What are lithium stocks?

Lithium stocks are commodity stocks that have principal interests in the mining, refining and distribution of lithium. The companies included under the umbrella of lithium stocks may be involved in the production of other metals and minerals, but lithium will be included in their portfolio.

What are the best lithium stocks?

One of the younger firms on this list of best lithium stocks, Pilbara was incorporated in 2005 and primarily produces lithium through a wholly-owned project located in a region of Western Australia. That site is billed as the largest independent hard-rock lithium operation in the world, and Pilbara has estimated the mine life at 34 years of output.

Should you buy lithium stocks?

Having established the rationale for considering lithium stocks, it is now time to examine the top picks. Lithium supply is estimated to rise 32% in 2025, surpassing the 23% demand growth. The surplus in supply is anticipated to peak in 2027, and a deficit is expected to emerge by the end of the decade, according to industry experts.

Are lithium stocks a risky investment?

Finance, as of May 30, 2024. Lithium stocks, like all commodity stocks, are closely linked to the supply and demand trends in the underlying materials they produce. All investing generally carries risk, and miners like this have specific risks based on their business model. That said, we’ve tried to highlight leaders in the sector based on:

Should you invest in lithium stocks in 2022?

According to Grand View Research, the lithium market is expected to grow at a compound annual rate of 12% between 2022 and 2030, making it a potential investment opportunity for savvy investors.

What is the smallest lithium stock in the world?

Based out of Brazil, Sigma Lithium is the smallest stock on this list, with a market value of less than $2 billion and total revenue of about $615 million annually. However, despite its more modest footprint, SGML has proven to be a significant player in the lithium sector.