yep, many pundits predicting a lithium rally in 2020, and many predicting the bottom is now.
we are perhaps seeing signs of a rally already.
Below is a table of some of China's biggest lithium companies and what their share price has done since 1st November, 2019:
| Column 1 | Column 2 | Column 3 | Column 4 | Column 5 |
|---|
| 1 | | 1/11/2019 | 10/01/2020 | +/- ($) | +/- (%) |
|---|
| 2 | Ganfeng | 22.18 | 41.08 | 18.9 | 85.21% |
|---|
| 3 | CATL | 69.33 | 113.31 | 43.98 | 63.44% |
|---|
| 4 | Tianqi | 21.46 | 31.53 | 10.07 | 46.92% |
|---|
| 5 | Yahua | 6.6 | 9.49 | 2.89 | 43.79% |
|---|
| 6 | Guangdong Weihua | 7.06 | 9.11 | 2.05 | 29.04% |
|---|
if we want, we can also add in Tesla which is up 53.63% since 1st November 2019.
It has been said that lithium co's on the asx generally follow the Chinese co's, however we are usually about 2-3 months behind.
So below is a table of asx lithium players and how they have performed thus far in the first 10 days of 2020:
| Column 1 | Column 2 | Column 3 | Column 4 | Column 5 |
|---|
| 1 | | 31st Dec | 10th Jan | +/- ($) | +/- (%) |
|---|
| 2 | LKE | 0.026 | 0.051 | 0.025 | 96.15% |
|---|
| 3 | SYA | 0.011 | 0.016 | 0.005 | 45.45% |
|---|
| 4 | ORE | 2.65 | 3.40 | 0.75 | 28.30% |
|---|
| 5 | PSC | 0.18 | 0.23 | 0.05 | 27.78% |
|---|
| 6 | AJM | 0.049 | 0.062 | 0.013 | 26.53% |
|---|
| 7 | GXY | 0.925 | 1.16 | 0.235 | 25.41% |
|---|
| 8 | PLS | 0.28 | 0.34 | 0.06 | 21.43% |
|---|
| 9 | EUR | 0.084 | 0.099 | 0.015 | 17.86% |
|---|
| 10 | ASN | 0.027 | 0.031 | 0.004 | 14.81% |
|---|
| 11 | PLL | 0.118 | 0.135 | 0.017 | 14.41% |
|---|
| 12 | LPD | 0.015 | 0.017 | 0.002 | 13.33% |
|---|
| 13 | LPI | 0.25 | 0.28 | 0.03 | 12.00% |
|---|
| 14 | INF | 0.059 | 0.065 | 0.006 | 10.17% |
|---|
| 15 | AGY | 0.076 | 0.083 | 0.007 | 9.21% |
|---|
| 16 | NVA | 0.044 | 0.047 | 0.003 | 6.82% |
|---|
| 17 | LIT | 0.06 | 0.063 | 0.003 | 5.00% |
|---|
| 18 | GLN | 0.13 | 0.135 | 0.005 | 3.85% |
|---|
| 19 | MIN | 16.5 | 17.05 | 0.55 | 3.33% |
|---|
| 20 | NMT | 0.19 | 0.195 | 0.005 | 2.63% |
|---|
| 21 | CXO | 0.035 | 0.035 | 0.00 | 0.00% |
|---|
| 22 | AVZ | 0.043 | 0.043 | 0.00 | 0.00% |
|---|
| 23 | EMH | 0.3 | 0.29 | -0.01 | -3.33% |
|---|
| 24 | LTR | 0.087 | 0.083 | -0.004 | -4.60% |
|---|
| 25 | MLL | 0.076 | 0.071 | -0.005 | -6.58% |
|---|
| 26 | LI3 | 0.025 | 0.022 | -0.003 | -12.00% |
|---|
The Co's in bold are the producers. It makes sense that the producers would be the first of the asx players to follow the Chinese, so i comes as no surprise that our producers are all at the top of the table, all enjoying gains of over 20% these last 10 days.
Of the 25 co's in this table, 19 of them (76%) have made gains, and just 4 of them (16%) have lost ground, overall a good sign.
The co's in red are co's whose performance i find baffling in comparison to their peers: I don't see why CXO (Australia's next lithium producer), LTR (Australia's biggest uncommitted Li resource which is about to get a whole lot better) and AVZ (the worlds biggest Li resource) haven't joined in the gains... Seems to me that these 3 co's have some catching up to do. And if our peers continue to perform well, it only makes sense that these 3 companies WILL catch up.
IMO
GLTAH
(20min delay)