5.00 price target on shares of Lithium Americas in a report on Thursday, September 25th. Wedbush upped their price target on Lithium Americas from $5.00 to $8.00 and gave the company a "neutral" rating in a report on Wednesday, October 1st. Jefferies Financial Group cut their price target on Lithium Americas from $8.00 to $7.00 and set a "buy" rating for the company in a report on Wednesday, September 24th. Finally, Weiss Ratings reaffirmed a "sell (e+)" rating on shares of Lithium Americas in a report on Wednesday, October 8th. Three equities research analysts have rated the stock with a Buy rating, nine have given a Hold rating and four have issued a Sell rating to the company. According to MarketBeat.com, the stock has an average rating of "Reduce" and an average target price of $5.30.

Lithium Americas Stock Performance

The company has a current ratio of 9.88, a quick ratio of 9.88 and a debt-to-equity ratio of 0.33. The stock has a fifty day moving average price of $4.45 and a 200-day moving average price of $3.36. The firm has a market capitalization of $1.79 billion, a price-to-earnings ratio of -32.41 and a beta of 1.43.

Lithium Americas (NYSE:LAC - Get Free Report) last issued its earnings results on Thursday, August 14th. The company reported ($0.06) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.04) by ($0.02). As a group, analysts anticipate that Lithium Americas Corp. will post -0.12 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, VP Alexi Illya Zawadzki sold 353,914 shares of the stock in a transaction that occurred on Wednesday, October 1st. The stock was sold at an average price of $9.48, for a total transaction of $3,355,104.72. Following the sale, the vice president directly owned 40,005 shares in the company, valued at $379,247.40. This represents a 89.84% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 1.11% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the company. Harbour Investments Inc. boosted its position in Lithium Americas by 86.1% in the 2nd quarter. Harbour Investments Inc. now owns 9,900 shares of the company's stock valued at $27,000 after buying an additional 4,580 shares during the last quarter. Ping Capital Management Inc. bought a new position in shares of Lithium Americas in the 1st quarter worth $27,000. Empirical Financial Services LLC d.b.a. Empirical Wealth Management bought a new position in shares of Lithium Americas in the 1st quarter worth $27,000. Gainplan LLC bought a new position in shares of Lithium Americas in the 3rd quarter worth $58,000. Finally, Walleye Capital LLC bought a new position in shares of Lithium Americas in the 2nd quarter worth $28,000.

Lithium Americas Company Profile

Lithium Americas Corp. engages in the exploration and development of lithium properties in the United States and Canada. It holds a 100% interest in the Thacker Pass project located in northern Nevada, as well as investments in exploration properties in the United States and Canada. Lithium Americas Corp.

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