IGO Ltd (ASX: IGO) shares enjoyed a strong run higher on Wednesday.
Shares in the S&P/ASX 200 Index (ASX: XJO) lithium stock closed the day trading at $8.08 apiece, up 6.6%.
For some context, the ASX 200 closed up 0.8% yesterday.
This outperformance is par for the course for IGO shares this past year. As at Wednesday's close, the ASX 200 lithium miner is up 102.0% over 12 months, smashing the 7.4% gains delivered by the benchmark index over this same time.
But with the stock having more than doubled investors' money since last May, is it time to take profits?
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IGO shares: Buy, hold or sell?
Alto Capital's Tony Locantro recently ran his slide rule over the ASX 200 lithium miner (courtesy of The Bull).
"IGO is a diversified battery metals company with exposure to lithium, nickel and copper, including a strategic interest in the Greenbushes lithium operation," he noted.
Commenting on the big run higher in IGO shares this past year, Locantro said, "The company has benefited from strong investor interest in the energy transition theme, supported by long term demand expectations for battery materials."
But with the ASX lithium stock having surged 102% over 12 months, Locantro believes investors would do well to sell.
He concluded:
While IGO remains a high-quality operator, the share price appears to reflect a recovery in underlying commodity prices. In our view, uncertainty in near term commodity prices amid earnings volatility are likely to persist.
The risk-reward balance supports taking profits.
What's the latest from the ASX 200 lithium stock?
IGO reported its March quarter results (Q3 FY 2026) on 24 April.
Highlights included a 45% quarter on quarter increase in sales revenue to $119.7 million.
And earning saw an even bigger leap, with IGO reporting Q3 underlying earnings before interest, taxes, depreciation and amortisation (EBITDA) of $119 million. That's up 297% from Q2 FY 2026.
Despite those strong results, investors sent IGO shares tumbling 17.9% on the day after the miner revealed ongoing operational challenges at its flagship Greenbushes hard-rock lithium operation, located in Western Australia.
"Greenbushes production result this quarter is disappointing," IGO CEO Ivan Vella said.
"Performance has been challenged across a number of metrics including safety, feed grade, recoveries, maintenance execution and plant reliability," he added.
Vella noted that IGO is working to address the issues impacting Greenbushes.
"Many of these issues are systemic and, as part of the Strategic Options Review, programs and initiatives are being implemented to improve and address them," he said.
