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.
| Name and ticker | Market cap | Dividend yield | Industry |
|---|---|---|---|
| Sociedad Química Y Minera De Chile (NYSE:SQM) | $11.1 billion | 0.00% | Chemicals |
| Albemarle (NYSE:ALB) | $19.2 billion | 0.99% | Chemicals |
| Mineral Resources (ASX:MIN) | $11.8 billion | 0.00% | Metals and Mining |
| QuantumScape (NASDAQ:QS) | $6.3 billion | 0.00% | Auto Components |
| Ganfeng Lithium Group (OTC:GNEN.F) | $16.8 billion | 0.26% | Chemicals |
| Lithium Americas (NYSE:LAC) | $1.4 billion | 0.00% | Metals and Mining |
NYSE: SQM
Key Data Points
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.
NYSE: ALB
Key Data Points
ASX: MIN
Key Data Points
NASDAQ: QS
Key Data Points
OTC: GNEN.F
Key Data Points
NYSE: LAC
Key Data Points
Lithium Americas currently doesn't generate any revenue. The value of the company lies in its joint venture with General Motors (GM -0.11%) to fund, develop, construct, and operate a commercial mine and chemical manufacturing operation in Thacker Pass, Nevada.
The company anticipates completing phase 1 of the project in late 2027, with an expectation of producing 40,000 metric tons per year of battery-grade lithium. As such, investors are hoping demand will pick up in time for the start of the project. Lithium Americas is a highly speculative stock that will attract enterprising investors, but most investors will want to tread lightly with these speculative bets.
How to invest in lithium stocks
- Open your brokerage app: Log in to your brokerage account where you handle your investments.
- Search for the stock: Enter the ticker or company name into the search bar to bring up the stock's trading page.
- Decide how many shares to buy: Consider your investment goals and how much of your portfolio you want to allocate to this stock.
- Select order type: Choose between a market order to buy at the current price or a limit order to specify the maximum price you're willing to pay.
- Submit your order: Confirm the details and submit your buy order.
- Review your purchase: Check your portfolio to ensure your order was filled as expected and adjust your investment strategy accordingly.
Staying diversified
To help lessen wild swings in value, consider buying a lithium exchange-traded fund (ETF) such as the Global X Lithium & Battery Tech ETF (LIT -1.69%) or investing in a basket of lithium stocks like the ones listed above. Given the ups and downs in lithium production, keep any investment in this niche of the mining and chemicals industry small and stay focused on the long term.
Related investing topics
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.
FAQ
About the Author
