H.C. Wainwright analyst Heiko Ihle reiterated a Buy rating on Electra Battery Materials Corp yesterday and set a price target of $2.10.
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Heiko Ihle has given his Buy rating due to a combination of factors that strengthen Electra Battery Materials’ long‑term outlook, especially its updated supply agreement and refinery progress. The new binding term sheet with LG Energy Solution secures offtake for 60% of planned cobalt sulfate output through 2029, preserves 40% of capacity for direct exposure to spot pricing in a sharply rising market, and can be extended to 2032, supporting substantial revenue potential for a key North American supplier.
At the same time, the recently approved $73.0M construction budget and detailed timeline to reach commercial production by late 2027 improve visibility on project execution and de‑risk the ramp‑up of the cobalt sulfate refinery. Ihle’s valuation, based on a DCF of the refinery and the Iron Creek asset with a 10% discount rate and a 2.5x NAV multiple, results in a net asset value of about $491.8M, or $2.10 per share, which underpins his reiterated Buy recommendation and price target.
According to TipRanks, Ihle is a top 25 analyst with an average return of 60.9% and a 70.23% success rate. Ihle covers the Basic Materials sector, focusing on stocks such as Avino Silver & Gold, Drdgold, and Endeavour Silver.