Australia's Core Lithium top loser on ASX 200, Citi cuts PT

Core Lithium

25/07/2023 02:05

** Shares of Core Lithium  CXO.AX  extend losses, sliding as
much as 14.6% to A$0.615 
    ** Stock top loser on the benchmark ASX 200 index  .AXJO 
    ** CXO on Monday posted a more than four-fold jump in Q4
spodumene production from Q3
    ** Co, however, flagged production in FY25 expected to be
below FY24
    ** CXO set for worst day since Jan 10, 2022, if current
losses hold
    ** Citi cuts price target to A$0.5 from A$0.80, maintains
"sell" rating
    ** Expects costs for Core Lithium to remain elevated until
FY27 
    ** Brokerage halves its FY24 EBITDA forecast to A$195 mln
($131.22 mln)
    ** Core Lithium's FY24 spodumene production guidance,
however, beats Citi's estimates     
    ** Two of nine analysts rate the stock "buy" or higher, two
"hold" and five "sell" or lower; their median PT is A$0.78 –
Refinitiv Eikon data 
    ** Stock had slipped 29.8% this year, as of last close 
    
($1 = 1.4861 Australian dollars)

 (Reporting by Navya Mittal in Bengaluru)
 ((navya.mittal@thomsonreuters.com))