Australian Lithium miners rally on strong Jefferies upgrade

Lake Resources NL

06/09/2022 06:56

** Shares of Australian Lithium miners jump, after brokerage
Jefferies warns of tight supply in the lithium market until 2025
and raise price estimates
    ** Pilbara Minerals Ltd  PLS.AX  gains as much as 7.2% to
hit a record high, while Allkem Ltd  AKE.AX , IGO Ltd  IGO.AX 
and Mineral Resources  MIN.AX  add 2.7%-4.9%
    ** Jefferies raised PT on IGO to A$16 from A$15.5, raises
AKE to A$15.5 from A$15 and ups PLS to A$4.20 from A$3.80
    ** IGO, MIN and PLS rated "buy"; AKE rated "hold"
    ** Brokerage also raises spodumene concentrate prices for Q3
and Q4 for FY22 by 38.2% and 31.4% from prior estimates; also
raises Lithium Carbonate and Lithium Hydroxide price estimates
    ** Expects demand to raise on stronger electric vehicle (EV)
outlook
    ** "We see upside in the lithium market into the end of the
year as market prices remain high" - Jefferies
    ** Says IGO and MIN are top picks in sector
    ** lithium stocks Lake Resources  LKE.AX  and Core Lithium
 CXO.AX  both jump over 9% and are the top gainers on the
benchmark index  .AXJO 
    ** PLS up 15.6% YTD, as of last close, while IGO, MIN and
AKE have risen 10.9%, 7% and 29.6%, respectively

 (Reporting by Nausheen Thusoo)
 ((Nausheen.Thusoo@thomsonreuters.com;))