The Liontown Resources Ltd (ASX: LTR) share price is having a decent session.
In afternoon trade, the lithium miner's shares are up 1% to $2.90.
This means the Liontown share price is now up almost 170% over the last 12 months, as you can see on the chart below.
The majority of this gain has of course come since the company received and quickly rejected a takeover approach from Albemarle.
Investors may now be wondering if there are more gains to come or if its shares have peaked. Let's find out.
Image source: Getty Images
What are brokers saying about the Liontown share price?
Most brokers are sitting on the fence right now and have the equivalent of hold ratings. However, there are a couple that believes its shares can rise from here.
Macquarie has an outperform rating and a $3 price target on the company's shares and Bell Potter has a buy rating and a $3.35 price target on them. The latter implies a potential upside of 15.5% for investors over the next 12 months.
Bell Potter believes that Albemarle's takeover approach demonstrates the quality and scarcity of Liontown's assets. It said:
The corporate interest in LTR from a high-profile US-based industry participant speaks to the quality of Kathleen Valley and the scarcity of growth opportunities in the sector. We view the value of ALB's proposal as reasonable, but not full; with additional value to be argued from LTR's de-risking of Kathleen Valley, downstream projects and complementary ESG strategy and location. We also believe LTR will ultimately be capable of realising this value in the absence of a corporate tie-up.
All in all, Bell Potter appears to believe Liontown could be a top option for investors looking for lithium exposure.
