The Pilbara Minerals Ltd (ASX: PLS) share price is back on form on Tuesday.
In afternoon trade, the lithium miner's shares are up 5% to $4.64.
Why is the Pilbara Minerals share price rising?
Investors have been bidding Pilbara Minerals' shares higher today despite there being no news out of the company.
However, a large number of lithium shares are recording solid gains today. For example, the Allkem Ltd (ASX: AKE) share price is up 3%, the Mineral Resources Limited (ASX: MIN) share price is up 4%, and the Sayona Mining Ltd (ASX: SYA) share price is up 4.5%.
This appears to have been driven by bargain hunters taking advantage of recent weakness in the lithium industry following the market selloff.
Lithium miners were sold off so hard that even after its strong gain today, the Pilbara Minerals share price is still down 6% since this time last week.
Can its shares keep rising?
Analysts at Macquarie are likely to see the recent weakness as a buying opportunity for investors.
The broker currently has an outperform rating and $5.60 price target on the company's shares.
Based on the current Pilbara Minerals share price, this implies potential upside of almost 21% for investors over the next 12 months.
The broker recently revealed that it was pleased with Pilbara Minerals' latest digital lithium auction and believes the high price it command is a reflection on market tightness.
