Lithium Americas (NYSE:LAC) Trading Down 5.9% - Here's Why

Key Points

• Lithium Americas Corp. (NYSE:LAC) shares fell by 5.9%, trading as low as $9.10 and closing at $9.46, with an unusual trading volume of approximately 89.6 million shares.
• Analyst ratings have shifted, with Cormark downgrading the stock to a "hold" and both TD Securities and Scotiabank setting a target price of $5.00, reflecting a generally cautious outlook.
• In a recent insider transaction, VP Alexi Illya Zawadzki sold 353,914 shares at an average price of $9.48, significantly reducing his ownership in the company.

Lithium Americas Corp. (NYSE:LAC - Get Free Report) shares were down 5.9% during mid-day trading on Wednesday . The stock traded as low as $9.10 and last traded at $9.46. Approximately 89,570,569 shares were traded during mid-day trading, an increase of 495% from the average daily volume of 15,049,041 shares. The stock had previously closed at $10.05.

Analyst Ratings Changes

LAC has been the subject of several recent research reports. Cormark downgraded Lithium Americas from a "moderate buy" rating to a "hold" rating in a report on Thursday, October 2nd. TD Securities cut Lithium Americas from a "buy" rating to a "hold" rating and set a $5.00 price objective on the stock. in a report on Thursday, September 25th. Scotiabank restated a "sector underperform" rating and issued a $5.00 target price (up from $2.75) on shares of Lithium Americas in a research note on Monday, October 6th. BMO Capital Markets increased their price objective on Lithium Americas from $3.50 to $5.00 and gave the company a "market perform" rating in a research report on Thursday, October 2nd. Finally, Wedbush increased their price objective on Lithium Americas from $5.00 to $8.00 and gave the stock a "neutral" rating in a report on Wednesday, October 1st. Three analysts have rated the stock with a Buy rating, nine have given a Hold rating and three have issued a Sell rating to the company's stock. According to MarketBeat.com, Lithium Americas presently has an average rating of "Hold" and a consensus target price of $5.33.

Lithium Americas Stock Down 5.9%

The company has a 50-day moving average price of $4.31 and a 200 day moving average price of $3.32. The firm has a market capitalization of $2.29 billion, a PE ratio of -41.11 and a beta of 1.43. The company has a debt-to-equity ratio of 0.33, a current ratio of 9.88 and a quick ratio of 9.88.

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 the consensus estimate of ($0.04) by ($0.02). Analysts forecast that Lithium Americas Corp. will post -0.12 earnings per share for the current year.

Insider Activity

In related news, VP Alexi Illya Zawadzki sold 353,914 shares of the business's stock in a transaction that occurred on Wednesday, October 1st. The stock was sold at an average price of $9.48, for a total value of $3,355,104.72. Following the completion of the sale, the vice president owned 40,005 shares in the company, valued at approximately $379,247.40. The trade was a 89.84% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 1.11% of the company's stock.

Institutional Trading of Lithium Americas

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Teamwork Financial Advisors LLC grew its position in Lithium Americas by 18.1% during the 2nd quarter. Teamwork Financial Advisors LLC now owns 1,012,822 shares of the company's stock worth $2,714,000 after purchasing an additional 155,068 shares during the period. Goldman Sachs Group Inc. lifted its stake in Lithium Americas by 44.9% in the 1st quarter. Goldman Sachs Group Inc. now owns 1,046,556 shares of the company's stock worth $2,836,000 after purchasing an additional 324,518 shares in the last quarter. American Century Companies Inc. acquired a new stake in shares of Lithium Americas during the 1st quarter worth approximately $277,000. Golden State Wealth Management LLC acquired a new stake in shares of Lithium Americas during the 1st quarter worth approximately $37,000. Finally, Nuveen LLC acquired a new stake in Lithium Americas in the 1st quarter valued at approximately $504,000.

About Lithium Americas

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.