Lithium stocks could be one of the biggest stories of the year.
For one, demand is set to accelerate on the heels of the electric vehicle boom—which shows no signs of slowing. In fact, according to USA Today, electric vehicles made up about 5% of new auto sales last year. For 2023, analysts at S&P Global Mobility project for EVs to make up about 8% of the market, 15% by 2025, and 37% by the time 2030 rolls around.
Two, Albemarle just raised its forecast for lithium demand by about 15%, saying the world could consumer 1.8 million tonnes of lithium by 2025, and 3.7 million by 2030. Just two months ago, it forecast 1.5 million for 2025, and 3.2 million for 2030.
Three, General Motors is investing $650 million in Lithium Americas to help develop its lithium mine in Nevada. That could help fuel higher highs for the stock, long-term.
Another way to invest in lithium is with the Global X Lithium & Battery Tech ETF (LIT).
With an expense ratio of 0.75%, the LIT ETF invests in the full lithium cycle, from mining and refining the metal, through battery production. Some of the ETFs top holdings include Albemarle, BYD Co., Tesla, LG Chem Ltd., Livent Corporation, and many more.
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