On December 29, 2022, at 8:45 am, the Livent share is listed on the New York domestic market at a price of USD 19.52. The company belongs to the Specialty Chemicals segment.
To evaluate this course, we put Livent through a multi-step review process. This results in judgments as to whether Livent should be classified as a “buy”, “hold”, or “sell”. A final consolidation of these ratings results in the overall rating.
1. Sentiment and Buzz: Livent’s mood hasn’t changed significantly in recent weeks. A change of mood occurs when the mass of social media market participants, which form the basis of this assessment, have a tendency towards particularly positive or negative topics. Since Livent has not recorded any anomalies in this regard, we evaluate this criterion as “Hold”. In terms of the strength of the argument, or in other words, the variation in the number of seats, no significant differences could be identified. We honor this with a “Hold” rating. In summary, Livent gets a “Hold” for this level.
2. Fundamental: In our view, Livent is undervalued relative to the industry average (chemicals). The stock is trading at a price-to-earnings (P/E) ratio of 18.34, a 52% gap to the industry P/E of 38.45. This results in a “buy” recommendation on a fundamental basis.
3. Industry Comparison Share Price: The stock has returned -4.51% over the past year. Compared to stocks in the same sector (“Materials”), Livent is 68.86% below average (64.35%). The average annual yield for the securities of the same “Chimica” branch is 64.35%. Livent is currently 68.86% below this value. Due to the underperformance, we rate the stock as a “Sell” at this level.
Should Livent investors sell immediately? Or is it worth starting?
How will Livent develop now? Is it worth entering, or should investors rather sell? Find out the answers to these questions and why you need to act now in Livent’s current analysis.
