While an offtake agreement for the supply of spodumene concentrate from Kathleen Valley had already been announced, both Liontown Resources and Tesla have now released additional details in a full-form agreement.
Having already secured and agreement with LG Energy Solutions in May, Macquarie feels that securing a third and final offtake partner would be a near-term catalyst for the stock price. The Outperform rating and $2.50 target are retained.
Sector: Materials.
Target price is $2.50.Current Price is $1.24. Difference: $1.26 – (brackets indicate current price is over target). If LTR meets the Macquarie target it will return approximately 50% (excluding dividends, fees and charges – negative figures indicate an expected loss).
