Is It Too Late to Buy Albemarle Stock?
With inflation running hot, it's been quite the year for companies that mine and refine raw materials. Top lithium supplier Albemarle (NYSE: ALB) is no exception. Though the stock has been highly volatile, it's up nearly 30% over the last year, compared to a nearly 4% decline for the S&P 500.
Lithium is in sky-high demand right now as electric vehicle (EV) battery manufacturing ramps up. But with lithium prices near record highs and Albemarle stock up so much already in the last year, is it too late to buy?
It's first worth mentioning some risks with owning stocks like Albemarle. Mining and raw material producers are highly reliant on market prices for commodities. Commodity prices themselves are highly volatile and sensitive to even small fluctuations in supply and demand. Thus, this year's booming financial results could be followed by a big cool-off next year.
Source Fool.com
