SQM price target raised to $53 from $49 at BofA

BofA raised the firm’s price target on SQM (SQM) to $53 from $49 and keeps an Underperform rating on the shares. Noting that lithium prices rallied 150% since last June on supply cuts and demand strengthening, the firm raised its 2026 EBITDA estimate for SQM by 41% to $3.6B, or 17% above consensus, on a higher lithium price assumption. However, it thinks the current premium is “unjustified” as BofA expects prices to peak in 2026, adding that the correction “shouldn’t be as sharp as in previous cycles.”