Hello everyone, great to have your company on Kalkine TV. I'm Rose and you’re watching
Buzzing Trends. Today we will be looking at 3 ASX lithium stocks with over 100% past year
returns.
With the world racing to embrace decarbonization, the share prices of ASX-listed lithium companies
have surged significantly in the past year. More and more vehicle manufacturers are entering
the electric vehicle segment. As per the International Energy Agency report, the global EV market
is expected to grow to 145 million by 2030 from 11 million vehicles in 2020. The global
agency also forecasts that lithium demand for EVs and battery storage would expand to
83% of all lithium demand by 2030, compared to 30% as of now.
On this note, let's talk about three lithium stocks with over 100% returns in the past
year:
First up. Core Lithium is engaged in discovering and exploring mineral deposits in Northern
Territory and South Australia. The stock has given a return of nearly 400% in the past
year. The Core Lithium share price is up nearly 48% year-to-date. Core Lithium recently
announced that it would supply Tesla with 110kt of spodumene concentrate, from which
lithium is derived, for over four years. The company will start supplying the metal in
the second half of 2023. Core Lithium also announced an update on its Finniss Lithium
Project near Darwin. Core Lithium now has the results of a series of nine deep diamond
drill holes which were completed at the Carlton deposit. These holes were drilled along strike
to the south and down dip to test for the continuity of the pegmatite and mineralisation
at depth. Eight of the nine holes intersected spodumene bearing pegmatite mineralisation. Management
notes that these intersections support the current interpretation that the grade, consistency,
and width of pegmatite intervals of the Carlton lithium mineralisation is improving with depth.
Next stock Pilbara Minerals is an Australian lithium and tantalite mining company. Its
primary project is the Pilgangoora Operation, which is situated in Western Australia. The
stock has given an attractive return of over 195% in the past year. However, the stock
is down over 19% year-to-date.
In the first half of financial year 2022, Pilbara Minerals reported a record sales revenue
of AU$291.7 million, delivering a statutory profit after tax of AU$114 million. During
this period, Pilbara shipped 170,228 dry metric tonnes. Thin supply and a demand explosion
spurred by the electric-vehicle revolution has sent prices of lithium surging in recent
months, with current rates estimated to be eight times higher than year-ago levels. The
company said that the result reflects continued improvement in lithium market conditions over
the period, which has continued its strong momentum into the current half. Pilbara also
said its chief executive officer Ken Brinsden would step down by the end of the year.
Lastly. Allkem is a minerals exploration and production company focusing on developing
lithium and potash resources in Argentina. The company was formed by the merger of Galaxy
Resources and Orocobre in August last year. The stock has delivered a return of over 127%
in the past year. However, the stock is down nearly 12% year-to-date. The company reported
AU$84 million in revenue from lithium sales from its Western Australia's Mt Cattlin mine
over the December quarter of 2021. The number is much higher than last year's March and
June quarters. At Olaroz, revenue was generated from sales of 5,915 tonnes of lithium carbonate,
a 143 per cent revenue increase from the previous corresponding period, which the company said
was largely due to average pricing increasing.
We will be back with our Buzzing Trends show tomorrow to share the latest market insights
with you. Till then, Stay tuned with Kalkine TV for more stock, business and economy related
hot trends.
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