The Core Lithium Ltd (ASX: CXO) share price is in the green today.
Core Lithium shares are rising 3.48% and are currently trading at $1.04.
Let's take a look at what could be weighing on the Core Lithium share price today.
What's going on?
Core Lithium shares are outperforming multiple ASX lithium shares today. The Sayona Mining Ltd (ASX: SYA) share price is lifting 1.25% today, while Lake Resources N.L. (ASX: LKE) shares are up 0.95% and Allkem Ltd (ASX: AKE) shares are up 0.34%. However, the Pilbara Minerals Ltd (ASX: PLS) share price is 0.39% in the red.
In US markets overnight, lithium shares also had a mixed performance. The Sociedad Quimica y Minera de Chile share price (NYSE: SQM) climbed 1.63%, while Albemarle Corporation (NYSE: ALB) shares leapt 0.069%. meanwhile, Lithium Americas Corp (NYSE: LAC) shares slid 3.47%.
Core Lithium shares descended 6% on the market yesterday. Investors could be buying the dip in light of recent positive broker coverage on the company's shares. Macquarie lifted Core Lithium to outperform this week with a $1.30 price target.
The broker is tipping Core Lithium to generate a high level of free cash flow in FY24 and FY25. Core Lithium is developing the Flinders Lithium Project in the Northern Territory. Core Lithium states Finniss is "one of the most capital efficient lithium projects" in Australia. First spodumene concentrate production from this project is due in the first half of 2023.
Last week, Core Lithium advised it is making "good exploration progress" at the Finniss project. Drilling at the Hang Gong and Bilatos prospects delivered "promising results".
Commenting on this news, CEO Gareth Manderson said:
The RC and diamond drilling results are encouraging and demonstrate that the additional investment in the drilling program at Finniss in 2022 is the right approach for the exploration strategy.
Core Lithium share price snapshot
The Core Lithium Ltd (ASX: CXO) share price has soared 101.94% in the last year.
Core Lithium has a market capitalisation of about $1.9 billion based on the current share price.
