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Livent Corp LTHM

Morningstar Rating
Rating as of

Morningstar’s Analysis

Valuation
Currency in USD
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1-Star Price

PREMIUM

5-Star Price

PREMIUM

Economic Moat

PREMIUM

Capital Allocation

PREMIUM

Raising Livent's Fair Value Estimate to $17 on Improved Outlook; Shares Fairly Valued

Seth Goldstein, CFA Senior Equity Analyst

Analyst Note

| Seth Goldstein, CFA |

Having updated our model to reflect our improved near- and medium-term outlook for Livent, we raise our fair value estimate to $17 per share from $14. Our narrow-moat rating is unchanged. At current prices, we view Livent shares as fairly valued with the stock trading just above our fair value estimate.

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Company Profile

Business Description

Livent is a pure-play lithium producer formed when FMC spun off its lithium business in October 2018. Livent 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 brine resources in Argentina. Livent also operates downstream lithium hydroxide conversion plants in the United States and China and has a 25% stake in a fully integrated Canadian lithium project.

Contact
2929 Walnut Street
Philadelphia, PA, 19104
T +1 215 299-5900
Sector Basic Materials
Industry Specialty Chemicals
Most Recent Earnings Mar 31, 2021
Fiscal Year End Dec 31, 2021
Stock Type Distressed
Employees 906

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