Pay close attention to lithium stocks.
That includes Albemarle (ALB), Lithium Americas (LAC), and American Lithium Corp. (LIACF). All thanks to rising lithium prices, news major auto companies are increasing their investments in the metal. For example, General Motors just said it’ll boost spending on electric vehicles by $35 billion through 2025.
“GM said it will make a multimillion-dollar investment in and help develop Controlled Thermal Resources (CTR) Ltd’s Hell’s Kitchen geothermal brine project near California’s Salton Sea, roughly 160 miles (258 km) southeast of Los Angeles.”
That could force other automakers to seek out lithium deals of their own, as well.
Plus, according to a new study by Ernst & Young, electric vehicles could outpace combustion engines in the next 12 years in the U.S., Europe, and China, according to The Street, which will increase the need for lithium even more. “By 2045, non-EV sales were seen plummeting to less than 1% of the global car market.”