Galaxy Resources beat expectations for concentrate production at its Mt Cattlin lithium mine in Western Australia, but investors could stay skittish. "Imbalances in the lithium concentrates market will weigh on pricing and continue to effect sentiment to the shares," Canaccord says. Galaxy's stock is around 55% below year-ago levels, and Canaccord lowers its concentrate pricing assumptions to US$600/ton. Still, the investment bank remains bullish because Galaxy's asset base has "strategic and inherent value well in excess of its current enterprise value."
GXY Price at posting:
$1.37 Sentiment: Hold Disclosure: Held
