AZS Media related thread, page-479

This is 2 paragraphs from an AFR article on the LTR and Bald Hill takeovers. Interesting view by Cannacord on value of lithium stocks noting current lithium prices are around $3k (I think). The alternative view is Albemarlt is paying way too much when the lithium market is in a bubble which often happens in bubbles. So LTR SP is now double the SP before Albemarle’s initial bid for LTR wax made public.

I was aware brokers were using long term lithium prices if about $1.3k so if the $1.9k ends up being about right there will be plenty of upside in AZS’s SP. But I would not be hanging my hat on $1.9k being right.

“Canaccord Genuity analyst Reg Spencer said Albemarle’s bid valued Liontown’s lithium at $US1900 a tonne; about 50 per cent higher than the lithium price the market appeared to be applying to the rest of the ASX lithium sector.

“The bid provides a piece of information on what a large-scale lithium business might be thinking in terms of long-term prices,” said Mr Spencer in a note to clients. “We believe it suggests that” overall, lithium companies remain undervalued.”