The Mineral Resources Ltd (ASX: MIN) share price is pushing upwards on Wednesday afternoon. This comes despite the mining services company keeping a quiet front on the news releases this week.

At the time of writing, Mineral Resources shares are up 3.19% to $51.71 apiece. In comparison, the S&P/ASX 200 Index (ASX: XJO) is down 0.24% to 7,337.6 points.

Let’s take a closer look and see what’s driving Minerals Resources shares higher today.

A positive outlook on Mineral Resources shares 

Investors appear to be upbeat about the company’s prospects, sending the Mineral Resources share price to a 3-month high.

While the company hasn’t released any news over the last few days, it did receive attention from a couple of brokers today.

Analysts at Macquarie raised its 12-month price target by 10% to a bullish $79 per share.

Following suit, Swiss investment house, UBS also lifted its outlook on Mineral Resources shares by 20% to $54.15. Based on the current share price, this implies an upside of almost 5% for investors.

The price of iron ore has rallied since hitting a 52-week low of US$91.98 last month. Currently, the steel-making ingredient is fetching for US$113.64 per tonne, an improvement of 23% over the short time period.

In addition, the price of lithium carbonate has soared to 242,500 Chinese yuan per metric tonne (roughly A$53,245). This represents an increase of close to 80% in the past year.

Demand for the electric vehicle market has accelerated in recent times following a global push by world governments to lower carbon emissions. To put that into perspective, electric vehicle deliveries in China are expected to total 3 million units this year, more than double of last year’s. Furthermore, this is anticipated to reach 5 million sales in 2022 alone.

Mineral Resources share price snapshot

Over the past 12 months, Mineral Resources shares have gone strength to strength, rising 50%. In 2021 alone, its shares are travelling 40% higher on the back of rebounding iron ore and lithium prices.

On valuation grounds, Mineral Resources presides a market capitalisation of roughly $9.82 billion, with approximately 188.85 million shares outstanding.

The post What’s driving the Mineral Resources (ASX:MIN) share price higher today? appeared first on The Motley Fool Australia.

More reading

• These 5 ASX shares grew revenue by more than 70% in the last year
• Macquarie names the best ASX lithium shares to buy in 2022
• Mineral Resources (ASX:MIN) share price gains on new lithium partnership
• Minerals Resources (ASX:MIN) share price wobbles on lithium agreement
• What this EV forecast could mean for top ASX 200 resource shares

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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There are some leading S&P/ASX 200 Index (ASX: XJO) dividend shares that are compelling options for income.

Plenty of businesses pay a dividend or distribution. But only some of them have major growth plans and/or a history of dividend reliability.

These two are potential options:

Bapcor Ltd (ASX: BAP)

Bapcor is a leader in the auto parts industry with businesses like Burson and Autobarn.

It is one of the ASX 200 dividend shares with the longest records of consistent dividend growth for investors, going back several years. It even slightly increased its dividend during the difficult COVID-19 year of 2020.

Whilst the business has been impacted by various COVID-19 effects, the company is expecting further growth in the coming years. The average age of vehicles continues to rise, requiring more maintenance.

Over the next five years Bapcor wants to grow its overall network footprint from 1,100 to 1,500 locations. That’s an increase of around 36%. The company also wants to invest in store refurbishments and relocation.

It also wants to grow its own brand products program which can come with higher profit margins.

Bapcor also has a plan to deliver supply chain initiatives and invest in technology.

Asia could also be a growing driver of growth including its Burson network in Thailand as well as its investment in Tye Soon.

The forecast on CommSec suggests another dividend in FY22 to $0.22 per share. If that happens, it would be a grossed-up dividend yield of 4.5%.

Wesfarmers Ltd (ASX: WES)

Wesfarmers is another ASX 200 dividend share that is committed to paying investors a good source of income.

It has a number of businesses that are among the leaders in their sectors including Bunnings, Catch, Kmart, Target and Officeworks.

In FY21, Wesfarmers grew its full year ordinary dividend by 17.1% to $1.78 per share, after a 16.2% increase of continuing underlying earnings per share (EPS) to $2.14. On top of that, Wesfarmers also decided on a $2 per share return of capital.

The company continues to look for investment opportunities to increase its earnings and open up new growth avenues.

For example, it is part of the Mt Holland lithium project. The demand for lithium is expected to significantly increase over the next decade as demand explodes for electric vehicles and other battery uses.

Wesfarmers is also currently in the middle of a takeover battle for pharmacy business Australia Pharmaceutical Industries Ltd (ASX: API). If Wesfarmers is successful against Woolworths Group Ltd (ASX: WOW), then API will form part of a new health, beauty and wellness division of Wesfarmers.

According to Commsec, at the current Wesfarmers share price, it’s going to pay a grossed-up dividend yield of 4.75% in FY23.

The post 2 strong ASX 200 dividend shares to own for income appeared first on The Motley Fool Australia.

More reading

• Why is the BetaShares Crypto Innovators ETF (ASX: CRYP) share price leaping higher today?
• ASX 200 (ASX:XJO) midday update: Rio Tinto’s lithium acquisition, Pilbara Minerals jumps
• Invested in Wesfarmers (ASX:WES) shares? Here’s what to watch in 2022
• 5 things to watch on the ASX 200 on Wednesday
• Here are the top 10 ASX shares today

Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia owns and has recommended Wesfarmers Limited. The Motley Fool Australia has recommended Bapcor. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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Many of Australia’s top brokers have been busy adjusting their financial models again, leading to the release of a large number of broker notes this week.

Three ASX shares brokers have named as buys this week are listed below. Here’s why they are bullish on them:

BHP Group Ltd (ASX: BHP)

According to a note out of Macquarie, its analysts have retained their outperform rating and $52.00 price target on this mining giant’s shares. This follows the release of industry data which appears to indicate improving demand for iron ore. Outside this, BHP continues to be Macquarie’s top pick among the major miners. It estimates that the company’s shares are trading on a free cash flow yield in the high teens, which bodes well for dividends. The BHP share price is trading at $41.24 this afternoon.

Sonic Healthcare Limited (ASX: SHL)

A note out of Morgans reveals that its analysts have retained their add rating and lifted their price target on this healthcare company’s shares to $50.72. Morgans made the move after increasing its earnings estimates materially to reflect heightened COVID-19 testing demand and the acquisition of US-based anatomical pathology company Propath. The Sonic share price is fetching $45.22 on Wednesday.

Universal Store Holdings Ltd (ASX: UNI)

Analysts at UBS have initiated coverage on this fashion retailer’s shares with a buy rating and $8.00 price target. According to the note, the broker believes Universal Store is well-placed for growth thanks to expansion opportunities and the superiority and pricing of its products. UBS also notes that its shares trade on attractive multiples given its outlook. The Universal Store share price is trading at $6.84 on Wednesday afternoon.

The post Top brokers name 3 ASX shares to buy today appeared first on The Motley Fool Australia.

More reading

• Why is the BHP (ASX:BHP) share price edging higher today?
• 2 high quality ASX 200 shares with huge upside potential
• Fed up with term deposits? How to get 10% income from ASX shares
• 2 value ASX shares ready for a big 2022: fund manager
• Why is the BHP (ASX:BHP) share price having such a lousy start to the week?

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Sonic Healthcare Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The Flight Centre Travel Group Ltd (ASX: FLT) share price is edging lower today after notching a better day on Tuesday.

The travel agent’s share price is $17.05 at the time of writing, down 0.29%, after dropping as low as $16.91 earlier in the session. This comes after the Flight Centre share price closed 3.89% higher for the day yesterday.

Let’s take a look at the latest from the ASX travel agent.

New technology platform

Flight Centre informed the market it has taken over Texas-based business Compli.ai. The company has developed software known as Shep.

The software will be integrated into Flight Centre’s leading FCM travel management business to provide more flexibility for customers.

Commenting on the news, Flight Centre corporate CEO Chris Galanty said:

FCM is all about flexibility – we customize our products and services to the needs of our customers at global scale.

The Shep tool allows us to customise offerings further by injecting important and relevant FCM content on online booking tools and third party websites that travellers are accessing.

Flight Centre noted the Shep acquisition was one of many investments into its global corporate business during the pandemic.

The company also has plans to expand into Japan in early 2022 via a joint venture with Tokyo company NSF Engagement Corporation.

What else is impacting travel shares?

While the Flight Centre share price is down today, the company is not the only travel share languishing on the market on Wednesday.

At the time of writing, the Qantas Airways Limited (ASX: QAN) share price is even at $4.82. Meanwhile, Webjet is also flat at $5.20.

As noted by my Foolish colleague Brooke yesterday, all these companies gained on the market on Tuesday despite ongoing Omicron COVID-19 variant fears.

Travel restrictions eased for international arrivals into Sydney and Melbourne yesterday, while South Australia abolished the requirement for a COVID test on arrival into the state.

However, National Cabinet is holding an emergency meeting today to decide on how to respond to a significant rise in COVID-19 Omicron variant cases. This could be weighing into the minds of travel share investors.

Flight Centre share price snapshot

The Flight Centre share price is up more than 14% this year and 7% on the year to date.

For perspective, the S&P/ASX 200 Index (ASX: XJO) has returned around 11% over the past year.

Meanwhile, in the past month, the travel agent’s shares are down 14%.

The company has a significant market capitalisation of $3.4 billion based on today’s share price.

The post Here’s what’s happening to the Flight Centre (ASX:FLT) share price today appeared first on The Motley Fool Australia.

More reading

• What boosted ASX 200 travel shares on Tuesday?
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• Why is the short interest in Flight Centre (ASX:FLT) shares still growing?
• How high will ASX travel shares fly in 2022?
• These are the 10 most shorted ASX shares

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The Step One Clothing Ltd (ASX: STP) share price has dropped dramatically this morning following a trading update on a potential GST overclaim.

The Step One share price opened at $1.53 today, a plunge of 34% since yesterday’s close. At the time of writing, shares in the online retailer are still down 29.5%, trading at $1.66. 

Step One prides itself on becoming the manufacturer of the most comfortable men’s underwear on the planet while leaving a positive ethical footprint. Let’s take a closer look at the company’s news today.

Potential GST overclaim

In its release, the company reported a potential overclaim of GST credits on an Australian supply made by a foreign corporation. 

Step One reported that its potential overclaim was limited to just one supplier, and estimated the financial impact for FY22 would be $1.6 million ($1.1 million after tax). The flow-on impact from the overclaim for FY21 would be about $1.3 million ($0.9 million after tax), with FY20 and previous years coming in at $200,000 ($100,000 after tax).

The company said it had reviewed all other foreign suppliers and was in the process of notifying the Australian Taxation Office (ATO).

The company was listed on the ASX just last month, so today’s plunge in the Step One Clothing share price will no doubt come as a blow to shareholders.

The company said it would conduct a full review of its GST in the coming year, and expects its FY22 earnings before interest, taxes, depreciation and amortisation (EBITDA) to be $15 million, as per its prospectus.

With growth on the intended horizon, the company expects its FY22 sales revenue to be up by 21-25% (compared to 19.9%) with the introduction of its women’s innerwear line due next month.

The company will deliver a results announcement on its sales and financial performance for the six months ending 31 December 2021 on 22 February 2022.

How has the Step One share price performed? 

The Step One Clothing share price has fallen by almost 40% in just a few weeks since its initial public offering on 4 November.

The Step One share price soared 10% yesterday, despite no news or announcement being released. However, that boost was short-lived after today’s downward spiral.

The company has a market capitalisation of $307 million and more than 185 million shares issued.

The post Why did the Step One Clothing (ASX:STP) share price plummet 34% today? appeared first on The Motley Fool Australia.

More reading

• Why did the Step One (ASX:STP) share price rocket 10% today?
• 2 ASX shares only just starting their growth
• Morgans names 2 exciting ASX small cap shares to buy

The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The S&P/ASX 200 Index (ASX: XJO) is having a pretty dreary hump day so far this Wednesday. At the time of writing, the ASX 200 is down by 0.25% after initially rising this morning. And that is making the Afterpay Ltd (ASX: APT) share price look especially pleasing today.

Afterpay shares are currently up a very healthy 5.3% at $87.38 each after closing at $82.89 yesterday and opening at $88 this morning. So why is this buy now, pay later (BNPL) pioneer faring so well compared to the broader market?

Well, the first thing to note is that it has been a rough period for Afterpay shares lately. Only yesterday, the company hit a new 52-week low of $80.20 a share, the lowest pricing Afterpay has seen since October 2020. It’s possible that today’s gains are a result of investors trying to ‘find a bottom’ for Afterpay shares.

Afterpay share price bounces off 52-week low

But we also can’t look past the overnight performance of Block Inc (NYSE: SQ). Block, or Square, as it used to be known, is currently in the process of acquiring Afterpay in full. Back in August, both companies announced the pending nuptials, with Afterpay shareholders set to receive 0.375 shares of Block for every Afterpay share held in an all-scrip deal. Since the offer amount is set at a fixed ratio of block shares, this inherently tied the Afterpay share price to that of Block.

Well, surprise, surprise, the Block share price also had a strong night overnight on the US markets. The payments giant was up a very pleasing 7.7% overnight to US$170.47 a share. This comes after Block hit a new 52-week low of its own this week (US$157.57).

With Block shares rising 7.7% overnight, this also means that the takeover offer on the table for Afterpay just increased by 7.7% in value as well. So this is the likely reason why we are seeing such a strong rise in the Afterepay share price today.

But it probably wouldn’t be hurting that ASX tech shares across the board are also in the green today. The S&P/ASX All Technology Index (ASX: XTX) is currently up by 1.2%. And other major ASX tech shares like Xero Limited (ASX: XRO) and WiseTech Global Ltd (ASX: WTC) are also enjoying strong days.

At the current Afterpay share price, this ASX 200 BNPL share has a market capitalisation of $25.37 billion.

The post Why is the Afterpay (ASX:APT) share price soaring 5% today? appeared first on The Motley Fool Australia.

More reading

• Why Afterpay, Lovisa, Liontown, and Pilbara Minerals shares are racing higher
• These 5 ASX shares grew revenue by more than 70% in the last year
• $4.5 million brawl over Afterpay (ASX:APT) options settled
• Invested in Afterpay (ASX:APT) shares? Here’s what to watch in 2022
• Why Afterpay, Humm, Namoi Cotton, and Pilbara Minerals shares are falling

Motley Fool contributor Sebastian Bowen owns Block, Inc. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended AFTERPAY T FPO, Block, Inc., WiseTech Global, and Xero. The Motley Fool Australia owns and has recommended AFTERPAY T FPO, WiseTech Global, and Xero. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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Owners of Altech Chemicals Ltd (ASX: ATC) shares are having a good week amid plenty of news emerging from the company.

On Monday, Altech announced its 75%-owned German Battery Materials Coating Plant project was deemed ‘green’ by Norway’s independent Centre of International Climate and Environmental Research (CICERO).

Additionally, the company successfully completed a share purchase plan last week and released the results on Monday.

At the time of writing, the Altech Chemicals share price is 10.75 cents. That’s 7.5% higher than its previous close and 2.3% higher than it was at the end of last week.

For context, the broader market is in the red today. The All Ordinaries Index (ASX: XAO) is currently down 0.1% while the S&P/ASX 200 Index (ASX: XJO) has slipped 0.18%.

Let’s take a closer look at all that’s been going on with the alumina developer.

What might be driving the Altech Chemicals share price this week?

Battery materials plant dubbed ‘green’

The Altech Chemicals share price is in the green this week amid news its battery material project’s sustainability has been endorsed by a prestigious entity.

CICERO found the company’s coated silicon anode material could reduce the carbon footprint of lithium-ion batteries by between 19% and 52%.

The company believes this could have a large impact on the burgeoning electric vehicle industry.

Its proposed Battery Materials Coating Plant will be located at the Schwarze Pumpe Industrial Park in Saxony, Germany.

CICERO has slapped the project with a ‘medium green’ rating. That confirms the project is eligible to receive green bond financing.  

To award the rating, CICERO looked at the project’s proposed governance procedures and transparency, labelling them ‘good’. It commented:

The plant has near zero scope 1 and 2 emissions as the plant’s processes, including steam generation, are fully electrified, and it will use renewable electricity sourced from on-site solar panels and renewable energy certificates.

The body also encouraged Altech Chemicals to implement a supply chain sustainability policy and encourage suppliers to address sustainability impacts.

That’s particularly important as more than 90% of the plant’s carbon footprint comes from its feedstock materials.

Successful share purchase plan

The Altech Chemicals share price might also be being boosted by the success of the company’s recent $2.2 million share purchase plan.

More than 250 shareholders bought new shares for 10.7 cents apiece through the plan.

The company also recently raised $8.1 million through a placement.

The funds will go towards purchasing land at the battery materials coating plant’s home industrial park, as well as its construction, preliminary feasibility study, and definitive feasibility study.

The post Own Altech Chemicals (ASX:ATC) shares? Here’s why the company is making headlines this week appeared first on The Motley Fool Australia.

More reading

• Here’s why the Altech Chemicals (ASX:ATC) share price is plunging 14% today

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is on course to record a small decline. At the time of writing, the benchmark index is down 0.2% to 7,341.3 points.

Four ASX shares that are not letting that hold them back are listed below. Here’s why they are rising:

Afterpay Ltd (ASX: APT)

The Afterpay share price is up 5.5% to $87.66. This follows a strong rise in the Square share price overnight during a very positive session on Wall Street. In addition, a rebound in the Bitcoin price appears to have given Square a lift. It has meaningful exposure to the cryptocurrency. Afterpay shareholders voted in favour of Square’s all-scrip takeover offer last week.

Lovisa Holdings Ltd (ASX: LOV)

The Lovisa share price is up 4% to $19.67. Investors have been buying this fast fashion jewellery retailer’s shares after UBS initiated coverage on it with a buy rating and $21.25 price target. UBS believes there are plenty of reasons to be positive on Lovisa. These include reopening tailwinds and margin expansion due to operating leverage.

Liontown Resources Limited (ASX: LTR)

The Liontown share price is up 3% to $1.53. This follows the release of a bullish broker note out of Macquarie Group Ltd (ASX: MQG). According to the note, the broker has retained its outperform rating and boosted its price target on the lithium developer’s shares by 10% to $2.20.

Pilbara Minerals Ltd (ASX: PLS)

The Pilbara Minerals share price has jumped 7% to $2.69. This appears to have also been driven by the note out of Macquarie this morning. Its analysts suspect that lithium prices could remain at sky high levels for the next four years. As a result, they have upgraded their earnings forecasts, retained their outperform rating, and lifted their price target on Pilbara Minerals’ shares to $3.70.

The post Why Afterpay, Lovisa, Liontown, and Pilbara Minerals shares are racing higher appeared first on The Motley Fool Australia.

More reading

• Here’s why the Pilbara Minerals (ASX:PLS) share price is bouncing back 8% today
• ASX 200 (ASX:XJO) midday update: Rio Tinto’s lithium acquisition, Pilbara Minerals jumps
• These 5 ASX shares grew revenue by more than 70% in the last year
• Is it a buy? Why UBS is bullish on the Lovisa (ASX:LOV) share price
• Macquarie names the best ASX lithium shares to buy in 2022

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended AFTERPAY T FPO. The Motley Fool Australia owns and has recommended AFTERPAY T FPO. The Motley Fool Australia has recommended Lovisa Holdings Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The European Lithium Ltd (ASX: EUR) share price is surging during early afternoon trade on Wednesday. This comes after the company announced it has agreed to pursue a cooperation and offtake partnership with an international commodities merchant.

At the time of writing, the lithium miner’s shares are up a sizeable 9.52% to 11.5 cents. It’s worth noting, however, that despite the strong gains, its shares are still down 14.8% in a month.

Why is European Lithium shooting for the stars?

Investors are driving up the European Lithium share price following upbeat sentiment on the company’s potential commercial opportunities.

According to its release, European Lithium advised it has signed a multi-tiered non-binding memorandum of agreement (MOA) with Traxys.

This sets up the future supply of lithium hydroxide (LiOH) from European Lithium’s Wolfsberg Project in Austria.

Under the terms, Traxys will retain exclusivity until the end of the first quarter of 2022. This will allow it to finalise the offtake agreement with the miner.

Traxys will also provide support in securing working capital and other project financing facilities for the development of the Wolfsberg Project. So far, the physical commodity trader and merchant has introduced European Lithium to financial institutions in relation to project finance. This has led to the opening of direct communications between European Lithium and the potential lenders.

Furthermore, discussions are being scheduled regarding a potential investment by Traxys for the commercialisation of the Wolfsberg Project.

European Lithium chair Tony Sage said:

Finalising an offtake agreement is another key milestone for the Company and will add to recent developments at the Wolfsberg Project. In the current high lithium price environment, partnering with Traxys and leveraging their expertise will achieve the best result for shareholders while the company retains flexibility.

About the European Lithium share price

In the past 12 months, the European Lithium share price has boasted a gain of around 140% from continued positive investor sentiment. The company’s share price charged higher in early November following a resource re-estimation of the Wolfsberg Project.

Based on today’s price, European Lithium has a market capitalisation of around $124.25 million, with roughly 1.08 billion shares outstanding.

The post Why the European Lithium (ASX:EUR) share price is rocketing 9% appeared first on The Motley Fool Australia.

More reading

• What happened to the European Lithium (ASX:EUR) share price today?
• European Lithium (ASX:EUR) share price sinks after listing in US

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The Pilbara Minerals Ltd (ASX: PLS) share price is staging a comeback from the fall it experienced yesterday. However, the reason behind the rebound is not company-specific. Instead, sentiment appears to have been rejuvenated sector-wide today.

At the time of writing, shares in the lithium producer are up 8% to $2.71. Meanwhile, the S&P/ASX 200 Index (ASX: XJO) is trading 0.24% lower to 7,337.4 points.

So, what could be driving this discrepancy between the overall market and the Pilbara Minerals share price today?

A bright future for Pilbara Minerals share price

This morning it was revealed that the analyst team over at Macquarie is seeing a considerable opportunity for ASX-listed lithium miners.

Even more promising, the broker expects the trend to be more than a fad. The analysts expect a positive environment for at least four years as electric vehicle adoption supports record lithium prices.

While Macquarie named a number of companies that it believes are set to benefit from this trend, Pilbara Minerals was labelled its top pick among ASX lithium shares.

Furthermore, the broker maintained its outperform rating and increased its price target on the Pilbara Minerals share price by 32% to $3.70. This would suggest a further ~36% upside in the company’s shares if it were to reach Macquarie’s new price target.

Mining giant shows taste for lithium

In the midst of the rebounding sentiment for Pilbara Minerals today, another newsworthy item involving lithium has been handed out. This morning Rio Tinto Limited (ASX: RIO) revealed its intention to acquire an Argentinian lithium mine for US$825 million.

Although the news does not directly involve Pilbara Minerals, it shows that the lithium opportunity is on the radar of mining giants. Additionally, investors might be perceiving the news as an indicator for possibly more merger and acquisition opportunities within the lithium mining sector.

The Pilbara Minerals share price is up an astonishing 208% since the beginning of 2021.

The post Here’s why the Pilbara Minerals (ASX:PLS) share price is bouncing back 8% today appeared first on The Motley Fool Australia.

More reading

• ASX 200 (ASX:XJO) midday update: Rio Tinto’s lithium acquisition, Pilbara Minerals jumps
• Macquarie names the best ASX lithium shares to buy in 2022
• Here are the 3 most heavily traded ASX 200 shares this Tuesday
• Why Afterpay, Humm, Namoi Cotton, and Pilbara Minerals shares are falling
• Why is the Pilbara Minerals (ASX:PLS) share price crashing 10% lower today?

Motley Fool contributor Mitchell Lawler owns Macquarie Group Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Macquarie Group Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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