Thoughts on Pilbara Minerals (PLS) – Hold/Sell/Buy?

Could you please give me your thoughts on PLS? Are they a hold/sell/or buy?

I have a considerable amount of money paid up in them and they stand me 68 cents!!

I would really appreciate your opinion.

A: I am no expert on the lithium market except to note that it was unquestionably over-hyped. If I did want to play in lithium, it would be through an established producer rather than a developing producer in Pilbara Minerals (PLS).


Of the major brokers who do cover it, Credit Suisse has a target price of $0.90 and an outperform, and there are 2 neutral recommendations from Citi and Ord Minnett (J P Morgan) with a target of $0.60. Macquarie has a ‘no -rating’.


To quote from Credit Suisse:  “FY 19 results were in line. Cash is clearly tight for a single-asset operation, with uncertain cash inflows stemming from market weakness.”

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