Deutsche Bank analysts David Begleiter and Corinne Blanchard reaffirm a bullish 12 months and beyond view on the lithium industry, but rethink the firm’s near-term view and become neutral on the space. On the short-term, Deutsche adopts a "cautious tone," citing uncertainties around an electric vehicle demand rebound in China and bottom of cathode materials inventory destocking. These two variables will be key factors to see the Chinese spot pricing to stabilize and eventually rebound, but it is "still too early to pinpoint the turning point," the firm tells investors in a research note. Until those two events happen, Deutsche sees a lack of clear upside catalyst and path for lithium equities. It has Buy ratings on both Albemarle and SQM (SQM).
Published first on TheFly
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