These ASX lithium shares could rise 30%+: analysts

These lithium shares have been tipped to smash the market.

| More on:
A young man wearing a black and white striped t-shirt looks surprised.

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

A number of ASX lithium shares have been generating big returns for their shareholders over the last 12 months.

The good news is that according to analysts, there are still plenty of potential gains to come.

For example, analysts say the three ASX lithium shares listed below could have a 30% upside or more from current levels. Here's what you need to know:

Allkem Ltd (ASX: AKE)

The first ASX lithium share that could be a buy with big potential returns is Allkem. It is the lithium miner behind the Mt Cattlin and Olaroz operations. Bell Potter is a fan of the company. It notes that "AKE is our preferred lithium exposure noting it is a top 5 global producer and its slated merger with Livent is expected to bring US$125 million per annum in synergies and expedite expansions."

Bell Potter has a buy rating and an $18.90 price target on its shares. This suggests a potential upside of 30% for investors over the next 12 months.

Azure Minerals Ltd (ASX: AZS)

Bell Potter is also feeling very bullish on this lithium explorer due to the huge potential of the 60%-owned Andover Lithium project. Its analysts believe that the project is comparable to the Wodgina Lithium Project owned by Mineral Resources Ltd (ASX: MIN) and Kathleen Valley owned by Liontown Resources Ltd (ASX: LTR).

The broker has a speculative buy rating and a $5.15 price target on its shares. This implies approximately 100% upside from current levels.

Pilbara Minerals Ltd (ASX: PLS)

The team at Macquarie remains very positive on this ASX lithium share and continues to rate it as its top pick in the industry. The broker was impressed with the company's recent drilling results which have given the Pilgangoora Project mineral resource estimate a huge boost.

So much so, earlier this week, the broker retained its outperform rating with an improved price target of $7.50. This implies an almost 40% upside for investors from current levels.

Motley Fool contributor James Mickleboro has positions in Allkem. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Macquarie Group. The Motley Fool Australia has positions in and has recommended Macquarie Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Materials Shares

Miner looking at a tablet.
Materials Shares

Fortescue shares drop as $1.1 billion stake hits the market

A major investor is pulling the pin on Fortescue shares, sending the share price lower.

Read more »

A bearded man holds both arms up diagonally and points with his index fingers to the sky with a thrilled look on his face over these rising Tassal share price
Materials Shares

These beaten down ASX lithium stocks could rise 35% to 85% in 12 months

Big returns could be on offer for brave investors according to analysts.

Read more »

A man holds his head in his hands, despairing at the bad result he's reading on his computer.
Materials Shares

Why is this ASX lithium stock crashing 16% today?

Why is this stock having such a poor start to the week?

Read more »

A man holds his head in his hands, despairing at the bad result he's reading on his computer.
Materials Shares

Core Lithium share price hits a multi-year low: Will the tide change soon?

Are analysts now seeing value emerge from the lithium miner's shares?

Read more »

Yellow rising arrow on a brick wall with a man on a ladder.
Materials Shares

Brickworks share price jumps on big Soul Patts news

Brickworks has just built more stability to its business.

Read more »

A man has a surprised and relieved expression on his face. as he raises his hands up to his face in response to the high fluctuations in the Galileo share price today
Materials Shares

Meet the speculative ASX stock that could rise 200%

Bell Potter thinks this high risk stock could triple your money.

Read more »

A female miner wearing a high vis vest and hard hard smiles and holds a clipboard while inspecting a mine site with a colleague.
Materials Shares

Guess which ASX 200 mining stock is making a $276m UK acquisition

BHP failed in its UK takeover attempt but this mining stock is having more luck.

Read more »

A man in his 30s with a clipped beard sits at his laptop on a desk with one finger to the side of his face and his chin resting on his thumb as he looks concerned while staring at his computer screen.
Materials Shares

Where could the Pilbara Minerals share price be in 12 months?

Will the market be kind to this lithium giant? Let's see what analysts are expecting.

Read more »