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Message: Zachs Investment Research issues a "Sell" recommendation re: LAC

https://etfdailynews.com/news/lithium-americas-nyselac-cut-to-sell-at-zacks-investment-research/

So..?   So what.  First of all, Zachs isn't exactly the most reputable source for either a positive or a negative recommendation.  Second, in the same article you will see some contradictory opinions that diverge completely from the prognositication of Zachs computer generated tea leaf reading:

"Other research analysts also recently issued research reports about the stock. Deutsche Bank Aktiengesellschaft upgraded shares of Lithium Americas from a hold rating to a buy rating and upped their target price for the stock from $31.00 to $34.00 in a research note on Monday, January 10th. upped their target price on shares of Lithium Americas from C$35.00 to C$46.00 and gave the stock a buy rating in a research note on Thursday, November 18th. Cowen upgraded shares of Lithium Americas from a market perform rating to an outperform rating and upped their target price for the stock from $30.00 to $40.00 in a research note on Wednesday, January 12th. TD Securities upped their target price on shares of Lithium Americas from C$36.00 to C$45.00 and gave the stock a hold rating in a research note on Thursday, November 18th. Finally, JPMorgan Chase & Co. upped their target price on shares of Lithium Americas from $28.00 to $39.00 and gave the stock an overweight rating in a research note on Friday, November 19th. One analyst has rated the stock with a sell rating, one has assigned a hold rating and ten have assigned a buy rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of Buy and a consensus target price of $39.45."

When you examine the fact that one analyst had a "Sell" rating, one analyst had a "Hold" rating and TEN analysts had a "Buy" rating then the disparity of these separate prognostications comes into question as far as the value of a Zachs rating is concerned.  In my opinion, they don't hold a candle to more legitimate forecasts for the future of LAC, such as JPMorgan Chase, MarketBeat, TD Securities, etc. 

Unless Zachs has a private channel into the mindset of Judge Du and has concluded that she definitely will rule in a substantially negative fashion against LAC's Thacker Pass Mine Project, then I don't put much credence into Zachs negativity regarding LAC.

Obviously, the validity of Zachs ratings isn't something that can be fairly evaluated absent the factor of time.  I suspect that by the end of 2022 there will be plenty of information and data back that will either support or submerge the Zachs prediction into obscurity as their recommendation relates to LAC and to do so in a substantial fashion.  At the present time my own prediction is in favor of the later vs the former of the two possibilities.  JMO

Okiedo

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