The Pilbara Minerals Ltd (ASX: PLS) share price has declined in the last month, but could it be about to take off?
Pilbara shares have slid 5.7% from $4.17 at market close on 28 February to $3.97 at the time of writing. In late morning trading, Pilbara shares are up more than 3%.
In contrast, the S&P/ASX 200 (ASX: XJO) is 0.16% in the red so far today.
Let's take a look at the outlook for Pilbara Minerals shares.
Can Pilbara go higher?
RBC Capital markets is tipping the Pilbara Minerals share price could have significant upside.
Analysts have placed an "outperform" rating on Pilbara with a $5.65 price target.
This suggests an upside of 43.8% based on the current share price.
RBC is forecasting strong operational performance and earnings growth for Pilbara in FY23 and FY24, according to a Thomson Reuters report cited by NAB trade.
The broker is predicting Pilbara to more than double lithium carbonate equivalent (LCE) production from 53kt in FY23 to 107kt by FY25.
Pilbara's share price soared nearly 12% yesterday amid news Liontown Resources Ltd (ASX: LTR) had received and rejected a takeover approach from global lithium giant Albemarle Corp (NYSE: ALB).
Final investment decision
Meanwhile, Pilbara has announced today it has made a final investment decision to lift production capacity at its Pilgangoora Project.
This investment is set to boost spodumene concentrate production from 680,000 tonnes per annum (tpa) to 1,000,000 tpa. This is known as the P1000 project.
Pilbara share price snapshot
Pilbara shares have soared 21% in the past year and 5% year to date.
This ASX lithium share has a market capitalisation of about $11.8 billion based on the current share price.
