Volatility Is Your Friend: Lithium Americas (Argentina) Corp (LAAC) Is Hot Again

Lithium Americas (Argentina) Corp (NYSE:LAAC) does about 1.65M shares in volume on a normal day but saw 1236625 shares change hands in Friday’s trading. The company now has a market cap of 837.77M USD. Its current market price is $5.21, marking a decrease of -5.44% compared to the previous close of $5.51. The 52 week high reached by this stock is $9.39 whilst the lowest price level in 52 weeks is $3.84.

Lithium Americas (Argentina) Corp (LAAC) has a 20-day trading average at $5.14 and the current price is -44.52% off the 52-week high compared with 35.68% distance from its 52-week low. The 50-day simple moving average of the closing price is $5.16. If we look at the stock’s price movements over the week, volatility stands at 5.53%, which decreases to 5.09% over 1 month. It is also key to look at other market indicators of price movement for the stock, where we see that the relative strength index (RSI) is at 50.56 to suggest the stock is neutral.

The consensus objective for the share price is $8.57, suggesting that the stock has a potential upside of 39.21% over the period.

The company shares received a number of brokerage firm price updates over the past month, with the latest being on March 22, 2024 when Scotiabank upgraded the stock to “Sector Outperform” and issued a price target of $8. Deutsche Bank downgraded the stock to “Hold” from Buy on January 11, 2024 at a price target of $9-$6.50.

Lithium Americas (Argentina) Corp (LAAC) stock is up 1.76% over the week and -6.80% over the past month. Its price is -17.56% year-to-date and -40.82% over the past year.

To reach the target analysts have set, the stock logically needs to grow 39.21 percent from here.

The company has a return on investment of -1.11% and return on equity of -1.11%. The forward price to earnings ratio is 6.59. The beta has a value of 1.41. Price to book ratio is 1.01.