Stock Price & Analysis

Based on the provided data and current market conditions, here's a concise analysis of SQM stock:

Technical Analysis

The stock is showing bearish momentum in the short term, with prices declining from around $50 in late 2024 to current levels near $39. The stock has formed a series of lower highs and lower lows, indicating a downward trend.

Fundamental Metrics

Recent Developments

• SQM has a strategic partnership with Codelco until 2060 for lithium production in the Atacama salt flats
• The company maintained an 18% share of the global lithium market in 2023
• Q3 2024 showed mixed results with lithium sales volumes up 18% YoY but prices declined 24% QoQ due to oversupply

Analyst Sentiment

Recent analyst actions show mixed views:

• Jefferies maintains Strong Buy with $55 PT (43.87% upside)
• B of A Securities rates it Sell with $38 PT
• Berenberg initiated coverage with Hold rating at $35

Sell Recommendation Given the following factors:

• Continued downward price momentum
• Oversupply issues in lithium market affecting prices
• Technical indicators showing bearish signals
• Stock trading below key moving averages

The current market conditions and technical setup suggest selling SQM stock at current levels. Consider re-evaluating once the price shows clear signs of trend reversal or lithium market fundamentals improve.

Based on the provided data and market analysis, here is the price prediction for SQM stock in 2025:

Technical Analysis

• Current price is trading at $39.73, showing consolidation between $36-$40 range
• RSI-14 at 54.14 indicates neutral momentum
• MACD shows slight bullish divergence with positive values
• Price is trading above all major moving averages (5,10,20,60-day SMAs)

Fundamental Drivers

• SQM's joint venture with Codelco for Atacama salt flats lithium mining is progressing, with operations expected by 2030
• The company maintains its position as one of the top 3 global lithium producers alongside Albemarle and ahead of Rio Tinto's upcoming expansion
• Lithium market fundamentals remain supportive with growing EV adoption

2025 Price Target: $45-48 The stock is likely to trade higher based on:

• Technical breakout above $40 resistance level appears imminent
• Strong lithium market positioning and strategic partnerships
• Current price represents attractive entry point after recent consolidation

The target represents approximately 13-20% upside from current levels, supported by both technical and fundamental factors. Key risks include lithium price volatility and potential delays in strategic initiatives.

The S1 support level for SQM Stock is $37.73 ,The R1 resistant level for SQM Stock is $40.17.

As of the end of day on 2025-02-26, the price of SQM Stock was $39.475.

The target price for SQM Stock according to analyst rating is 49.00, with the highest price target at 60.00 and the lowest at 37.00. Analysts have a Moderate Buy rating on SQM Stock overall.

The market cap of SQM is $11.4B.

Based on the provided financial data and market analysis, SQM appears to be overvalued at its current price of $39.73 for several key reasons. The company's revenue declined significantly by 30% year-over-year in FY2023 to $7.47B from $10.71B in FY2022. Net income dropped even more dramatically by 48% to $2.01B from $3.91B. Gross margins deteriorated substantially from 53.6% to 41.2%, while ROE plummeted from 96.7% to 38.6%. The current technical indicators show bearish signals with RSI at 54.14 and MACD divergence, suggesting further downside potential. The stock is trading above its 20-day moving average of $39.05, indicating it's currently overbought relative to recent price action.

Sociedad Quimica y Minera de Chile S.A. (SQM), is a producer of potassium nitrate and iodine. The Company produces specialty plant nutrients, iodine derivatives, lithium and its derivatives, potassium chloride, potassium sulfate and certain industrial chemicals. Its segments include specialty plant nutrients, industrial chemicals, iodine and derivatives, lithium and derivatives, potassium, and other products and services. Specialty plant nutrients are fertilizers that enable farmers to improve yields and the quality of certain crops. Industrial chemicals have a range of applications in chemical processes, such as the manufacturing of glass and industrial nitrates. Iodine and its derivatives are used in the X-ray contrast media and biocides industries, among others. Lithium and its derivatives are used in batteries, greases and frits for production of ceramics. Potassium chloride is a commodity fertilizer that is produced and sold by the Company across the world.

Based on the available data and market analysis, here is the 2030 price prediction for SQM stock:

SQM stock is projected to reach $85-90 by 2030, representing a ~115% upside from current levels around $40. This forecast is driven by SQM's dominant position in the global lithium market and strategic partnerships, despite near-term lithium price pressures. The company's joint venture with Codelco to mine the Atacama salt flats through 2060 and operations expected to begin by 2030 will provide significant revenue streams.

The bearish case of $60-65 could materialize if lithium oversupply persists and EV adoption remains slower than expected. However, the bullish case of $110-120 is possible if lithium demand accelerates and SQM successfully executes its expansion plans while maintaining cost advantages.

SQM has a total of 7682 employees.