The IGO Ltd (ASX: IGO) share price is gaining ground on Thursday despite trading ex-dividend today.
At the time of writing, the shares of the battery materials producer are up 0.79% to $14.67 a share.
For context, the S&P/ASX 200 Index (ASX: XJO) is up 0.55% to 6,866.3 points following yesterday's nasty sell-off.
Let's take a look at why IGO shares are trading higher on Thursday.
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Why is the IGO share price powering up today?
As the ASX recovers from Wednesday's $60 billion hit, the IGO share price is following suit.
This is because of the positive investor sentiment surrounding ASX lithium shares at the moment.
If you manage to scoop up some IGO shares yesterday and owned them at market open, you'll be eligible for the company's upcoming dividend.
IGO will pay shareholders a fully franked dividend payment of five cents per share on 30 September.
Although the final dividend is lower than H2 FY21's 10 cents per share, the full-year dividend is the same amount as paid in FY21.
IGO did not pay an interim dividend for FY21.
Are IGO shares a buy?
Following the company's full-year results, a couple of brokers have weighed in on the IGO share price.
As reported by ANZ Share Investing, Jefferies raised its price target by 3.2% to $16 per share.
In addition, JP Morgan had a more bullish outlook, lifting its price target by 16% to $16.30 apiece.
Based on the current share price, this implies an upside of around 8.5%.
IGO share price summary
Over the past 12 months, the IGO share price has risen by almost 50% due to momentum in commodity prices.
On the other hand, the S&P/ASX 200 Materials Index (ASX: XMJ) is flat over the same period.
IGO shares are a whisker away from their all-time high of $15.26 reached in April this year.
Based on today's price, IGO commands a market capitalisation of approximately $11.1 billion and has a dividend yield of 0.33%.
