LAC - Lithium Americas: Don't Get Lost On Distorted Reports

2024-05-29 05:05:38 ET

Summary

• Lithium Americas faces risks from volatile lithium prices and dilutive financing, but these risks are overblown by a recent short report.
• LAC's Thacker Pass project has already produced lithium carbonate samples and utilizes proven technology and equipment.
• The U.S. government's aggressive plan to support the domestic supply chain includes a focus on lithium production, which bodes well for Lithium Americas' DoE loan.
• The stock is cheap based on even conservative feasibility studies for the Thacker Pass.

Lithium Americas Corp. ( LAC ) slumped to a new low on a new short report. The lithium miner faces normal risks from volatile lithium prices and dilutive financing in the future, but the risks are overblown by the report. My investment thesis remains ultra-Bullish on the stock on expectations of higher lithium prices in the future, while the company doesn't have any near-term supply impacted by the current low prices....

For further details see: