Shareholders were spooked by dilution concerns. What happened Shares of Australian -- soon to be American -- mining company Piedmont Lithium (PLL) were trading down by as much as 23.5% on Wednesday morning after management announced plans to float 1.75 million new American Depositary Shares (ADS) at $70 apiece.
Full Answer
Is Piedmont lithium (PLL) the average stock of the day?
The NAL PFS contemplates average Stock Of The Day: Piedmont Lithium rebounded off key support. But it's not all roses for PLL stock, which surged in 2021 on a Tesla supply deal. One's an industrial conglomerate, one's a mineral extractor, and the last is a specialty software player -- and all have delivered for shareholders this year.
Why are lithium stocks getting hit hard today?
Lithium stocks are getting hit hard today on a couple of key catalysts. Goldman Sachs has released a report highlighting what it believes could be a case for peak lithium. Argentina is putting a floor under lithium prices. Certain pockets of the market are performing better than others today.
Will Piedmont lithium (PLL) outperform or underperform the S&P 500?
MarketBeat's community ratings are surveys of what our community members think about Piedmont Lithium and other stocks. Vote “Outperform” if you believe PLL will outperform the S&P 500 over the long term. Vote “Underperform” if you believe PLL will underperform the S&P 500 over the long term.
Is PLL stock worth buying?
Out of 3 analysts, 2 (66.67%) are recommending PLL as a Strong Buy, 1 (33.33%) are recommending PLL as a Buy, 0 (0%) are recommending PLL as a Hold, 0 (0%) are recommending PLL as a Sell, and 0 (0%) are recommending PLL as a Strong Sell. What is PLL's earnings growth forecast for 2022-2024?
Will PLL stock recover?
Based on our forecasts, a long-term increase is expected, the "PLL" stock price prognosis for 2027-06-04 is 97.108 USD. With a 5-year investment, the revenue is expected to be around +82.02%. Your current $100 investment may be up to $182.02 in 2027.
Why is PLL stock suspended?
Piedmont Lithium (ASX:PLL) shares in trading halt after proposed US public offering. Piedmont Lithium Ltd (ASX: PLL) shares have been put into a trading halt after the mining company announced a US public offering.
Why is Piedmont lithium stock down?
Piedmont Lithium Inc. shares were down 11% to $67.02 in premarket trading after the company said it priced an upsized underwritten public offering of 1.75 million common shares at $65 a share.
Will PLL go up?
Piedmont Lithium Inc (NASDAQ:PLL) The 7 analysts offering 12-month price forecasts for Piedmont Lithium Inc have a median target of 95.00, with a high estimate of 124.00 and a low estimate of 85.00. The median estimate represents a +81.96% increase from the last price of 52.21.
What is the best lithium stock?
The Best Lithium Stocks of June 2022Albemarle (ALB) Albemarle is a specialty chemicals company and a leading producer of lithium, bromine and refining catalysts. ... Sociedad Química y Minera de Chile (SQM) ... Lithium Americas Corporation (LAC) ... Piedmont Lithium Limited (PLL) ... Livent Corporation (LTHM) ... Ganfeng Lithium (GNENF)
Should I invest Piedmont lithium?
Piedmont Lithium Inc. may be overvalued. Its Value Score of D indicates it would be a bad pick for value investors. The financial health and growth prospects of PLL, demonstrate its potential to underperform the market. It currently has a Growth Score of C.
Is Piedmont Lithium Inc a good investment?
Piedmont Lithium has received a consensus rating of Buy. The company's average rating score is 3.00, and is based on 7 buy ratings, no hold ratings, and no sell ratings.
Why is Piedmont lithium stock going up?
Piedmont Lithium Stock Showing Rising Relative Price Strength. Piedmont Lithium shows rising price performance, earning an upgrade to its IBD Relative Strength Rating.
Is Piedmont lithium overvalued?
Piedmont Lithium does seem significantly overvalued for what is actually on offer. Being able to process a spodumene derived lithium concentrate into battery material has value, but this much? Spodumene mining itself looks overvalued at this price - this is the marginal source of lithium after all.
Is Piedmont lithium an American company?
Piedmont Lithium is an Australian mining company currently in the process of proving economic mineral recovery of lithium in North Carolina.
How important was this mine to the Piedmont Lithium share price?
Initially, the Piedmont Lithium share price partially rebounded on the news of the presentation to the county. However, the market seems to think the presentation was more a fizzer than a lifesaver for the project.
Piedmont Lithium share price snapshot
Despite recent difficulties, the Piedmont Lithium share price is still 590% higher than this time last year.
What is Piedmont Lithium?
Specifically, Piedmont Lithium is a supplier of lithium hydroxide, which is used in lithium-ion batteries. The company has a five-year binding agreement with Tesla (NASDAQ:TSLA). The agreement is at a fixed price, with first shipment expected in 2022-23.
Is Piedmont Lithium a lithium company?
Despite a recent dip in the stock, the rally can be explained by the fact that Piedmont Lithium is an emerging lithium chemicals company. Estimates suggest that global lithium demand will more than double by 2024, backed by strong growth in the electric vehicle (EV) industry.
Shareholders were spooked by dilution concerns
I like things that go "boom." Sonic or otherwise, that means I tend to gravitate towards defense and aerospace stocks. But to tell the truth, over the course of a dozen years writing for The Motley Fool, I have covered -- and continue to cover -- everything from retailers to consumer goods stocks, and from tech to banks to insurers as well.
What happened
Shares of Australian -- soon to be American -- mining company Piedmont Lithium ( NASDAQ:PLL) were trading down by as much as 23.5% on Wednesday morning after management announced plans to float 1.75 million new American Depositary Shares (ADS) at $70 apiece. As of 12:10 pm. EDT, they were off by 18.3%.
So what
Piedmont's offering includes an overallotment option that would permit its underwriters to buy up to 262,500 additional ADSes, raising the total amount of potential new ADSes to just over 2 million, and the total cash haul for the company to almost $140.1 million, before deduction of fees and costs.
Now what
Suffice it to say that, bad as the dilution may hurt today, it's crucial that Piedmont get access to the cash it needs to begin production -- or else its stock might not be worth anything at all.
When is the PLL class action lawsuit?
("Piedmont" or the "Company") (NASDAQ: PLL) from March 16, 2018 through July 19, 2021 (the "Class Period").
Who is the CEO of Piedmont Lithium?
Reporting to the CEO, Keith Phillips, Mr. White brings deep accounting and finance experience to Piedmont, and will oversee the Company’s financial accounting and reporting, budgeting
Why the Piedmont Lithium share price is tumbling
Reuters has flagged a major shortcoming for Piedmont Lithium’s plans to become the “USA’s number one lithium hydroxide producer”.
When did they expect to receive these permits?
According to a company presentation from November 2020, permitting for spodumene concentrate production and its chemical plant were expected to be complete by mid-2021.
