PLS – Credit Suisse rates the stock as Downgrade to Neutral

Credit Suisse downgrades its rating to Neutral from Outperform with the target rising to $0.95 from $0.40.

The broker expects lessons learned over the past 24 months including a period of significant lithium oversupply leading to low utilisation rates and prices to translate into more controlled future expansion.

Even so, the likelihood of going back to a period of extreme oversupply and price depression is considered low by Credit Suisse. Pilbara continues to be the broker’s preferred pick.

Sector: Materials.

 

Target price is $0.95.Current Price is $1.00. Difference: ($0.05) – (brackets indicate current price is over target). If PLS meets the Credit Suisse target it will return approximately -5% (excluding dividends, fees and charges – negative figures indicate an expected loss).

 

 

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