- Tianqi Lithium reported a net loss of 5.21 billion yuan for the first half of 2024.
- This is a significant drop from a profit of 6.45 billion yuan in the same period last year.
- The company’s revenue fell by 74% year-over-year, coming in at 6.42 billion yuan.
- This revenue figure surpassed estimates, which were at 5.87 billion yuan.
- Return on average equity was -10.7%, a sharp decline from 12.3% last year.
- Loss per share was 3.18 yuan, compared to earnings per share of 3.93 yuan in the previous year.
- Analyst ratings include 23 buys, 1 hold, and 6 sells.
Tianqi Lithium on Smartkarma
Analyst coverage on Tianqi Lithium on Smartkarma has highlighted concerns about the company’s financial performance. Caixin Global reported on Tianqi Lithium‘s forecasted net loss exceeding $670 million for the first half of the year due to plummeting lithium prices. The research points to the challenges faced by producers of this essential battery raw material, resulting in a significant impact on Tianqi’s bottom line. The bearish sentiment reflected in the report indicates a cautious outlook on Tianqi’s financial health amid the pricing pressures in the lithium market.
A look at Tianqi Lithium Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 5 | |
| Dividend | 5 | |
| Growth | 4 | |
| Resilience | 3 | |
| Momentum | 2 | |
| OVERALL SMART SCORE | 3.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, Tianqi Lithium‘s long-term outlook appears promising. With top scores in both Value and Dividend categories, the company showcases strong fundamentals and a commitment to rewarding investors. While Growth and Resilience scores are also solid, indicating potential for expansion and a sturdy business model, there may be some challenges in maintaining Momentum.
Sichuan Tianqi Lithium Industries, Inc. is a company focused on developing, manufacturing, and selling various lithium products, including industrial lithium carbonate, battery lithium carbonate, lithium chloride, and lithium hydroxide. With a combination of high scores in Value and Dividend, Tianqi Lithium stands out as a strong player in the lithium industry, primed for continued growth and shareholder returns.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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