Platinum's Impressive Ascent Could Continue Through 2026
In this article, we look at platinum's performance and fundamentals this year and provide experts' expectations for the metal in 2026. We present three companies that should benefit from higher platinum prices: Platinum Group Metals Ltd. (PTM:TSX; PLG:NYSE.MKT), Eastern Platinum Ltd. (ELR:TSX; ELR:LSE; EPS:JSE), and Valterra Platinum Ltd. (VALJ.J:JSE; ANGPY:OTCMKTS; VALT:LSE).
With platinum in a bull market, its price has much further to run due to the metal's current and projected supply-demand dynamics, analysts say. They expect the price to keep rising at least through 2026, perhaps longer.
"Platinum is emerging as a compelling long-term investment," wrote Jana Kane, editor-in-chief of the LiteFinance trading blog, on Dec. 11. "Its allure stems from strong industrial demand, a pivotal role in green energy, and limited supply."
Platinum gained about 94% between the start of 2025 and Dec. 15, rising to US$1,766 per ounce (US$1,766/oz) from US$910/oz, outpacing even gold. The metal's most recent peak was on Dec. 12 at US$1,779/oz, more than three times its nadir of US$562 in March 2020.
Platinum's price is "set to soar," with a first target of US$1,80,0 then the uptrend possibly steepening, Technical Analyst Clive Maund wrote in a Dec. 8 report on the metal.
"Platinum is expected to follow the lead of gold and silver and drive through remaining resistance to make new highs," he added.
Most analysts predict a year-end 2025 (YE25) platinum price of US$1,770/oz, though some see it lower, at US$1,714, Kane reported. Forecasts for the metal in 2026 are bullish, US$2,340 on the higher end and US$1,710-1,748 more conservatively.
Platinum at Year-End 2025
In 2025, the platinum market is facing its third consecutive year of a deficit, estimated at 850,000 ounces (850 Koz), Edward Sterck, research director at the World Platinum Investment Council (WPIC), told CME Group on Dec. 10. Supply is expected to remain the same in the range of 7,200,000-7,300,000 (7.2-7.3 Moz).
This structural deficit is in large part due to production constraints (operating challenges, operational and labor cost inflation, power sector hindrances) and lack of expansion capital investment in South Africa, producer of about 80% of the world's largest platinum producer, according to Crux Investor in a Dec. 9 article. Other reasons are geopolitical risk affecting flows from Russia, the world's second-largest platinum producer, and limited pipeline development in these and other traditional producing regions.
Recycling, too, has been suppressed in the past three years but has begun turning around with the higher platinum prices, Sterck noted.
Platinum demand is forecasted to end this year at just under 8 Moz, according to Sterck. WPIC's forecasts for 2025, reported in its Q3/25 Platinum Quarterly on Nov. 18, show automotive demand up over the prior five-year average and jewelry demand higher year over year (YOY) due to greater interest from China, the U.S., Europe, and India. Total bar and coin investment is expected to record nearly 50% YOY growth, driven by surging demand in China.
CME Group noted a significant increase in demand for platinum derivatives to manage price risk. Platinum futures' average daily volume rose 22% to 38,000 contracts as of Q3/25. Subsequently, a record-breaking 9,500 platinum options contracts were traded on Oct. 24.
"We're seeing increased interest from firms across the physical supply chain, from producers to major consumers in the oil and gas industry," said Yang Lu, CME Group's Senior Director of Metals Products.
Expectations for 2026
As for next year, WPIC's Sterck told CME Group he expects the platinum deficit to persist throughout it and continue until 2029, but shrink during the time period to about 486 Koz due to an upsurge in recycling activities. WPIC forecasts recycling supply to expand by about 10% in 2026.
According to Crux Investor, two recent developments in China are expected to both boost demand and tighten the supply of platinum.
China recently reclassified platinum as one of its strategic critical minerals. This "creates a structurally higher floor for long-term platinum demand, reducing downside price risk and improving project finance economics across the development pipeline," Crux wrote.
Because the Asian country produces very little platinum domestically, it must import 95%-plus of the quantity it requires. Also, China's need for platinum for the energy transition, specifically in the hydrogen sector, is growing.
"For investors, this dynamic supports long-term investment confidence in platinum by signaling that demand will persist across commodity cycles," Crux Investor added.
Earlier in December, China launched platinum futures on the Guangzhou Futures Exchange. This move formalizes institutional investment demand for the metal and creates new physical inventory requirements that tighten supply, Crux explained. The policy creates clear opportunities for established producers and emerging developers in jurisdictions offering diversification, like Canada, Brazil, and Australia.
However, certain events could loosen supply. Higher prices could encourage profit-taking from exchange traded funds (ETFs) that currently hold about 3.2 Moz of platinum, Sterck told CME Group.
"If tariff tensions subside, some of the above-ground stocks people accumulated in recent years amid heightened uncertainty could also be offloaded, helping shore up supply," he added.
Regarding demand next year, the WPIC projects a decrease from the automotive sector. Platinum purchases from the auto industry have been declining because of the electric vehicle (EV) revolution, CME Group wrote; however, the revolution seems to have slowed a bit, which means automotive demand may not drop as rapidly as expected. Tesla sales have been falling, and traditional carmakers have said they will keep producing hybrid and other combustion cars for longer than they originally planned. Other factors, such as the removal of the EV tax credit and potential Environmental Protection Agency rollbacks of carbon dioxide regulations in the U.S., could slow EV growth as well.
What could offset some of the drop in demand with respect to EVs is the hydrogen economy, in which platinum use is predicted to grow at a faster pace than in any other industry by 2030, CME Group reported. The WPIC forecasts a related increase in platinum uptake by 2030 of 875-900 Koz.
"Fuel cell electric vehicles, especially for heavy-duty trucks and buses, and so-called electrolyzers needed to power green hydrogen (energy made from water and renewable sources), will drive growth, alongside stationary or backup power facilities," CME Group wrote.
Also for next year, the WPIC sees jewelry demand contracting a bit, too. On the other hand, total coin and bar investment is projected to strengthen by about 30%. Industrial demand is expected to return to growth, primarily due to a recovery in chemical demand and the return of new capacity expansion in the glass sector.
Of course, as noted by CME Group, other macroeconomic factors and unexpected events, such as the global economy, geopolitical tensions, and conflicts, could influence the platinum market and price.
"As these dynamics continue to unfold, platinum's role in both industry and in investment portfolios will likely be top of mind for market participants," CME Group wrote.
Here's a look at four companies in the platinum space that stand to benefit from a sustained bull market in platinum:
Platinum Group Metals
Based in Vancouver, Platinum Group Metals Ltd. (PTM:TSX; PLG:NYSE.MKT) is a metals explorer-developer and owns 50.16% of the joint venture Waterberg platinum group metals (PGM) project on the Northern Limb of South Africa's Bushveld Complex. The company's near-term goals are to advance Waterberg to a development and construction decision.
Streetwise Ownership Overview*
Platinum Group Metals Ltd. (PTM:TSX; PLG:NYSE.MKT)
*Share Structureas of 12/15/2025In recent news, the board of directors of Waterberg Joint Venture Co. unanimously approved a sixth stage of work in the amount of ZAR92.1M for fiscal year 2026 (begun Sept. 1, 2025), so that work programs underway could continue.
Technical Analyst Maund pointed out in a Dec. 8 note that of Waterberg's 23,410,000 ounces of 4E Proven and Probable reserves, about 28.7% are platinum, 63.5% are palladium, and 6.2% are gold. He wrote that the company's stock "looks insanely cheap," especially because PGE prices are excellent.
"With its giant Waterberg project in northeast South Africa heading towards production and its stock price still very low and with a modest approximately 116M shares in issue, Platinum Group Metals Ltd. looks like an excellent investment at its current price, with not just big upside but [also] the potential for large percentage gains," Maund added. He rates the stock a Strong Buy for all time frames.
1As for ownership of this PGM company, eight strategic entities own 24.11%. The top insider and overall shareholder is Hosken Consolidated Investments Ltd. with 23.79%. Numerous institutions have 25.97%. The Top 3 are Franklin Advisers Inc. with 8.13%, Kopernik Global Investors LLC with 6.06% and Franklin Templeton Fixed Income Group with 2.42%. Retail investors hold the rest.
Platinum Group Metals has 116.74M shares outstanding, and its market cap is CA$313.71M. Its 52-week range is CA$1.39-CA$4.64/share.
Eastern Platinum
Eastern Platinum Ltd. (ELR:TSX; ELR:LSE; EPS:JSE), called Eastplats for short, based in Vancouver, owns four PGM projects in South Africa's Bushveld Complex, Crocodile River on the Western Limb and Kennedy's Vale, Spitzkop and Mareesburg on the Eastern Limb.
Streetwise Ownership Overview*
Eastern Platinum Ltd. (ELR:TSX; ELR:LSE; EPS:JSE)
*Share Structureas of 12/15/2025Currently, Eastplats is mining and processing ore from the Zandfontein underground section of Crocodile River to produce PGM and chrome concentrates.
In the latest development, the company secured a credit facility with Ka An Development Co. Ltd. for up to CA$1M. The miner will use the funds to ramp up its Zandfontein underground mine tonnage, targeting 70,000 tons of run-of-mine ore per month by YE26.
1Regarding the ownership and share structure of Eastern Platinum, Ka An Development is the largest shareholder with 49.52%. Retail investors hold most of the rest.
Eastern Platinum Ltd. has 203.49M shares outstanding. Its market cap is CA$45.08M. Its 52-week range is CA$0.11-0.375/share.
Valterra Platinum Ltd.
Headquartered in Johannesburg, South Africa, Valterra Platinum Ltd. (ANGPY:OTCMKTS; VALJ.J:JSE; VALT:LSE) mines, processes, and markets PGMs and associated coproducts.
Streetwise Ownership Overview*
Valterra Platinum Ltd. (ANGPY:OTCMKTS;VALJ.J:JSE; VALT:LSE)
*Share Structureas of 12/15/2025The company has three operating mines in South Africa's Bushveld Complex: Amandelbult in the Northwestern Limb, and Mototolo and Modikwa in the Eastern Limb. Mogalakwena is a producing joint venture project in the Northern Limb. Valterra's one producing mine in Zimbabwe is Unki.
The latest news is that the company successfully ramped up production from the Tumela Lower section of Amandelbult to a steady state, ahead of schedule. Full-year production guidance for the mine is 450,000-480,000 ounces of PGMs. The company is on track to deliver a total of 3-3.2 Moz of metal-in-concentrate production, about 2 Moz of which will be from its own operations. Refined production and sales volumes guidance is expected to be about 3.4 Moz of PGMs.
S&P Global Inc., in a Dec. 12 rating report, wrote it expects Valterra's adjusted EBITDA to increase about 43% this year to ZAR30.8 billion (ZAR30.8B) from ZAR21.5B in 2024 and its margin to grow to 27.9% from 19.7%. S&P assigned the company BBB long-term and A-3 short-term foreign and local currency issuer credit ratings. Both mean Valterra has an adequate capacity to meet financial commitments but is more vulnerable to adverse economic shifts than higher-rated entities.
"Our rating on Valterra reflects its adequate scale in PGM production, limited leverage and operations in the lower half of the cost curve," S&P wrote. "We expect the company will refine and sell 3-3.4 Moz of PGMs annually over the next two years, making it one of the Top 2 producers of PGMs globally and the top global producer of platinum."
In terms of ownership and share structure of Valterra, 13 institutions own 0.15%. Retail investors hold the rest.
The company has 264M shares outstanding, a market cap of ZAR21B, and a 52-week range of ZAC50.389-ZAR1,329/share.
Sign up for our FREE newsletter
Important Disclosures:
As of the date of this article, officers, contractors, shareholders, and/or employees of Streetwise Reports LLC (including members of their household) own securities of Eastern Platinum Ltd., Platinum Group Metal Ltd., and Valterra Platinum Ltd. Doresa Banning wrote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. This article does not constitute investment advice and is not a solicitation for any investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Each reader is encouraged to consult with his or her personal financial adviser and perform their own comprehensive investment research. By opening this page, each reader accepts and agrees to Streetwise Reports' terms of use and full legal disclaimer. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company.For additional disclosures, please click here.
1. Ownership and Share Structure Information
The information listed above was updated on the date this article was published and was compiled from information from the company and various other data providers.