BUZZ-Brokerages lower PT on Albemarle amid challenging lithium prices

Updates

Truist Securities and J.P.Morgan lower PTs on lithium miner Albemarle ALB.N as lithium prices remain challenged

Truist cuts PT to $85 from $96, a 7.3% upside to the stock's last close

Says ALB is reducing costs and optimizing production, but given stagnant lithium prices and potential demand forecast reduction, its current valuation seems fair among its peers

*J.P.Morgan cuts PT to $80 from $100, about a 1% upside to the stock's last close

Says company is unlikely to generate any meaningful free cash flow in 2025 and for as long as lithium prices remain near current levels

The brokerage anticipates an increase in ALB's financial leverage as calculated by the company from its position at the end of 2024 to a higher level at the end of 2025

Eight of 28 brokerages rate the stock "buy" or higher, 17 "hold" and three "sell"; their median PT is $90 - according to data compiled by LSEG

Including the session's moves, the stock is down ~8% YTD