The Lake Resources N.L. (ASX: LKE) share price has been on fire over the last 12 months.
Since this time last year, the lithium developer's shares have risen 900%.
This makes the Lake Resources share price one of the best performers on the Australian share market over the period.
Where next for the Lake Resources share price?
The good news is that one leading broker believes the Lake Resources share price still has plenty of gas in its tank and could drive even higher.
According to a recent note out of Bell Potter, its analysts have a speculative buy rating and $1.37 price target on its shares.
Based on the current Lake Resources share price of $1.00, this implies potential upside of 37% over the next 12 months.
Why is Bell Potter bullish?
The note reveals that Bell Potter is positive on Lake Resources due to its lithium exposure and strategic appeal. The latter is because of its uncommitted product offtake and independent share register.
Its analysts explained: "LKE is developing the Kachi lithium brine project located in north western Argentina. A March 2021 prefeasibility study evaluated a 25.5ktpa lithium carbonate project with average annual EBITDA of $260m and a post-tax NPV8 of US$1,580m."
"Kachi is unique in that LKE is aiming to employ direct lithium extraction through ion exchange technology to recover lithium from its brine Resource. The key advantages of this technology are a smaller environmental footprint, lower carbon emissions and greater process control. A definitive feasibility study for Kachi is due by mid-2022. With uncommitted product offtake and an independent share register, LKE has strategic appeal," the broker concluded.
If Bell Potter is on the money with its recommendation, it could be another year of market beating returns for the Lake Resources share price in 2022.
