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Arcadium Lithium PLC ALTM

Morningstar Rating
$3.87 −0.07 (1.78%)
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Company Report

Price vs Fair Value

ALTM is trading at a 72% discount.
Price
$3.94
Fair Value
$15.00
Uncertainty
Very High
1-Star Price
$92.70
5-Star Price
$4.00
Economic Moat
Ljbbk
Capital Allocation
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Bulls Say, Bears Say

Bulls

Lithium prices will remain well above the marginal cost of production through at least the remainder of the decade, leading to excess profits and return on invested capital for Arcadium.

Bears

Lithium prices will fall as new supply comes online faster than demand, which will weigh on profitability. Arcadium's plans to increase its lithium production capacity could prove value-destructive in the wake of lower prices.

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News

Trading Information

Previous Close Price
$3.94
Day Range
$3.803.97
52-Week Range
$3.677.27
Bid/Ask
$3.83 / $3.87
Market Cap
$4.16 Bil
Volume/Avg
9.0 Mil / 11.4 Mil

Key Statistics

Price/Earnings (Normalized)
4.86
Price/Sales
2.16
Dividend Yield (Trailing)
Dividend Yield (Forward)
Total Yield

Company Profile

Arcadium Lithium is a pure-play lithium producer that was formed in the Allkem-Livent merger in January 2024. Arcadium should benefit from increased lithium demand via higher electric vehicle adoption, as lithium is a key component of EV batteries. The company's low-cost lithium carbonate production comes from two brine resources in Argentina. Arcadium also produces spodumene, a hard rock lithium upstream concentrate, from a mine in Australia and operates downstream lithium hydroxide conversion plants in the United States and China.
Sector
Basic Materials
Industry
Specialty Chemicals
Stock Style Box
Small Growth
Total Number of Employees
1,350

Competitors

Valuation

Metric
ALTM
LAAC
ALB
Price/Earnings (Normalized)
4.86159.595.14
Price/Book Value
0.980.981.42
Price/Sales
2.161.40
Price/Cash Flow
4.610.654.73
Price/Earnings
ALTM
LAAC
ALB

Financial Strength

Metric
ALTM
LAAC
ALB
Quick Ratio
1.908.700.77
Current Ratio
3.469.161.47
Interest Coverage
−0.062.71
Quick Ratio
ALTM
LAAC
ALB

Profitability

Metric
ALTM
LAAC
ALB
Return on Assets (Normalized)
18.77%0.39%14.67%
Return on Equity (Normalized)
26.41%0.49%28.28%
Return on Invested Capital (Normalized)
22.73%−1.09%20.38%
Return on Assets
ALTM
LAAC
ALB
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