The coronavirus pandemic has impacted virtually every industry in some way. For many industries, including lithium, the negative stock numbers were only temporary and will rebound eventually if they have not already. Lithium is around us everywhere you look and there’s no replacement for it. The world has developed its businesses and lifestyles around lithium and this is not expected to change any time soon. Innovations provide investment opportunities that could benefit an investor for years to come. Despite the recent market irrationality, here are some companies with promising stock futures in lithium.
Tesla has always provided somewhat risky investment opportunities, but investors continue to be attracted to the company due to sky-high potential. This potential may be increasing even more with the recent news that Tesla is pursuing mining their lithium batteries in-house. As the electric car industry continues to gain popularity worldwide, Tesla is usually the first company people think of. And now their stock futures may be skyrocketing even more if they can pull off the mining of their own lithium batteries rather than getting them from a supplier.
Power Metals has made headlines recently due to their exploration of mining hard rock to discover lithium. This mining process is beneficial because it is unaffected by the weather, unlike other processes. With the demand for lithium on the rise and not having a surplus of the metal on-hand, the hard rock mining process could be a game-changer and set Power Metals apart from its competitors. There’s no guarantee that this newfound mining process will bring great results as expected, but with shares being low, the risk for an investor is also low.
An investor who wants to diversify their lithium portfolio can look into Galaxy Resources. The projects Galaxy Resources work on are primarily in Canada, Argentina and Australia, which provide a reliable supply and are stable countries for the most part. As geopolitical concerns continue to heighten in countries worldwide, stability is becoming an important characteristic for an investor to mitigate risk. The price point of Galaxy Resources is low, but offers good potential upside.
Albemarle is a well-known company in the lithium industry. While their stock futures did not look promising at the beginning of the coronavirus pandemic, they have rebounded nicely as order backlogs have begun getting filled. Albemarle is considered by many industry experts to be a risky investment due to their frequent mixed earning reports, but they also are viewed as being a major beneficiary if the electric vehicle industry takes off as expected.
Stock Investing Info sees major potential investment opportunities in lithium in the future. The hard part is deciding which lithium stocks to invest in. Depending on your investment strategies, diversifying your lithium portfolio could be a great option since there is still a level of uncertainty in the industry. We can talk through various scenarios and strategies with you, so don’t hesitate to contact us at any time for tips or advice.