Albemarle is a leading lithium and chemicals company, headquartered in North Carolina in the United States. The company is quoted on the New York Stock Exchange and has a market capitalisation of around $28 billion.
Albemarle is one of the largest global lithium producers, owning lithium brine assets in the US and Chile and hard rock lithium mines in Australia via its joint ventures.
It also owns processing facilities in China, Chile, the US and Australia and has received grants from the US government to increase its manufacturing capacity for the electric vehicle (EV) market.
Gemma Boothroyd, analyst at Freetrade, comments: “Albemarle is a big name in lithium. Similarly to Piedmont, Albemarle’s bread and butter is the production of battery-grade lithium.”
She points to lithium sales increasing by over 300% in the most recent quarter, with the company also achieving an impressive growth of over 600% in year-on-year earnings per share.
Although Albemarle’s share price has risen by 20% in the last six months, it’s currently trading a third below its all-time high of $335 at the end of 2022.
Ms Boothroyd comments: “There is, of course, the risk that lithium prices fall, but as one of the largest suppliers in the world, Albemarle has been able to lock in some big contracts that could stabilise some uncertainty if that occurs. And, it has the flexibility to renegotiate contracts due to changing spot prices.”
