Orocobre Ltd. (OTC: OROCF) is an Australian mining company that is involved in the development of and exploration for lithium deposits. With lithium key to the batteries used in everything from consumer electronics and medical devices to electric vehicles and solar energy storage, it has become a prime focus for investment.
While the company is yet to prove its potential for revenue and profit, there are significant tailwinds that investors should be aware of. The company has built one of the first large-scale lithium brine projects in the “Lithium Triangle” of South America, giving it access to vast reserves in Argentina. It is also developing a lithium hydroxide plant in Japan along with Toyota Tsusho, the trading arm of the Toyota Group.
2020 sales increased by 1.33%, contributing to a gross profit margin of 11.60%. Long-term, growth is expected to be more impressive as various lithium yielding projects come online. The appeal as a bargain stock remains. The momentum behind this pick could carry it closer toward its high-end target of $5.19. Whether looking for a mid-term turnaround or long-term growth, this is one of the best bargain lithium picks available today.
- 1 Year Price Growth: 63%
- YTD Price Growth: 78%
- 3 Month Price Growth: 73%
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