Top 5 Lithium Producers And Other Growing Producers To Consider - best lithium battery

This article was first published in December 14, 2018;
So all the data is up to that date.
As everything related to China has been sold off heavily, 2018 of lithium stocks have been demanding.
Given that the trade war issue remains unresolved, the negotiations will take place at the end of February 2019 and investors can take advantage of this opportunity to acquire top lithium producers at an excellent valuation.
I expect that demand for lithium will continue to be surprising in the rise.
7 fold from 2017 to 2025.
This means that all producers can do a good job.
You can see my demand v supply model here: UBS's forecast of lithium demand also illustrates a similar situation.
The latest lithium demand v supply chart from Orocobre shows that supply is difficult to keep up with demand. The lithium cost curve now suggests that the cost-competitive nature of lithium pyroxene, like saline, has successfully increased the market share of lithium production significantly.
Another key is the new lithium producer (others)
Achieved a significant market share.
According to the forecast of 2018 CRU, the ranking of 2018 will be Albemarle (ALB), Ganfeng [SHE: 2460][HK:1772], SQM (SQM), Tianqi [SHE:002466], FMC (It's Livent now. (LTHM)), and others (Orocobre [ASX:ORE](OTCPK:OROCF)
Mineral resources]ASX:MIN]
Galaxy Resources [ASX:GXY](OTCPK:GALXF)
Some of the new Pilbara Minerals companiesASX:PLS](OTCPK:PILBF)
Altura Mining industry [ASX:AJM](OTCPK:ALTAF), Alliance [SP:AMS]/Tawana [ASX:TAW], and AMG [NA:AMG][GR:ADG](OTCPK:AMVMF)).
Current market share of miners producing lithium
2018 forecastSource: Market Share of lithium battery production by Bloomberg and courtesy CRUCurrent --
2016 below, I discussed the top five lithium producers in the world, two of which are American companies (
Abbott & Livent)
Two Chinese.
Ganfeng & Tianqi)
One is from Chile [SQM]. 1)Albemarle (NYSE:ALB)-Price = USD 87.
Albemarle ranks first in the world with a global market share of 18%.
36 Q1 Abbott 2018 received the same.
They earn 3% and 52.
7% of the adjusted EBITDA from lithium.
Albemarle's other income comes from their Bromo professional and catalyst departments that produce specialty chemicals used by fire extinguishers and refineries.
Abbott has a lithium battery project in Atacama, Chile (JV with SQM)
Green Bush in Western Australia (JV with Tianqi)
Some salar apartments in Argentina, recently in Wodgina, Western Australia (
50/50 joint ventures with mineral resources)(
Assume transaction completion).
2018 the recent market value of newscur rent is 9.
€ 2018, debt is estimated at $1. 1b. 2019 PE is 14.
5 and 2020 PE are 13.
2. it is estimated that there are 2019.
Dividend yield of 58%.
The estimated net profit margin is 2019, or 18. 16%.
The analyst's current consensus target is $123.
31, rose 39%.
As Albemarle ranks first among the global lithium producers, has high quality lithium assets and its potential for production expansion, alble le must have a lithium inventory.
Especially given their huge growth potential, valuations are very attractive.
The recent Wodinga deal ensures that alble le remains the top 5 lithium producers for the foreseeable future, reemphasizing the lithium salt industry for the fast-growing market for hydrogen oxides for electric vehicles
As a result of dealing with the Chilean government, Atacama faced some risks.
Summary Source: Month-
TradersThe Wodinga lithium pyroxene mine in Source2, Western Australia)
Jiangxi Ganfeng Lithium battery [:SHE: 2460][HK:1772]-CNY 24. 90, HKD 15.
00 gan Feng lithium industry ranked second in the world with a global market share of 17%.
Ganfeng is one of the world's most vertically integrated lithium producers, with some lithium metal battery technology.
There are several lithium raw materials in Ganfeng-
Acquisition and equity partners of the following lithium mines/projects-
Mount Marion, piganora, inspector-
Olaroz and several international lithium projects.
Ganfeng is well positioned and can be sold by customers (LG Chem (OTCPK:LGCLF), BMW (OTCPK:BMWYY), Tesla (TLSA))
Not to mention Chinese battery and car manufacturers.
Therefore, Ganfeng has made a profit positioning in several steps of the lithium supply chain.
2018 recent new market value 【SHE:2460]
RMB 31b, no debt. 2019 PE is 16.
6 and 2020 PE are 14.
0, estimated at 1 at 2019.
Dividend yield of 31%.
A net profit margin of 2019 is expected to be 26. 49%.
Note: The price-earnings ratio of listed transactions in Hong Kong is 2018. 8.
Analysts currently listed in Shenzhen consensus price target is 41 yuan.
54, up 62%.
Ganfeng Lithium battery is the top (pure-play)
China-based vertically integrated lithium producer with global strategic investment and partnership in lithium.
Especially given their huge growth potential, valuations are very attractive.
I ranked them the best lithium products at this time.
Financial Summary of Ganfeng Lithium Battery Source: 4-traders3)
Social networking sites in krumika MinaraA. (NYSE:SQM)-Price =USD 43.
34SQM ranked third in the world with a global market share of 14%.
2018 received 31 as of the first quarter.
7% of their revenues and 61% of their combined profits come from lithium.
Potash's other income comes from Potash (
For special fertilizer)and iodine.
Chile has a lithium project in Atacama, Chile (
Joint Venture Company and Yabao)
50/50 joint venture with Kidman ResourcesASX:KDR]
In the Netherlands in Western Australia. WA]
And the processing plant planned for Kwinana, Washington state.
The most recent market cap of $2018 is $9.
2018 of the debt is estimated at $533. 2018 PE is 24.
The analyst's current consensus target is $58.
71, up 34%.
SQM is another solid lithium producer with quality assets and potential for expansion.
Some Chile is at risk, but no other country values it.
Financial Summary of SQM Source: 4-traders4)(Chengdu)
Tianqi Lithium Industry Co. , Ltd. [SHE:002466]-Price = CNY 33.
Tianqi Lithium industry ranked fourth in the world with a global market share of 12%.
"Our business includes the extraction and production of lithium concentrate and the manufacture of lithium compounds.
We have established mineral business, manufacturing plants and subsidiaries in China (
Sichuan, Chongqing, Jiangsu)
And Australia, to enable the company to provide services to customers around the world.
"Tian Qi's flagship lithium mine is its 51%-share partner in Western Australia, Yabao (49%).
Other projects in Tianqi include 100% equity in Yajiang Kula lithium mine and 20% equity in zabye, Xigaze, Tibet (
The owner of the mining rights of Chabaya Salt Lake.
Good Zabuye Salt Lake-
With its height-
Quality lithium resources).
Their Kwinana lithium hydroxide plant in Western Australia is under construction and is expected to be completed soon.
This will be funded by their greening plan.
2018 The most recent rent market cap for newscur is 38b yuan with no debt. 2019 PE is 15.
2 and 2020 PE is 12.
1. estimate 0 at 2019.
Dividend yield of 83%.
Net profit margin is expected to be 2019. 12%.
Analysts currently listed in Shenzhen consensus price target is 51 yuan.
00, representing an increase of 53%.
Tianqi Lithium battery is the top (pure-play)
China-based lithium producers focus on their flagship premium green lithium mine in Australia.
Especially given their plans for greenfield expansion, valuations are very attractive.
Another excellent purchase at this time.
Financial Summary of Tianqi Lithium Industry Source: 4-
TradersTianqi/Yabao green Heath lithium mine west aliasource5)Livent Corp. (LTHM)[GR:8LV]-Price =USD 16.
4. Livent occupies the position of the world's fifth largest lithium producer with a global market share of 5%.
This has been a key advantage since their recent FMC company. (FMC)
They are now a pure producer of lithium.
Previously, there were only 8 internal FMC.
5% of Lithium's revenue comes from Lithium.
The company stated: "Livent extracted lithium brine in the operation of Salar del Hombre Muerto (Cauchari-Olaroz salar)
Lithium compounds have been produced in Argentina for more than 20 years.
"The market cap for the last $2018 is $2. 37b. 2018 PE is 17. 9.
The analyst's current consensus target is $20. 17.
Levante's focus is on the production facilities of their flagship Argentine lithium salt mine and its lithium carbonate and hydroxide.
A fair valuation.
Of the top 5 at the end of 2019, I expect that the Pilbara Minerals may replace Livent into the top 5.
In addition, the GAN peak lithium may have risen to number one.
I will probably do my next lithium article in the seven above and give an update.
If electric cars and electric cars continue to grow strongly (~50%+ pa)
Lithium demand will then continue to soar.
My model suggestion 5.
Total lithium demand has increased by 7 times, from 2017 of 230 to 2025. 32mtpa.
Supply is likely to find a way to keep up with demand, so the price should remain fairly stable between $10,000 and $16,000/ton LCE, with a slight premium for hydroxide.
For conservative investors who want to have the top 5 lithium producers for a lower risk/stable return, this is just a question of buying albermar, Ganfeng Lithium, SQM, apocalypse, and Livent
Production in the top 5 is expected to account for 66% of lithium production in 2018, so profits will account for the majority in the near future.
The main risk lies in the pricing and sovereign risk of lithium in Chile and Argentina.
For more risk-tolerant investors, you can consider expanding to the next 7 growing lithium producers such as Orocobre, mineral resources, Galaxy Resources, Pilbara Minerals, Altura Mining
The advantage of this group is that based on the increase in production, the risk is quite low, but the return is quite high.
The risk lies in lithium pricing and production execution and expansion.
Finally, it's always the best to buy the highest quality miners (
Low debt, high cash flow, strong
Partner, low production cost)
Because mining is cyclical, there is a risk.
Due to the 2018 slump, the value of most lithium producers at the moment is high, so now should be a good time to accumulate some quality names.
All comments are welcome as usual.
Disclosure: I/we are the long term New York Stock Exchange:SHE: 2460]
Li, Gan Feng [HK: 1772]
, SQM, ASX: ORE, ASX: GXY, ASX: PLS, ASX: AJM, TSX: LAC, TSXV: NLC
, TSXV: AIS, ASX: CXO, TSXV: PLU, TSXV: CYP.
This article was written by myself and expressed my views.
I received no compensation (
In addition to Seeking Alpha).
I have no business relationship with any stock company mentioned in this article.
Supplementary disclosure: the information in this article is of a general nature and should not be used as a personal financial advice.
Editor's note: This article covers one or more microcap stocks.
Please note the risks associated with these stocks. s.