With lithium being a key component in batteries, the industry has seen a demand surge in recent years amid the growing popularity of electric vehicles (EV). However, geopolitical issues, supply chain disruptions, and fears of a looming recession pose risks to the sector.
In such a scenario, fundamentally weak stocks Sigma Lithium Corporation (SGML), Lithium Americas Corp. (LAC), and Piedmont Lithium Inc. (PLL) could be best avoided.
