Is it too late to buy surging ASX lithium shares like Mineral Resources and Liontown?

Investors are piling into ASX lithium shares. Will the bull run continue in 2026?

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Key points
  • ASX lithium shares such as Mineral Resources and Liontown Resources have significantly outperformed the market, driven by rebounding global lithium prices over the past six months.
  • China's supply-side adjustments and surging demand for electric vehicles have contributed to the rise in lithium prices, benefiting Australian lithium stocks.
  • Experts suggest that ASX lithium shares have potential for continued growth into 2026.

ASX lithium shares, including Mineral Resources Ltd (ASX: MIN) and Liontown Resources Ltd (ASX: LTR), have been on a tear over the past half year.

Both stocks are posting strong intraday gains today.

And amid resurgent global lithium prices, they've smashed the benchmark returns these past six months.

Here's what I mean.

Since market close on 23 June, the All Ordinaries Index (ASX: XAO) has gained a modest 3.2%.

Over this same time, the Mineral Resources share price has surged 167.6%, while Liontown shares have leapt 129.1%.

Here's how some of the other fast-rising ASX lithium shares have performed over the last six months:

  • Pls Group Ltd* (ASX: PLS) shares are up 231%
  • IGO Ltd (ASX: IGO) shares have gained 102.7%
  • Core Lithium Ltd (ASX: CXO) shares are up 225.0%

(*Formerly Pilbara Minerals, with the company name changed in early December.)

Clearly, shareholders will be pleased with the past half-year's returns.

But those are all in the rearview now.

Which brings us back to our headline question.

Is it too late to buy these surging ASX lithium shares now?

Green stock market graph with a rising arrow symbolising a rising share price.

Image source: Getty Images

What's been lifting the Aussie lithium miners?

Before we look ahead, first it's important to note what's been sending Mineral Resources, Liontown, and the other Aussie lithium stocks rocketing.

As mentioned up top, that's largely due to sharply rebounding global lithium prices.

Indeed, we're seeing lithium carbonate prices trading at their highest levels in 18 months, while spodumene (a lithium bearing mineral) is trading at its highest levels in two years.

And we need look no further than China, the world's top lithium consumer, to discover the fuse that's been lit under ASX lithium shares these past months.

On the supply side, China's government sent lithium prices jumping last week following news that it had revoked a number of expired mining permits that were reportedly focused on lithium.

While that move is unlikely to have a material impact on global lithium production, markets nonetheless appear to be anticipating tighter supplies amid rising demand.

The lithium price and ASX lithium shares have also been catching tailwinds from expectations of increasing demand.

As Trading Economics notes, China recently said it aims to double the nation's EV charging capacity to 180 gigawatts by 2027. And with EV sales rapidly increasing in China, major lithium producer Ganfeng said it expects a 30% increase in lithium demand next year.

Can these surging ASX lithium shares keep rocketing in 2026?

Despite the huge gains over the last six months, Mineral Resources shares, Liontown shares, and indeed most all ASX lithium shares are still trading well below their 2022 and early 2023 highs.

And there are good reasons to believe they can keep outperforming in 2026.

According to Reg Spencer, a mining analyst at Canaccord Genuity (quoted by The Australian Financial Review):

Fundamentals of the lithium market are strong. We've seen pretty much every broker on the planet upgrade their forecasts so it's a great set-up heading into 2026.

The reality is that spodumene prices have doubled, chemical prices in China have almost doubled, and I still haven't seen any new Western greenfield projects sanctioned. And as the market gets bigger, you need more projects to come online to satisfy demand.

Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. 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.

More on Resources Shares

A large clear wine glass on the left of the image filled with fifty dollar notes on a timber table with a wine cellar or cabinet with bottles in the background.
Dividend Investing

How many Fortescue shares do I need to buy for $10,000 a year in passive income?

Fortescue shares have a long track record of twice-yearly passive income payments.

Read more »

An investor sits in front of his laptop looking pensive and concerned.
Resources Shares

Is this ASX mining giant quietly setting up its next big move?

BHP share price slips as investors watch iron ore and China.

Read more »

A sad looking engineer or miner wearing a high visibility jacket and a hard hat stands alone with his head bowed and hand to his forehead as he speaks on a mobile.
Resources Shares

Rio Tinto share price rises despite incident at major US copper mine

Rio Tinto shares climb despite an operations pause at its US copper mine.

Read more »

A young woman sits with her hand to her chin staring off to the side thinking about her investments.
Resources Shares

What $10,000 invested in BHP shares could become in 10 years

While mining shares can be volatile, long-term investors have still benefited from the sector.

Read more »

A man with his back to the camera holds his hands to his head as he looks to a jagged red line trending sharply downward.
Resources Shares

Syrah Resources shares tumble after major US tariff hit

A previous positive determination has been rolled back.

Read more »

a happy investor with a wide smile points to a graph that shows an upward trending share price
Resources Shares

2 ASX mining shares with 60% to 100% potential upside: experts

Brokers say these ASX mining shares should gain significant value over the next 12 months.

Read more »

A business person directs a pointed finger upwards on a rising arrow on a bar graph.
Resources Shares

This innovative ASX metals company could deliver more than 100% upside: broker

It's not too late to consider buying this metals innovator's shares.

Read more »

Business women working from home with stock market chart showing per cent change on her laptop screen.
Resources Shares

Should I invest $5,000 in BHP shares?

After a pullback from recent highs, I look to see if this mining giant could be worth considering for long-term…

Read more »