Why Lithium Stock SQM Rocketed 14% Today
Chemicals and lithium stock Sociedad Quimica y Minera de Chile (NYSE: SQM) soared on Monday, climbing nearly 9.6% as of 12:50 p.m. ET after surging as much as 14.2% earlier in the day. With at least three analysts turning bullish about SQM stock, investors aren't waiting to load up on the stock.
SQM sells specialty plant nutrition (SPN), iodine, lithium, potassium, and other industry chemicals. The company announced its third-quarter numbers on Nov. 17, and although its revenue and earnings missed consensus estimates, SQM clocked solid growth in both its top and bottom lines. More importantly, SQM sees its lithium sales soaring on the back of rising global demand for electric vehicles. EVs run on lithium-ion batteries, and demand is so strong that lithium was the second-largest revenue-generating product for SQM in Q3 after SPN, accounting for nearly 28% of its total revenue.
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Source Fool.com
