Pilbara Minerals Ltd (ASX: PLS) shares certainly have been a great place to invest in recent times.
For example, during the last five years, the lithium miner's shares have generated an average return of 30.24% per annum.
This stellar return has been driven by sky high lithium prices and would have turned a $2,000 investment into $7,500 today.
What return could Pilbara Minerals shares generate in 2023?
While predicting what Pilbara Minerals shares will do in 2023 is close to impossible, that doesn't mean we can't try.
The good news for readers is that one leading broker has just released a note relating to the lithium miner, which could be used as a rough guide of what is possible.
According to the note out of Citi, its analysts have upgraded the company's shares to a buy rating with a $4.70 price target. This price target suggests that Pilbara Minerals shares could rise 15% over the next 12 months.
If that were the case, it would mean a $2,000 investment becomes $2,300 by the end of the year.
Don't forget the dividends
Pilbara Minerals also recently revealed plans to pay its maiden dividend in 2023. Commenting on this, Citi said:
We expect PLS to make more cash in FY23/24 than any other stock in our gold/metals coverage universe. We model first franked dividend in 2HFY23.
The broker is expecting the miner to reward its shareholders with a fully franked 11 cents per share dividend, which represents a 2.7% yield at current prices. This would result in shareholders receiving $54 in dividends if they invested $2,000 into Pilbara Minerals shares today.
All in all, this would take the value of your investment to $2,354, which represents a return of almost 18% for the year.
