Standard Lithium Ltd. (OTC: STLHF) is a Canadian registered company that is currently researching and proving the viability of lithium projects in Arkansas and California. Its most promising project is a joint venture with German chemical company Lanxess, which will result in the extraction of lithium from brine deposits in Arkansas.
Brine extraction is a hot topic in the lithium sector today. Livent, one of the largest lithium producers in the world, is currently developing a process to make battery grade lithium directly from oil and gas brine. As this technology matures, the properties developed by Standard Lithium will be in high demand.
Of course, due to the nature of the lithium market, there’s a lot of speculation in this stock. Lithium demand is expected to rise in the next ten years, thanks to increased demand for electric vehicles. Top manufacturers like Toyota, Ford, Daimler, and GM are all investing heavily in EV technologies.
Standard Lithium isn’t turning a profit in the meantime and it could take years to see a return on this stock. However, as a rock bottom bargain in the lithium sector, it has potential. A minor holding will allow investors to own a stake without a huge amount of financial risk.
At least one analyst recorded by FactSet is optimistic, assigning a price target of $1.80 and a BUY rating on this potentially undervalued pick.
- 1 Year Price Growth: -54.82%
- YTD Price Growth: -15.76%
- 3 Month Price Growth: -16.39%
All information is based on current and historical market data, as well as publicly available financial data. As with any financial decision, your own research is important. Stock market outcomes can never be 100% accurately predicted. Familiarity with historical data, individual industries, and individual stocks is key to developing a robust portfolio. Note that stock prices can fluctuate rapidly during trading sessions.