Core Lithium Ltd (ASX: CXO) shares have been under pressure this week.
Since the close of play last Friday, the lithium miner's shares have lost almost 10% of their value.
This leaves them trading within a single cent of a record low.
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Why are Core Lithium shares falling?
Investors have been hitting the sell button this week after the lithium miner released its half-year results.
Core Lithium reported revenue of $134.8 million but a loss after tax of $167.6 million. This was driven by weak lithium prices, impairments, and the suspension of its mining operations.
In addition, the company surprised the market with the announcement of the exit of its CEO, Gareth Manderson.
Are the declines over?
Unfortunately, a couple of leading brokers believe that Core Lithium shares can still fall heavily from current levels.
For example, the team at Goldman Sachs responded to the results release by reiterating its sell rating and cutting its price target to 13 cents (from 14 cents).
Based on its current share price of 19 cents, this implies potential downside of 31.5% for investors.
Goldman continues to believe that "CXO appears relatively expensive trading at a premium on ~1.5x NAV (peer average ~1.15x), with ongoing risk to Finniss restart timing."
In addition, it thinks that "a near-term restart of the Finniss operation is increasingly unlikely."
As a result, Goldman is forecasting revenue of just $17.8 million from Core Lithium in FY 2025.
Citi is feeling even more bearish
Analysts at Citi believe that Core Lithium's shares could fall even further from current levels.
According to a note from this week, the broker has reaffirmed its sell rating with a reduced price target of just 11 cents.
This suggests that the company's shares could crash a further 42% from where they trade today.
All in all, these brokers don't appear to believe the pain is over for the lithium miner's shares unfortunately.
