Professional
Added to YB: 2024-03-07
Pitch date: 2024-03-06
SQM [bullish]
Sociedad Química y Minera de Chile S.A.
+71.54%
current return
Author Info
No bio for this author
Company Info
Sociedad Química y Minera de Chile S.A. produces and sells specialty plant nutrients, and iodine and its derivatives in Chile, Latin America, the Caribbean, Europe, North America, Asia, and internationally.
Market Cap
N/A
Pitch Price
$46.22
Price Target
95.00 (+20%)
Dividend
N/A
EV/EBITDA
18.21
P/E
N/A
EV/Sales
5.98
Sector
Chemicals
Category
growth
Sociedad Química y Minera de Chile S.A.: Supply Discipline Will Support Lithium Price Recovery
SQM undervalued with $95 PT vs trading at half; bullish on lithium, iodine, fertilizers. Despite '24 lithium sales dip from pricing pressures, disciplined supply hints at year-end deficit. Holds high-grade Salar de Atacama deposit, expanding; Mount Holland and Azure Minerals deals boost Aus presence. Largest global iodine producer, banking on high-purity lithium demand. Narrow Moat, ESG challenges, political risks in Chile JV. Strong balance sheet; management invests in cost-effective lithium production, capacity expansion, eyeing EV-driven growth.
Read full article (11 min)