Lithium Americas (NYSE:LAC) Trading Up 12.5% - Here's Why

Key Points

• Shares of Lithium Americas Corp. (NYSE:LAC) increased by 12.5% on Monday, reaching a last traded price of $8.43, with trading volume surging to over 86 million shares.
• Multiple analysts have downgraded Lithium Americas from "buy" to "hold," with a consensus price target set at $5.33 and recommendations split among buy, hold, and sell ratings.
• Recent insider transactions revealed that VP Alexi Illya Zawadzki sold 353,914 shares at an average price of $9.48, significantly reducing his stake in the company.

Shares of Lithium Americas Corp. (NYSE:LAC - Get Free Report) were up 12.5% on Monday . The company traded as high as $8.71 and last traded at $8.43. Approximately 86,327,935 shares changed hands during trading, an increase of 515% from the average daily volume of 14,043,806 shares. The stock had previously closed at $7.49.

Wall Street Analysts Forecast Growth

A number of research analysts recently weighed in on LAC shares. TD Securities downgraded Lithium Americas from a "buy" rating to a "hold" rating and set a $5.00 price target on the stock. in a research note on Thursday, September 25th. Cowen downgraded Lithium Americas from a "buy" rating to a "hold" rating in a research note on Wednesday, September 24th. TD Cowen reissued a "hold" rating and issued a $5.00 price objective on shares of Lithium Americas in a research note on Thursday, September 25th. Scotiabank reaffirmed a "sector underperform" rating and set a $5.00 target price (up previously from $2.75) on shares of Lithium Americas in a research report on Monday, October 6th. Finally, Cormark cut Lithium Americas from a "moderate buy" rating to a "hold" rating in a research report on Thursday, October 2nd. Three investment analysts have rated the stock with a Buy rating, nine have given a Hold rating and three have given a Sell rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of "Hold" and an average price target of $5.33.

Lithium Americas Trading Up 12.5%

The company has a debt-to-equity ratio of 0.33, a current ratio of 9.88 and a quick ratio of 9.88. The company has a market capitalization of $2.04 billion, a P/E ratio of -36.65 and a beta of 1.43. The firm has a fifty day moving average price of $4.04 and a 200-day moving average price of $3.23.

Lithium Americas (NYSE:LAC - Get Free Report) last posted its quarterly earnings data on Thursday, August 14th. The company reported ($0.06) earnings per share for the quarter, missing the consensus estimate of ($0.04) by ($0.02). On average, equities research analysts anticipate that Lithium Americas Corp. will post -0.12 earnings per share for the current year.

Insider Transactions at Lithium Americas

In other Lithium Americas news, VP Alexi Illya Zawadzki sold 353,914 shares of the company's stock in a transaction 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 transaction, the vice president owned 40,005 shares in the company, valued at $379,247.40. This represents a 89.84% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. 1.11% of the stock is owned by company insiders.

Institutional Trading of Lithium Americas

A number of large investors have recently bought and sold shares of LAC. Bank of Montreal Can increased its position in Lithium Americas by 3,173.0% in the second quarter. Bank of Montreal Can now owns 846,998 shares of the company's stock worth $2,266,000 after buying an additional 821,120 shares during the last quarter. Invesco Ltd. boosted its holdings in shares of Lithium Americas by 38.0% in the second quarter. Invesco Ltd. now owns 1,666,561 shares of the company's stock worth $4,466,000 after acquiring an additional 459,252 shares during the period. Balyasny Asset Management L.P. bought a new position in shares of Lithium Americas in the second quarter worth $1,057,000. Goldman Sachs Group Inc. boosted its holdings in shares of Lithium Americas by 44.9% in the first quarter. Goldman Sachs Group Inc. now owns 1,046,556 shares of the company's stock worth $2,836,000 after acquiring an additional 324,518 shares during the period. Finally, Teamwork Financial Advisors LLC boosted its holdings in shares of Lithium Americas by 26.6% in the third quarter. Teamwork Financial Advisors LLC now owns 1,281,740 shares of the company's stock worth $7,319,000 after acquiring an additional 268,918 shares during the period.

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.

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