Albemarle downgraded to Underperform from Neutral at BofA

BofA downgraded Albemarle to Underperform from Neutral with a price target of $195, down from $262. Lithium carbonate prices in China continue to contract, which creates earnings risk for Albemarle, the analyst tells investors in a research note. The firm cut estimates for the company to reflect softer chemical markets and a reversal in spodumene price through its joint venture structure. The latter could be an $800M headwind to EBITDA which is underappreciated by investors, contends BofA.