Electra Battery price target lowered to $1 from $1.50 at Alliance Global

Alliance Global Partners lowered the firm’s price target on Electra Battery Materials to $1 from $1.50 and keeps a Buy rating on the shares. The company reported Q2 results and said it reached an agreement with existing convertible noteholders for the accrued interest to be paid in kind rather than paid in cash, the analyst tells investors in a research note. The firm views this as an important step to preserve cash given Electra’s current capital constraints. AGP recognizes cost overruns at the cobalt refinery and funding hurdles continue will weigh on the stock, but believes Electra remains positioned to become a significant supplier of battery materials to North American markets in the coming years following the completion of a funding package.