AKE - Credit Suisse rates the stock as Neutral
PUBLISHED
2022-07-11
Content
Analysts at Credit Suisse are now seriously contemplating the prospect of economic recession ahead. A general sector update highlights near-term downside risks for iron ore and EV battery materials while spot prices for base metals have now fallen below the broker's forecasts.
All in all, Credit Suisse remains constructive on iron ore, coal and aluminium, but thinks copper has further to fall. For the miners, the broker is concerned about rising costs.
Credit Suisse is worried a recession might have a rather pronounced impact on the lithium price, and thus the sector. Target price for Allkem has been reduced to $11 from $14.70. Neutral.
Sector: 0.
Target price is $11.00.Current Price is $10.42. Difference: $0.58 - (brackets indicate current price is over target). If AKE meets the Credit Suisse target it will return approximately 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).