In this article, we will discuss: 7 Best Lithium and Battery Stocks to Buy Right Now.
According to a December 12, 2025, Bloomberg report, energy storage technologies could drive up demand for lithium as the global market seeks stability following years of excess supply. Analysts at Citigroup, UBS, and Bernstein anticipate that storage demand will surpass that of electric vehicles in 2026 as utility-scale batteries become a rapidly expanding lithium consumer. Lithium prices have recovered 50% from June lows, but they are still less than one-sixth of late-2022 levels, according to BloombergNEF data. Chris Williams of Adamas Intelligence noted that energy storage remains the largest key factor for the lithium demand in 2026.
Caution tempers that optimism. As stated by UBS, regulatory support and declining battery costs could lead to a 55% spike in lithium demand from storage in 2026 compared to a 19% rise from EVs. Martin Jackson of CRU Group, nevertheless, called particular projections gravely exaggerated and stated that supply is still expected to exceed demand. Moreover, Iola Hughes of Benchmark Mineral Intelligence cautioned that China’s stricter regulations would cause growth to be choppier and possibly weaker in 2026-2027.
With that said, here are the 7 Best Lithium and Battery Stocks to Buy Right Now.
Photo by Kumpan Electric on Unsplash
Methodology:
We sifted through the ETFs and online rankings to form an initial list of the 12 Best Lithium and Battery Stocks to Buy Right Now. From the resultant dataset, we chose the 7 Best Lithium and Battery Stocks with the highest number of hedge fund holders for each stock using Insider Monkey’s database of hedge funds as of Q3 2025. We also considered the analysts’ upside potential as of January 21. Finally, we ranked these stocks in ascending order based on hedge funds.
Note: Our list includes both pure-play and non-pure-play stocks.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
7. Standard Lithium Ltd. (NYSE:SLI)
Number of Hedge Fund Holders: 8
Analysts’ Upside Potential as of January 21: 2.90%
Standard Lithium Ltd. (NYSE:SLI) is among the Best Battery Stocks.
On December 9, 2025, TheFly reported that three significant Export Credit Agencies have expressed interest in Smackover Lithium, a joint venture between Standard Lithium Ltd. (NYSE:SLI) and Equinor. Phase 1 of the South West Arkansas Project will be financed by more than $1 billion in senior secured project debt from the U.S. Export-Import Bank and Export Finance Norway.
The most recent quarter’s results from Standard Lithium Ltd. (NYSE:SLI) showed that important milestones were achieved. It included the release of a Maiden Inferred Resource for the Franklin Project in East Texas, which was recognized for its high lithium-in-brine grades, and a Definitive Feasibility Study for the SWA Project, which verified its cost-competitiveness. After the quarter ended, the business finished a capital raise, which made it possible to move forward with the Franklin and other East Texas projects as well as the final investment decision at SWA.
Standard Lithium Ltd. (NYSE:SLI) anticipates finalizing project funding, securing customer offtake agreements, selecting key SWA vendors, and approving FID to commence building in 2026.
The stock was up by 3.35% YTD as of January 21, 2026.
6. Sigma Lithium Corporation (NASDAQ:SGML)
Number of Hedge Fund Holders: 15
Analysts’ Upside Potential as of January 21: 24.22%
Sigma Lithium Corporation (NASDAQ:SGML) is among the Best Battery Stocks.
TheFly reported on January 15, 2026, that BofA kept its Underperform rating. It lifted the price goal for Sigma Lithium Corporation (NASDAQ:SGML) from $13 to $14. The analyst pointed out that an equity raising might still happen, even if it is dilutive. It characterized the recent operational update as insignificant and “non-incremental to our thesis.”
Separately, Canaccord reduced Sigma Lithium Corporation (NASDAQ:SGML) to Hold from Buy on January 16, 2026. It raised its price target to C$20.50 from C$14 as part of a Q4 outlook. The company amended its price deck for 2026 and 2027, which led to an average target price rise of 30%. The company’s inability to use its waste piles and the uncertainties surrounding the resumption of mining on the site are reflected in the rating.
Sigma Lithium Corporation (NASDAQ:SGML)’s net revenue rose by 69% quarter over quarter and 36% YoY in the most recent quarter. This was due to its commercial partnerships with clients and reliance on their balance sheets, which allowed it to effectively manage changes in the price of lithium.
Sigma Lithium Corporation (NASDAQ:SGML) is a commercial manufacturer of lithium concentrate.