Hello everyone, great to have your company on Kalkine TV. I'm Holly, and you're watching
Buzzing Trends. Today will be discussing Lithium producers that have given over 50% returns
in the last 12 months. Before we dive into such stocks first, let's first look at the
growing prominence of Lithium in recent years.
Lithium is one of the major elements used in the production of batteries, which form
the core of EVs. With the rise in electric vehicles production globally, demand for the
key element in modern batteries has surpassed fresh supplies. According to the International
Energy Agency, the electric vehicles' global sales doubled last year. The global EV market
will likely grow to 145 million vehicles by 2030 from 11 million cars in 2020. It will
result in high demand for batteries, generating nearly 80% demand for Lithium as early as
2025 compared to 60% in 2019. In such a scenario, where lithium prices are expected to remain
elevated, lithium feedstock producers are expected to see a favourable economic environment.
In the last twelve months, Lithium prices have soared more than 500%, with electric
vehicles batteries accounting for nearly 70% of global lithium demand. This has mainly
driven investors' interest in the ASX-listed lithium shares. On this note, let's discuss
three ASX-listed lithium producers who have given returns of over 50% in the past year.
First stock on our list is Allkem.
The company was formed as a result of the merger between Galaxy Resources and Orocobre
in 2021. Allkem is a minerals exploration and production company with focus on developing
lithium and potash resources in Argentina. The stock has delivered a return of over 57% in
the past year. However, the stock is up over 1% on a year-to-date basis. Meanwhile, Allkem
was commanding US$796 per dry metric tonne for spodumene concentrate in the September
quarter. The stock is currently trading at AU$11.03 down by 2.56%.
Next, we move onto Core Lithium. This ASX listed company is engaged in discovery and
exploration of mineral deposits including lithium in Northern Territory and South Australia.
The stock has delivered a return of over 375% in the past year. However, the stock is up
over 81% on a year-to-date basis. The company last week announced that it had inked a crushing
services contract for its Finniss Lithium Project. Core Lithium stock is currently
trading at AU$1.14 down by 0.87%.
The last stock on our list is Scorpion Minerals. This is an Australian mineral exploration
and resource development company with projects in West Africa and Australia. The stock
has delivered a return of 62% in the past year. However, the stock is up over 15% on
a year-to-date basis. The lithium firm recently raised funds worth AU$3.18 million to explore
lithium and other metals at the Pharos Project in Western Australia. Scorpion Minerals
stock is currently trading at 77 cents down by 6.10%.
All in all, these lithium producers have given impressive returns in the last year, putting
these stocks on the investor's radar. It will be interesting to see how these stocks fare
in the future. Well, That’s all for now. We will be back with our Buzzing Trends show
to share the latest market insights with you. Till then, Stay tuned with Kalkine TV for
more stock, business and economy related hot trends.