Key Points
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J.P. Morgan downgraded Lithium Americas to Sell from Hold, setting a $5 price target, implying nearly 50% downside from Wednesday’s closing price.
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The downgrade follows a nearly 200% rally in Lithium Americas’ stock over the past month, driven by China’s threatened export restrictions on rare-earth minerals.
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Only 13% of analysts rate Lithium Americas as a Buy, significantly lower than the S&P 500 average of approximately 55%.