Rising, global demand for electric vehicles could send lithium prices even higher.
According to The Economic Times, “A surge in demand for electric vehicles worldwide along with increasing pressure on the supply chain of materials that go into EV batteries has seen an unprecedented rise in prices of those same materials this year. In the first half of this year, prices of lithium have jumped over 7-fold while cobalt prices have more than doubled. What is worse, this is likely to be a recurring theme in times to come as mass adoption of EVs takes off putting pressure on the supply chain that cannot cope with the demand.”
Look at Piedmont Lithium (PLL), for example.
After falling from $67.50 to about $$33, it’s starting to pivot higher. From a current price of $38.56, we’d like to see the PLL stock closer to $50, near-term. Helping, CFO Michael White recently added 2,700 shares for about $101,000. The buy comes just weeks after a Director bought another 2,500 shares of PLL. Even better, PLL was recently added to the Russell 2000.
Or, look at Albemarle (ALB). Over the last few days, the ALB stock bounced from double bottom support around $190 to $225.60. From here, if it can break above its 50- and 200-day moving averages, it could potentially test $240, near-term.
There’s also Lithium Americas (LAC), which just broke above prior resistance around $23.19. From a current price of $23.76, we’d like to see LAC test $28 resistance next.
It’s just something to keep in mind, if you’re looking for hot opportunities.