A number of ASX lithium shares have been generating big returns for their shareholders over the last 12 months.
The good news is that according to analysts, there are still plenty of potential gains to come.
For example, analysts say the three ASX lithium shares listed below could have 30% upside or more from current levels. Here’s what you need to know:
Allkem Ltd (ASX: AKE)
The first ASX lithium share that could be a buy with big potential returns is Allkem. It is the lithium miner behind the Mt Cattlin and Olaroz operations. Bell Potter is a fan of the company. It notes that “AKE is our preferred lithium exposure noting it is a top 5 global producer and its slated merger with Livent is expected to bring US$125 million per annum in synergies and expedite expansions.”
Bell Potter has a buy rating and $18.90 price target on its shares. This suggests potential upside of 30% for investors over the next 12 months.
Azure Minerals Ltd (ASX: AZS)
Bell Potter is also feeling very bullish on this lithium explorer due to the huge potential of the 60%-owned Andover Lithium project. Its analysts believe that the project is comparable to the Wodgina Lithium Project owned by Mineral Resources Ltd (ASX: MIN) and Kathleen Valley owned by Liontown Resources Ltd (ASX: LTR).
The broker has a speculative buy rating and $5.15 price target on its shares. This implies approximately 100% upside from current levels.
Pilbara Minerals Ltd (ASX: PLS)
The team at Macquarie remains very positive on this ASX lithium share and continues to rate it as its top pick in the industry. The broker was impressed with the company’s recent drilling results which have given the Pilgangoora Project mineral resource estimate a huge boost.
So much so, earlier this week, the broker retained its outperform rating with an improved price target of $7.50. This implies almost 40% upside for investors from current levels.
