High Conviction: Take Profit Pilbara Minerals (PLS)
Our analysis indicates PLS demonstrated solid operational execution in Q1 FY26, achieving a 2% production increase to 224.8kt and a significant 24% jump in realized spodumene price to US$742/t. This, coupled with disciplined cost management resulting in a 9% year-on-year decrease in CIF costs to US$422/t, drove 30% revenue growth to A$251 million, exceeding analyst expectations on price and cost metrics. These fundamentals validate our earlier entry point and current valuation.
