So You Think You Can Drill: How do I know if my lithium stock is onto a winner? – by Josh Chiat (Stockhead.com.au – April 27, 2022)

https://stockhead.com.au/

Lithium is the word on every investors’ lips right now and for good reason. Equities in the key battery metal have been on a tear as low supplies and rising EV demand has seen prices soar up to five times higher than the price factored in by car manufacturers.

“Right now, lithium prices are at least 3x past the pain point for electric vehicle makers,” Simon Moores, the head honcho of pricing agency Benchmark Minerals Intelligence, says.

It’s all prompted Elon Musk, the boss of iconic and now extremely profitable EV brand Tesla to call on more folk to get into the lithium mining business. “Do you like minting money? Well, the lithium business is for you,” the new lord of Twitter told analysts on a recent quarterly call as his company posted a US$18.8 billion profit.

It’s commonly known that the emerging lithium mid-caps are getting pretty frothy. A number of prominent explorers and developers pushed their way into the key ASX 300 index in S&P’s March quarter rebalance, and the hunt for value could now shift to the lower end of the market.

For the rest of this article: https://stockhead.com.au/resources/so-you-think-you-can-drill-how-do-i-know-if-my-lithium-stock-is-onto-a-winner/