The Investing Information Community had the prospect to meet up with RK Fairness’s Howard Klein on the current Lithium Provide and Battery Uncooked Supplies convention, hosted by Fastmarkets in Las Vegas.
Talking about the primary developments he expects to see within the second half of the 12 months, Klein mentioned he anticipates extra involvement from carmakers within the lithium sector. “Auto OEMs, and in addition the incumbent lithium producers, have began to get very severe,” he mentioned. “We’re lastly seeing auto OEMs take issues into their very own fingers and write affordable checks.”
That mentioned, Klein added that there’s a little bit of “cat and mouse” occurring as lithium costs have been declining since November.
“We thought the lithium value would backside after which bounce. In Might, it has,” Klein mentioned. “We’re now in a summer time low.”
When requested about new provide and geographical places he is excited about, Klein talked concerning the “North American lithium triangle,” from the Carolinas within the US to the Canadian provinces of Quebec and Ontario.
“Africa I feel can be related,” he mentioned. “We’re centered on additional provide for additional demand. Ideally you need to search out the businesses that would get premium pricing for his or her product, but additionally premium valuations. And we predict arduous rock in good jurisdictions is the best way to go.”
Klein additionally shared his ideas on methods to lower by way of the noise when selecting lithium shares. “Whereas we’re in a structural scarcity for lithium so far as the attention can see, there may be undoubtedly an oversupply of lithium funding alternatives,” he famous.
Hearken to the interview above to listen to extra of Klein’s ideas on investing in lithium, geopolitical market dynamics and classes realized. You can even click on right here for our recap of the Fastmarkets occasion.
Remember to comply with us @INN_Resource for real-time updates!
Securities Disclosure: I, Priscila Barrera, maintain no direct funding curiosity in any firm talked about on this article.
Editorial Disclosure: The Investing Information Community doesn’t assure the accuracy or thoroughness of the knowledge reported within the interviews it conducts. The opinions expressed in these interviews don’t mirror the opinions of the Investing Information Community and don’t represent funding recommendation. All readers are inspired to carry out their very own due diligence.
From Your Website Articles
Associated Articles Across the Net
