The top battery stocks are going to distinguish themselves as electric vehicle demand accelerates.
According to the International Energy Agency about one out of every five cars will be electric this year globally. Of course, that’ll have a massive impact on EV battery demand, too.
In fact, according to Fortune Business Insights, the global EV battery market could grow to about $98.9 billion by 2029 from $37.9 billion in 2021. All of which could be beneficial for these three battery stocks.
|BATT||Amplify Lithium & Battery Technology ETF||$12.42|
For one, the company said it would invest $1.3 billion in its new lithium hydroxide plant in South Carolina to help meet battery demand.
Two, the company expects the site to produce about 50,000 metric tons of battery-grade lithium, with the potential to double output.
Three, that production could help produce 2.4 million electric vehicles every year.
Fueling even more upside, lithium prices are on the mend. Even analysts at Citigroup just said the collapse in lithium price is likely to be over, and prices could rebound by as much as 40% by the end of the year.
Even better, Albemarle is now working with Ford. It will deliver battery-grade lithium hydroxide for that company’s EVs.
Albemarle will supply more than 100,000 metric tons of battery-grade lithium hydroxide for approximately 3 million future Ford EV batteries. The five-year supply agreement starts in 2026 and continues through 2030.
Solid Power (SLDP)
Its chart may be ugly but don’t write off Solid Power (NASDAQ:SLDP) for good. For one, analysts at Needham just reinstated its buy rating, with a $5 price target. In addition, the firm added that SLDP is a “well-funded call option.”
Solid Power is also working to expand its relationship with BMW (OTCMKTS:BMWYY) through a joint development agreement. That agreement helped the company see $3.8 million in revenue in the first quarter of 2023, up $1.6 million year-over-year.
Plus, the company has two key milestones this year. Investors expect for the company to report an improvement in key cell performance metrics. It also is expected to deliver EV cells to its partners by late 2023.
Amplify Lithium & Battery Technology ETF (BATT)
With an expense ratio of 0.59%, the Amplify Lithium & Battery Technology ETF (NYSEARCA:BATT) provides exposure to global companies associated with lithium battery technology.
With lithium prices on the mend, so is the BATT ETF. In fact, as lithium has pushed aggressively higher, the BATT ETF ran from a rent low of $11.60 to $12.59 a share. From here, I’d like to see the BATT ETF retest $14 a share.
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.