Another day, another record for the Pilbara Minerals Ltd (ASX: PLS) share price.
No doubt, investors will be gleaming with joy as the lithium producer's shares rocket 5.88% to an all-time high of $4.51 at the time of writing.
This means the share has surged more than 50% in a month.
Let's take a look at what's behind the euphoric rise of this ASX 200 share.
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Pilbara Minerals shares surge into unchartered territory
The Pilbara Minerals share price is gearing up another notch as investors remain buoyant on the lithium industry.
This has resulted in an uplift across the S&P/ASX 200 Materials (ASX: XMJ) which is currently the market's third-best sector with a 2.82% gain.
While there is no fresh news from the company of late, we can look toward its most recent announcements for clues.
Last month, Pilbara Minerals provided its FY23 guidance presentation highlighting its expansion strategy.
On the back of strong lithium prices, production is slated to grow by up to 1 million tonnes per annum post CY23.
This is based on the completion of studies and the final investment decision for the P1000 Project.
Pilbara Minerals said that the business was in an enviable position, supplying products into a burgeoning growth market with a clear pathway.
With higher concentrations of lithium and lower carbon product, this has the potential to attract interest across the globe.
A bullish broker note from JP Morgan recently has also likely sparked investor interest in the share.
The broker raised its outlook from neutral to overweight and raised its price target by 17% to $4.10 per share.
Pilbara Minerals share price recap
Lithium prices have continued to lift to incredible highs throughout 2022, which has had a positive impact on Pilbara Minerals shares, up more than 40% year to date.
Pilbara Minerals has a price-to-earnings (P/E) ratio of 24.25 and commands a market capitalisation of roughly $13.3 billion.
