Lake Resources (ASX: LKE) share price on fire today up 14%
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the Resources of Lake NL (ASX: LKE) the stock price is on fire today. As of this writing, shares of Lake Resources are up 13.77% today at 34 cents a share. It comes after the company closed at 30 cents a share last week and opened at 32 cents this morning.
So what’s going on with this lithium company’s ASX share price today?
Lake share price soars
It’s unclear exactly what ignites the rocket under Lake Resources shares today. There was actually no major official news or announcements from the company this morning. Or since June 4, when a financial update of his Kachi project was published.
It should be noted that Lake Resources’ other ASX lithium miners don’t feel the same way today either. Pilbara Minerals SA (ASX: PLS) shares are down 1.43% at time of writing to $ 1.38 per share. Likewise, Limited Galactic Resources (ASX: GXY) Shares are also on the nose this morning, falling 2.22% to $ 3.30 per share.
There might be another factor at play here though.
Last week Lake posted a research report from Oror Capital on its business fundamentals. This Orior report revealed that the company looked incredibly cheap. He compares the current Lake Resources share price to that of another US-based lithium company. Standard Lithium Ltée (OTCMKTS: STLHF).
He found that Standard Lithium is currently trading at 107% of adjusted sound attributable position–tax net present value (NPV). Orior estimates that if Lake were valued with the same model, his stock is worth around $ 1.89 per share. This would imply a potential rise of 456% from the current share price and 530% from the share price Lake Resources closed last week.
It is possible that investors took to heart some of the findings of this report today.
About the Lake Resources share price
The Lake Resources share price has proven to be strong for investors in recent months and years. Shares of the company have posted gains of 21.4% in the last week alone, 26% in the past month, a whopping 375% since the start of the year, and 750% in the last 12 last months.
At the current share price, Lake Resources has a market cap of $ 343.4 million.