It is fair to say that Novonix Ltd (ASX: NVX) shares have had a difficult 12 months.
As you can see on the chart below, since this time last year, the battery materials technology companyâs shares have lost 77% of their value.
This means that if you had invested $1,000 into the companyâs shares a year ago, you would unfortunately only have $230 leftover today.
Clearly, Novonix shares have underperformed the market. But will that be the case again in 2023 or will things be better for investors?
Novonix shares to rise in 2023?
Unfortunately, Novonix shares are not widely covered by brokers, so we donât have a lot of opinions on the company’s outlook for the year ahead.
In fact, the only major broker covering the company is Morgans. The good news, though, is that the broker is cautiously optimistic on its outlook.
Late last year, its analysts put a speculative buy rating and $3.11 price target on the companyâs shares.
So, with Novonix shares currently trading at $1.89, this suggests that they could rise almost 65% over the next 12 months.
If this recommendation proves to be on the money, it would turn a $1,000 investment into $1,650 at the end of the year.
Ultimately, whether 2023 is a successful year for Novonix shares may depend on anode prices and the progress it makes on the construction of its US manufacturing facility for high-performance synthetic graphite anode materials.
The latter is scheduled is on track to begin a delivery rate of 3,000 tonnes per annum (tpa) of high-performance synthetic graphite to KORE Power in 2024.
Finally, it is worth highlighting that Morgans has a speculative rating on its shares. This means that an investment carries a lot of risk.
The post If I invest $1,000 in Novonix shares now, what could my return be this year? appeared first on The Motley Fool Australia.
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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.