Why Lithium Americas, Piedmont Lithium, and MP Materials Stocks Popped Today
Shares of lithium mining start-ups Lithium Americas (NYSE: LAC) and Piedmont Lithium (NASDAQ: PLL) jumped in early trading Monday, before settling down to gains of 2%, and 12.6%, respectively, as of 3 p.m. EST. Another mining company, rare earths specialist MP Materials (NYSE: MP), is also doing pretty well today, up 10.3%.
Several news headlines appear to be coalescing today to favor higher share prices for miners of exotic metals. In the case of Lithium Americas and Piedmont, both stocks may be benefiting from bullish commentary on lithium at Loop Capital, which this morning upgraded shares of rival miner Albemarle (NYSE: ALB).
As the analyst wrote in a note covered by TheFly.com, the adoption of electric vehicles (EVs) requiring rechargeable lithium batteries is accelerating globally, and lithium stocks may be approaching an inflection point that will drive their share prices higher.
Source Fool.com
