SQM price target lowered to $55 from $62.80 at Jefferies

Jefferies lowered the firm’s price target on SQM to $55 from $62.80 and keeps a Buy rating on the shares. SQM’s Q2 results conveyed the “clear message” that despite low lithium prices, SQM’s main projects remain a priority and the firm aims to grow 2025 sales volumes. Although it makes strategic sense for SQM to keep a volume maximization strategy, this may not help rebalance the lithium market in the near-term, says the analyst, who cut FY24-25 EBITDA estimates for SQM by 14% given a “more conservative prices/cost” view.