As much as some institutions like to argue that lithium supply will outweigh demand, it’s not happening. At least, not anytime soon. In fact, lithium producers just warned global supplies may not meet electric vehicle demand at all. This could significantly impact our millionaire-maker lithium stocks below. For example, Albemarle (NYSE:ALB) expects demand to exceed supply by 500,000 metric tons in 2030. Reuters warns that “various consultancies and other producers have slightly different projections, but all warn of a looming shortage.”
Stellantis CEO Carlos Tavares has also raised concerns that there’s not enough lithium to go around. Therefore, automakers are racing to secure supply with companies like Lithium Americas (NYSE:LAC) and Albemarle.
That being said, here are some top millionaire-maker lithium stocks to consider.
Lithium Americas (LAC)
Aside from Albemarle, Lithium Americas is one of the top lithium stocks I mention most often — and for good reason. It’s operating the Thacker Pass lithium mine with General Motors (NYSE:GM). Better, the company is expected to make its first deliveries in the second half of 2026, which should pull in solid revenue.
Also, the company recently announced that its Caucharí-Olaroz project just produced its first lower-than-battery-quality lithium carbonate as part of commissioning. “Additional purification processing equipment necessary to achieve battery-quality lithium carbonate is expected to be completed in the second half of 2023, as planned,” according to the press release.
We have to also consider that Lithium Americas is splitting in two. That includes its North American and Argentinian business units. Lithium Argentina, for example, will focus on the company’s 44.8% interest in Caucharí-Olaroz, its 100%-owned Pastos Grandes project and its interest in the Sal de la Puna. Meanwhile, Lithium Americas will focus on its Thacker Pass lithium project in Humboldt County, Nevada.
American Lithium (AMLI)
Next up is American Lithium (NASDAQ:AMLI), which may be one of the choppiest lithium stocks on the market, with promise.
For one, it just invested in Surge Battery Metals and holds about a 9.7% stake. With the tie-up, CEO Simon Clarke says it will allow for the “continued exploration and development of the Nevada North Lithium Project, a claystone project which we believe is highly prospective with the potential to be a large-scale, high-grade deposit.”
In addition, the company has two interesting lithium projects. One is the TLC Lithium Project, located near Tonopah, Nevada. The other is the Falchani Lithium Project located in Peru, which represents the sixth-largest lithium deposit in the world.
Standard Lithium (SLI)’
We should also take a look at Standard Lithium (NYSEMKT:SLI), which has been consolidating around $4.34 a share since early 2022. Helping, the company just said it found the “highest grade brine” in Arkansas with a grade of 581 mg/L.
Even better, Exxon Mobil (NYSE:XOM) just bought drilling rights to 120,000 gross acres in the Smackover Formation of southern Arkansas. Standard Lithium also operates in the region and has a “fully integrated, start to finish, Direct Lithium Extraction (DLE) process to selectively extract lithium from Smackover brine and produce battery quality lithium compounds,” according to the Standard Lithium site.
And, according to NS Energy, “The PEA forecasts up to 20.900 tonnes per annum of battery-quality lithium carbonate production over a project life of 25 years, with an estimated capital expenditure of £334m ($437m)” for the Arkansas Smackover project.”
While speculating, it’ll be interesting to see if something eventually happens between Exxon Mobil and Standard Lithium in the area.
Piedmont Lithium (PLL)
Piedmont Lithium (NASDAQ:PLL) is another hot idea to consider. While choppy, there’s a good opportunity here. For one, it’s trying to advance its mine in North Carolina, which could become one of North America’s biggest sources of lithium for EV batteries. In fact, according to a press release, “The funding will support the construction of the Company’s approximately $600 million Tennessee Lithium project, which aims to expand the U.S. supply of lithium hydroxide by 30,000 metric tons per year.”
After receiving a $141.7 million grant from the U.S. government to help, North Carolina regulators are asking for additional information in its review process. Analysts seem to like the PLL stock here, too. DA Davidson, for example, recently raised its price target to $96 from $90. Even Roth MKM recently raised its target price to $190 from $150.
Sociedad Química y Minera de Chile S.A. (SQM)
Or, take a look at Sociedad Química y Minera de Chile S.A. (NYSE:SQM). The last time I mentioned this lithium stock, it traded at around $67.50 on June 6. Today, it’s up to $71.50, where it’s currently struggling with overhead resistance. Once it does break higher, I’d like to see SQM challenge $80 a share. Helping, SQM announced a long-term strategic agreement with Ford (NASDAQ:F) to secure the supply of high-quality lithium products for the production of electric vehicles.
Even better, SQM carries a yield of just under 15% at the moment. So, as we wait for SQM to push higher on the supply-demand story, we can get paid to wait. In addition, according to CEO Ricardo Ramos,
“Based on the recent increase in customer activity, we believe that the destocking period has concluded and anticipate our sales volumes to recover in the upcoming quarters. We expect the global lithium demand growth to reach at least 20% this year and will continue to operate at full capacity, producing high-quality lithium products to meet this growth.”
Global X Lithium & Battery Tech ETF (LIT)
Or, look at the Global X Lithium & Battery Tech ETF (NYSEARCA:LIT). The last time I spoke about this ETF, it traded at around $60. Today after hitting $66.50, it trades at $62.93. From here, with patience, I’d like to see it race back to $73. With an expense ratio of 0.75%, the ETF invests in the complete lithium cycle. Everything from mining and refining the metal through battery production. Some of its top holdings include Albemarle, TDK Corp. (OTCMKTS:TTDKY), Panasonic (OTCMKTS:PCRFY), BYD Co. (OTCMKTS:BYDDF), Tesla (NASDAQ:TSLA), Livent Corp. (NYSE:LTHM), Piedmont Lithium and Standard Lithium.
Amplify Lithium & Battery Technology ETF (BATT)
I should also mention the Amplify Lithium & Battery Technology ETF (NYSEARCA:BATT) again. The last time I spoke about this ETF, it traded at around $12.30 on May 5. After racing to a high of $13.70, it did turn lower with the broader market. However, with patience, I’d like to see the BATT ETF challenge a February high of about $14.50. That’s doable considering the supply-demand situation. With an expense ratio of 0.59%, the BATT ETF provides exposure to global companies deriving material revenue from developing, producing and using lithium battery technology. Some of its top holdings include Tesla, Albemarle, Sociedad Química y Minera de Chile S.A. and Panasonic.
On the date of publication, Ian Cooper did not have (either directly or indirectly) any positions in the securities mentioned. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.