The Pilbara Minerals Ltd (ASX: PLS) share price has been rocketing higher as of late.
It has gained a whopping 45% since the start of 2022. It's also currently more than 160% higher than it was this time last year and nearly 600% higher than it was five years ago.
Indeed, it hit a new record high of $5.61 last week. The Pilbara Minerals share price is trading at $5.12 on Wednesday.
With all those gains under its belt, does the S&P/ASX 200 Index (ASX: XJO) lithium producer still offer an upside for investors?
Well, that depends on who you ask. Here's what brokers are expecting from the stock in the future.
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Is now a good time to buy Pilbara Minerals shares?
The rapid rise of the Pilbara Minerals share price has stunned many market watchers and left brokers with mixed opinions on its future movements.
In the bear corner is UBS. The broker has a sell rating and a $2.65 price target on the stock – representing a potential 48% downside, my Fool colleague Tristan reports. It's said to be concerned about the company's valuation.
Such concerns are shared by Fairmont Equities' Michael Gable, who said, courtesy of The Bull:
I believe vertical share price moves higher are unsustainable, particularly when profit takers make their move.
Medallion Financial Group's Jean-Claude Perrottet also tips the stock as a hold, reports the masthead, saying:
Despite higher-than-expected costs, [Pilbara Minerals] has upgraded production expectations for fiscal year 2023. The outlook is bright if prices remain elevated.
Even more positive sentiments are coming from Macquarie. Its analysts responded well to the company's latest battery material exchange auction, which brought in a record bid of US$6,988 per dry metric tonne.
Macquarie has hit Pilbara Minerals shares with an outperform rating and a $5.60 price target, The Motley Fool Australia's James reports. That represents a potential 9% upside on its current level.
And surging lithium prices are expected to continue into the near future. The federal government expects prices to peak in the next year, with Australian lithium exports tipped to surge to $13.8 billion this financial year.
