2024-02-02 19:43:49 ET
Summary
- The price of lithium has fallen significantly in the past year, causing short-term pain for Pilbara.
- Pilbara is investing in future expansions and positioning itself to capitalize on the rebound in lithium demand.
- Despite the current challenges, Pilbara is still making a profit and is well-capitalized, with a strong focus on growth projects.
- The shares may trade lower in the next quarter or two, while until the price of lithium rebounds.
- There is growing lithium demand and uncertain supply, so the price of lithium should rebound at some point, perhaps beginning at the end of this year.
This article is a follow-up to my coverage of Pilbara Minerals ( OTCPK:PILBF ). There are two stories crisscrossing here. In the short term, the price of lithium has suffered more than I anticipated. I expect that there is further price downside in the short term and this very well may affect their share price in the next quarter or two....
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For further details see:
Pilbara Minerals: Lithium Price Drop To Cause Short-Term Pain (Rating Downgrade)