Lithium companies mine and process lithium into compounds that are critical in the production of electric vehicles (EVs), batteries, and grid storage. As such, it's an essential metal in the modern economy. In addition to lithium mining and production companies, there are companies that develop solid-state lithium batteries for electric vehicles.
Automakers and battery manufacturers accelerated their investment in EVs during the COVID-19 pandemic but then pulled back as relatively high interest rates constrained auto sales, including sales of EVs. The resulting oversupply of lithium led to a sustained decline in the lithium carbonate price.
That decline continued through 2023 and into 2025. However, as of late 2025 and early 2026, lithium prices have picked up notably on stronger EV and energy storage demand coming from China.
Six leading lithium stocks to consider in 2026
Betting on lithium isn't for the faint of heart. Soaring demand for a manufacturing material doesn't automatically translate into higher sales and profits for a company. Supply also plays a hand in the market price of the basic material, so when supply outpaces demand, prices fall -- and the material producer's sales can fall, too, even if demand is expanding.
Law of Supply and Demand
As with all mining operations, establishing new lithium projects can be a substantial financial commitment. It often takes several years to reach full production, which can strain a mining company's financial resources. However, the long-term potential of these projects can be a significant draw for investors.
Here are five leading lithium producers and one leading lithium battery developer.
1. Sociedad Química y Minera de Chile
Sociedad Química y Minera de Chile (SQM -2.58%) is one of the world's largest producers of lithium used in batteries and other energy storage technologies. Its two major shareholders are Chile's Pampa Group (a mining company), which owns 26%, and China's Tianqi (an EV battery metal processor), owning 22%. The company has operations in Chile, Australia, and China.
NYSE: SQM
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Sociedad Química y Minera predicts that demand for lithium will outpace supply over the long term, so it has been investing in increasing its production capacity. With recent improvements now complete, the company claims it will be able to increase its market share in supplying lithium, mainly for EV batteries.
2. Albemarle
Mining and chemical producer Albemarle (ALB -6.18%) is leading the charge in global lithium output. Among the company's biggest customers is Panasonic (OTC:PCRFY), which manufactures lithium batteries for everything from small consumer electronics to EVs. Samsung (SSNL.F +56.02%) and Corning (GLW +0.83%) are also significant customers.
NYSE: ALB
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ASX: MIN
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The company is a relatively diversified model in the commodity world, with the more stable income from services offsetting the weakness in its own mining activities when the prices of lithium or iron ore are weak. While that might reduce the downside risk, it also means the company isn't quite as exposed to the rising price of lithium as more conventional miners.
4. QuantumScape
QuantumScape (NYSE:QS) is developing a solid-state lithium-metal battery for EVs that its management believes will deliver a step change in battery technology compared to the lithium-ion batteries currently used by Tesla (TSLA -0.16%) and other EV makers.
NASDAQ: QS
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The company is well capitalized with cash and manageable debt, and it has generated healthy profit margins. With China now dominating the EV market, the company has a bright future.
6. Lithium Americas
Legacy automakers have big plans to electrify their vehicle lineups in the coming years, which means millions of new EVs could be sold. The potential trend has led to a big jump in smaller, more speculative lithium stocks such as Canada-based Lithium Americas (LAC +1.53%).
NYSE: LAC
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Future of lithium stocks
While the future of lithium demand remains a function of EV battery demand -- and, in turn, EV investment -- battery energy storage systems (BESS) are becoming an increasingly important source of demand.
It's an attractive market, according to the International Energy Agency (IEA), which believes there will be a 40% deficit in lithium in 2035 based on current demand and supply trends. That view implies upside potential for lithium and lithium stocks.
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