Albemarle (ALB) is likely to continue growing volumes over the coming years from mostly brownfield at Wodgina, Atacama productivity, and opportunities at its Kings Mountain and Antofalla hubs, RBC Capital Markets said in a Monday research report.
The company's cost reductions alongside higher lithium prices also continue to drive earnings upside. Lithium supply is expected to remain tight through 2027, and the market is likely to remain balanced to under-supplied through 2050 from continued demand growth into electric vehicles, analysts wrote.
RBC stated it now expects 2026 and 2027 EBITDA of $2.8 billion and $2.9 billion, respectively, from $2.7 billion and $2.77 billion earlier. For Q2, it expects EBITDA of $720 million from $680 million earlier.
The brokerage said it reiterated its outperform rating on the stock and boosted its price target to $257 per share from $253.
Price: 177.30, Change: +5.72, Percent Change: +3.33
Comments