Broker Eight Capital is upbeat on Advantage Lithium Corp (CVE:AAL,OTCQX:AVLIF) and rates its shares a 'buy' after recent drill results.
The broker targets C$1.90 for the shares against a current price of C$1.09.
Earlier the firm released sample results from the previously undrilled north west sector of the Cauchari joint venture property located in Jujuy Province, Argentina.
Initial samples from one hole returned an average of 635 mg/l (milligrams per litre) lithium and 4,772 mg/l potassium at a depth of 236 meters.
Eight Capital analyst David Talbot said: "This is the first drill testing of the Northwest area where there is no current resource estimate due to lack of information."
He noted that both holes were sunk near the boundary of the LAC resource.
"High grade lithium brine was identified in both holes during drilling, but only a few samples were taken as these holes were being drilled in preparation for systematic sampling that still needs to take place."
Talbot added: "Finding brine in the NW area, particularly near the alluvial fan, was never an easy feat.
"AAL took on technical risk when drilling the western hole, but helped mitigate by using an experienced driller who completed most of the production wells at the Olaroz mine."
Lithium explorer Advantage recently acquired around 84,701 hectares (Ha) in the Salta and Jujuy regions, including the flagship Cauchari joint venture project which is adjacent to Orocobre's and Lithium America's (LAC's) Cauchari-Olaroz deposits.