Lithium remains a critical metal in our technology-driven world, powering everything from rechargeable batteries for electric vehicles and renewable-energy storage such as solar and wind, to electronics and industrial uses. What’s changed as we move into 2026 is that the global lithium market appears to be slowly rebalancing: after years of oversupply and steep price drops, recent supply cuts and increasing demand from EVs, grid storage, and energy transition initiatives have helped stabilize prices.
In Canada, that shift is opening new opportunities for domestic lithium producers. Several major mining and processing projects are now advancing toward production, leveraging Canada’s regulatory framework and infrastructure advantage. This includes extraction efforts in Alberta and hard-rock spodumene developments in Quebec. This positions Canada as an increasingly important player in the North American battery supply-chain ecosystem.
Looking further ahead, the broader lithium market is forecast to grow substantially: global demand is expected to climb steadily through 2026 and beyond, fueled by ongoing electrification, larger battery-storage deployments, and expanding EV penetration. For those who want to invest in this metal for the long term, here’s what you should know about lithium stocks.
What are lithium stocks?
Lithium stocks are publicly traded companies that mine, process, or distribute lithium. At the moment, investing in lithium stocks is the only way investors can gain exposure to this elemental metal. Unlike other metals, such as gold and silver, investors cannot invest in lithium as a commodity.
That said, there are plenty of great opportunities among lithium-producing companies, especially with the electric vehicle revolution underway.
Investors should note that lithium companies can produce two types of lithium: lithium carbonate and lithium hydroxide. Putting chemical differences aside, these two types of lithium differ in how they’re produced, as well as how long they last.
Lithium carbonate is extracted from underground brine pools and man-made lakes. While lithium hydroxide is a by-product of lithium carbonate, it’s also found in spodumene ore, which is basically a fancy colourful rock.
The advantage of lithium hydroxide is that it often outlasts lithium carbonate, which makes it more valuable to electric car manufacturers, who want their batteries to have the longest life possible.
For that reason, investors might want to look closely at what type of lithium a company is producing.
Top lithium stocks in Canada
Though Canada has some of the largest mining companies in the world, it isn’t a major producer of lithium. Most of the world’s largest reserves of lithium are in China, Chile, Argentina, and Australia.
That said, Canada does have a few companies that engage in lithium mining. All-in-all, here are the top lithium stocks that you can find on exchanges.
| Lithium Stock | Description |
| Lithium Americas Corps (TSX:LAC) | A Canada-based company with plans to advance lithium operations in both Nevada, U.S., and Argentina. |
| Sigma Lithium (TSXV:SGML) | Canadian-listed lithium producer focused on sustainable, low-cost operations with plans to aggressively capacity for the global EV market. |
Lithium Americas Corps
Lithium Americas Corps (TSX:LAC) is a Canadian-based mining company with plans to operate lithium reserves in both Argentina and the U.S. In October 2024, the company finalized a joint venture with General Motors (GM) to develop the Thacker Pass lithium mine in Nevada, which hosts the largest known measured lithium resource in the world. Under this agreement, GM invested $625 million, securing a 38% stake in the project. The Thacker Pass mine is expected to produce 40,000 metric tons of battery-quality lithium carbonate annually in its first phase, sufficient for up to 800,000 electric vehicles, with operations slated to begin later this decade.
As a pre-revenue company in the development stage, LAC reported a significant net loss for the nine months ended September 30, 2025, with an EPS miss in Q3 2025. Financial activity is dominated by funding construction and operational expenses. The company has recently secured crucial financing through multiple equity programs and a new $130 million debt facility from Ganfeng, supplementing the pending $2.26 billion loan from the U.S. Department of Energy (DOE). The DOE financing is conditional on an agreement where the DOE will receive warrants for a 5% equity stake in LAC and has led to a deferral of debt service obligations.
The outlook for 2026 remains defined by construction milestones rather than revenue generation, as the company is not yet in production. Analysts and the market are closely watching for continued on-schedule progress at Thacker Pass, with peak construction expected in 2026. While long-term lithium demand is strong, especially for EVs and energy storage, LAC’s profitability hinges on the successful, timely, and on-budget execution of its flagship project and the trajectory of lithium prices leading up to its production start in 2027.
Sigma Lithium
Sigma Lithium (TSXV:SGML) is a Canadian-incorporated company with its head office in Toronto, listed on both the TSX Venture Exchange and NASDAQ. While headquartered in Canada, its operations are entirely focused on the Grota do Cirilo project in Brazil—one of the world’s largest and most environmentally advanced hard-rock lithium deposits. The company is known for its “quintuple-zero” sustainability approach, which emphasizes zero tailings dams, zero toxic chemicals, and zero carbon-intensive power in concentrate production.
Operationally, Sigma has continued scaling Phase 1 production while preparing for a major expansion. Recent quarterly results show consistent progress in output growth and improvements in cost efficiency, although profitability remains volatile due to fluctuating lithium prices. Previously reported all-in sustaining costs have trended downward year over year, positioning Sigma among the lower-cost hard-rock producers globally.
Looking ahead to 2026, the company’s strategy centres on completing its Phase 2 expansion, which is designed to significantly increase total nameplate capacity to more than 500,000 tonnes of annual lithium-concentrate production. This would place Sigma among the world’s largest integrated spodumene producers. With the long-term outlook for EVs and battery-grade lithium demand still robust, Sigma Lithium remains well-positioned to benefit as the market stabilizes and begins its next growth phase.
Are lithium stocks right for you?
Lithium is the future of energy. As a key ingredient in the production of batteries, lithium is the cornerstone of every renewable power source, including wind power, solar power, and hydro power, as well as the manufacturing of electric vehicles. For investors who are looking to buy into a cleaner future, lithium stocks could be a great long-term opportunity.
Lithium stocks aren’t without risks, however. Given the global demand for lithium, which continues to outpace supply, these stocks can be highly volatile. Even the companies listed above, which are anchored by large market caps and low levels of debt, can experience fidgety price movements, especially as demand for lithium continues to grow.
For investors who don’t want to buy individual stocks, there are also lithium-focused exchange-traded funds (ETFs).
Some top lithium ETFs include:
- Global X Lithium & Batter ETF
- Amplify Lithium & Battery Technology ETF
- Horizons Global Lithium Producers Index ETF
RELATED: Top Lithium ETFs in Canada