Insights

Here’s why ASX lithium stocks are rocketing higher today

It has been a fantastic day for lithium stocks…
The post Here’s why ASX lithium stocks are rocketing higher today appeared first on The Motley Fool Australia. –

The S&P/ASX 200 Index (ASX: XJO) is on form on Thursday and charging higher. At the time of writing, the benchmark index is up 0.8% to 7,366.1 points.

However, as positive as this is, this gain pales in comparison to one area of the market – the lithium industry.

Lithium stocks race higher

In afternoon trade, a number of ASX lithium stocks are on course to record very strong gains. Here’s a summary of how they are performing:

The Allkem Ltd (ASX: AKE) share price is up 5%.
The Core Lithium Ltd (ASX: CXO) share price is up 7%.
The Lake Resources N.L. (ASX: LKE) share price is up 6%.
The LionTown Resources Limited (ASX: LTR) share price is up 7%.
The Pilbara Minerals Ltd (ASX: PLS) share price is up 6.5%.
The Sayona Mining Ltd (ASX: SYA) share price is up 11%.
The Vulcan Energy Resources Ltd (ASX: VUL) share price is up 5%.

Why are they rising?

Today’s gain appears to have been driven by the release of an impressive result from lithium giant Livent overnight.

The NYSE-listed lithium miner saw its shares hurtle 30% higher after reporting a 17% increase in revenue to US$143.5 million and a 94% quarter on quarter jump in EBITDA to $53.2 million. This was well-ahead of the market’s expectations.

In addition, Livent’s CEO, Paul Graves, spoke very positively about current trading conditions, which seems to have given investor sentiment a big boost.

He commented:

Strong lithium demand growth has continued in 2022.  Published lithium prices in all forms have increased rapidly amid very tight market conditions and Livent continues to achieve higher realized prices across its entire product portfolio.

In light of this positive outlook, Livent has upgraded its full year revenue guidance by over US$200 million and its EBITDA guidance by over US$130 million.

It now expects revenue of US$755 million to US$835 million and EBITDA of US$290 million to US$350 million. The midpoint of this guidance implies year on year growth of 89% and 360%, respectively.

It certainly is a boom time for lithium stocks.

The post Here’s why ASX lithium stocks are rocketing higher today appeared first on The Motley Fool Australia.

Wondering where you should invest $1,000 right now?

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

*Returns as of January 12th 2022

More reading

Core Lithium share price is surging 7% on Thursday. What’s going on?
These 3 ASX 200 shares are topping the share market’s volume charts on Thursday
Why Alliance Aviation, Amcor, Core Lithium, and QBE shares are storming higher
Why is the Pilbara Minerals share price rocketing 7% today?
What will the lithium price be in 2025?

Motley Fool contributor James Mickleboro has positions in Allkem Limited. 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.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

  • This field is for validation purposes and should be left unchanged.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;


To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.


An active and funded account with a positive trading balance is required to continue to have access to the tools;


Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;


Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US & HK* Trades. Click Here!