These three ASX lithium shares defied Wednesday's selloff

Which ASX lithium shares managed to beat the market doldrums today?

| More on:
a miner holds his thumb up as he holds a device in his other hand.

Image source: Getty Images

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

  • These lithium shares beat the performance of their peers in the materials sector as well as the broader market on Wednesday
  • Some of the share price movements come on the back of recent company news
  • The demand for lithium may remain high even amid recession fears

Three ASX lithium shares outperformed the selloff seen in the materials sector and the broader market on Wednesday.

The S&P/ASX 200 Materials Index (ASX: XMJ) closed the day 2.64% lower while the S&P/ASX 200 Index (ASX: XJO) finished down 1.56%.

Most of these companies have made significant announcements amid their shares becoming buoyant over the past week.

Let's cover which companies defied the market today.

Argosy Minerals Limited (ASX: AGY)

The Argosy Minerals share price closed 9.26% higher today. Although the company made no announcements today, or even recently, the Fool put the spotlight on the company earlier this month.

Argosy Minerals was included in a roundup of companies involved in graphite production, an emerging rival to lithium for its role in creating batteries. The company's graphite production at its site in Namibia is currently stalled, pending review and funding opportunities.

Then on 5 September, the Fool reported Argosy Minerals made it into the S&P/ASX 300 Index (ASX: XKO) due to changes in the company's market capitalisation.

Pilbara Minerals Ltd (ASX: PLS)

Pilbara's share price ended the day 1.02% ahead. There were no company announcements on Wednesday but yesterday, Macquarie analysts retained Pilbara's outperform rating. They nominated a $5.60 price target for its shares, an appreciable 12.9% upside.

The impetus for Macquarie holding Pilbara's outperform rating was said to be positive results posted from its battery metals exchange (BMX) auction. In September, Pilbara accepted a bid of US$6,988 per dry metric tonne for its lithium. That's well up from the US$6,188 per dry metric tonne offer it received in July.

My Fool colleague James notes "this strong pricing appears to demonstrate that the insatiable demand for lithium is not cooling despite concerns about the potential for a global recession in the coming months".

EV Resources Ltd (ASX: EVR)

Finally, the EV Resources share price finished flat today after carrying gains of 3.57% for most of the day. Shares lifted amid the company reporting it has discovered high-grade samples from its Christina tin-tungsten project in central Morocco.

On 8 September, it announced it had found high-grade lithium samples at its Austrian lithium projects. The samples taken reportedly tested for up to a 3.24% purity of lithium oxide.

EV Resources also has another horse in the race for lithium with a memorandum of understanding signed with Yahua International Investment and Development to supply spodumene concentrate.

Motley Fool contributor Matthew Farley 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 Materials Shares

A man looking at his laptop and thinking.
Materials Shares

Are Pilbara Minerals shares a buy, sell, or hold for 2025?

Let's see if analysts think this lithium giant should be in your portfolio now.

Read more »

Image from either construction, mining or the oil industry of a friendly worker.
Materials Shares

4 popular ASX lithium shares going gangbusters on Tuesday

Pilbara Minerals and three other lithium stocks are having a particularly strong session.

Read more »

Miner looking at a tablet.
Resources Shares

South32 shares sink amid $33 million copper investment

Copper continues to be in hot demand.

Read more »

Three miners looking at a tablet.
Materials Shares

Should you buy BHP shares amid 2024's weakness?

Is now the time to pounce on the mining giant's shares? Here's what analysts are saying.

Read more »

Lion holding and screaming into a yellow loudspeaker on a blue background, symbolising an announcement from Liontown.
Materials Shares

Here's why the Liontown share price could rise almost 70%!

Bell Potter thinks this lithium miner could be a high risk/high reward option for investors.

Read more »

Man with rocket wings which have flames coming out of them.
Materials Shares

Why is the Novonix share price rocketing 16% on Monday?

Big news is giving this stock a huge lift on Monday morning.

Read more »

A man wearing a shirt, tie and hard hat sits in an office and marks dates in his diary.
Materials Shares

Liontown shares fall on major guidance and cost update

Big changes are being made at this lithium miner due to weak prices.

Read more »

Miner standing in front of trucks and smiling, symbolising a rising share price.
Materials Shares

Core Lithium share price storming higher on 'excellent' exploration results

ASX investors are sending Core Lithium shares flying higher today.

Read more »