This article discusses the 5 Cheap Lithium Stocks to Buy According to Analysts. If you want to get detailed analysis on lithium industry, you can head on to 12 Cheap Lithium Stocks to Buy According to Analysts.
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5. Lithium Americas Corp. (NYSE:LAC)
Average Price Target Based on Analyst Ratings: 10.94
Upside Potential as of 21 March: 82.64%
P/E Ratio: 0.65
Lithium Americas Corp. (NYSE:LAC) is placed 7th on our list of 12 Cheap Lithium Stocks to Buy According to Analysts. The highlighting bit about this company is their Thacker Pass project up in Nevada, USA, where things are looking on the rise. The stock has been soaring, gaining 38.3% throughout the last four weeks, closing at $5.99 per share.
Yahoo Finance analysts are giving optimistic remarks as well, with the average price target being $10.94, indicating a remarkable 82.64% upside potentially. Moreover, the American government is supporting the company with a cool $2.26 billion loan in relation to the lithium carbonate processing plant at Thacker Pass. This move will help boost domestic lithium supply for electric vehicles – this marks as the biggest federal investment in a lithium mine so far.
The overall investors’ sentiment looks in favor of the stock, with 9 hedge funds still in the game of this stock, and analysts at Yahoo Finance giving a solid “buy” recommendation for the stock.
4. Arcadium Lithium plc (NYSE:ALTM)
Average Price Target Based on Analyst Ratings: 8.83
Upside Potential as of 21 March: 87.87%
P/E Ratio: 7.05
If you’re out searching for a budget-friendly lithium stock option, you must keep an eye on Arcadium Lithium (NYSE:ALTM), which is 6th on our list of 12 Cheap Lithium Stocks to Buy According to Analysts.
This company, which is a merger of Livent and Alkem, specializes in production of various lithium chemicals, specifically battery-grade lithium hydroxide and carbonate, butyllithium, and pure lithium metal – all major components for the electric vehicle market.
The merger that took place on January 4, 2024, aims to attract some sweet synergy and cost savings, bring in a potential value between $60 to $80 million this year. Moreover, they are also looking on to enhancing the production game, with a special focus on boosting their lithium carbonate and hydroxide volumes by over 40% in 2024, also targeting between 50,000 and 54,000 tons in lithium carbonate equivalence.
Also, their earnings report for the period ending December 2023, Arcadium Lithium plc (NYSE:ALTM) showed that the company didn’t really meet the expectations, falling short with an EPS of $0.34, while the expectations were stuck at $0.36. With their revenue game hitting sweet spot in the last quarter of 2023 (Livent boasting $182 million and Alkem’s Olaroz carbonate facility hitting $96 million), and merged entity’s expected revenue growth rate soaring past 48.6%, analysts’ “hold” stance in relation to the stock seems to indicate a fair value to expect in future from the stock.
3. Sigma Lithium Corporation (NASDAQ:SGML)
Average Price Target Based on Analyst Ratings: 37.36
Upside Potential as of 21 March: 196.74%
P/E Ratio: -39.16
Sigma Lithium Corporation (NASDAQ:SGML) is a company engaged in production of high-purity lithium for the electric vehicles’ batteries market. For the Q4 2023, 18 hedge funds were holding a position in the stock, with the value soaring at $209.2 million; leading the pack is Jos Shaver’s Electron Capital Partners, owning 2.2 million shares worth $69.7 million, encompassing 2.9% of their portfolio.
Nucleo Capital Ltda. is also all in the game for this stock, with a stake of cool $94.5 million. Moreover, Yahoo Finance is holding a “strong buy” position for this stock.
2. Piedmont Lithium Inc. (NASDAQ:PLL)
Average Price Target Based on Analyst Ratings: 43.71
Upside Potential as of 21 March: 253.93%
P/E Ratio: -11.88
Piedmont Lithium Inc. (NASDAQ:PLL) is an U.S. based mining company, racing on to the sweet lithium reserves in the U.S., Canada, and Ghana. EPS of the company is expected to grow from $-0.36 as of now, to a solid $1.72 by 2025 start. Yahoo Finance is giving away a “buy” stance for the share, as their revenue is expected to hit $155.19 million this year, and $183.7 million next year, expected to boast a strong 18.4% growth.
The hedge funds are also seeing a bright future of the stock, with 12 holding a position in the stock, as of the December 2023 quarter.
1. Atlas Lithium Corporation (NASDAQ:ATLX)
Average Price Target Based on Analyst Ratings: 55.33
Upside Potential as of 21 March: 269.36%
P/E Ratio: -4.14
Atlas Lithium Corporation (NASDAQ:ATLX) is all about production of lithium batters for RVs, along with installation and replacement services; their lithium processing plant is expected to experience a big jump, with the operations starting off by the end of 2024.
Atlas Lithium Corporation (NASDAQ:ATLX) also bagged pre-signed agreements with big players like Chengxin and Yahua, who have taken up 80% stake in the phase 1 production, by throwing in $50 million.
The ownership structure of the company is one to look at as well – management and insiders are enjoying 40% of the stake, institutional investors bagging around 18%, and remaining 42% owned by retail investors. Also, big investors are in their game as well, including Waratah Capital Advisors Ltd., Invesco Capital Management LLC, Weiss Multi-Strategy Advisers LLC, and Candace Shira Associates LLC.
Analysts are looking at all bright and sunny outlook, throwing a “buy” position in the stock; 4 hedge funds are holding a stake in the stock as of 2023 Q4, indicating the value stock offers.
You can also take a peek at 12 Biggest Canadian Mining Companies and Top 25 Oil Exporting Countries in the World in 2024.