....there is no hope for lithium stocks to make a recovery this year, despite stale bulls claiming that lithium price may have hit rock bottom.
....look at the 1 year price chart for ALB, it is about to re-visit its all time low, even while the S&P500 is making good progress.
....PLS delivered a maiden loss, yet the price shows great complacency.
....lithium stocks have large room for further declines ahead, because as I said before, expect a market meltdown long before lithium stocks see the light of day.
It won't surprise me if lithium majors like PLS mimic CSL price movement after the growth phase ended....CSL did nothing the past 5 years, actually declined -23%
My view as I opined earlier, rotate out of lithium and get into Gold (physical or ETF)...
Lithium is in severe over supply. Prices are falling. Tesla is on track to commission its first lithium plant. Trump scrapped EV subsidies. So, Lithium stocks, and lithium bellwether Albemarle $ALB shares hit 2021 lows. While BYD & Tesla $TSLA shares stand to benefit #Lithium
I read a tweet that showed that Tesla sales across UK, Spain, Portugal contracted heavily while BYD sales rose significantly especially in UK (by 500%).....
I had told you before that EV growth is not synonymous with lithium price growth. The former hinges on lithium staying low for longer. So producers will need to produce them more cheaply and produce them more to offset low margins- but that won't be enough to ensure lithium stock price recovery, especially when ASX lithium stocks continue to trade at elevated premiums.
