Our Stock of the Week is Albemarle Corporation (ALB). Albemarle is one of the world’s largest producers of lithium, a critical input for electric vehicle batteries and energy storage systems, with additional businesses in bromine specialty chemicals and refining catalysts. After lithium prices collapsed in 2023, ALB spent a couple of years in a protracted downtrend before reversing off support about a year ago, since then the stock has been in a solid uptrend amid growing confidence that the worst of the lithium price cycle is behind it.
Since late 2025, lithium prices have started to push off lows, and that’s been reflected in ALB’s results. On May 6 after the close, Albemarle reported Q1 2026 results that came in well ahead of expectations, with revenues growing to $1.4 billion (vs. est. $1.32 billion) and adjusted earnings of $2.95 per share (vs. a loss of $0.18 per share a year earlier).
As CEO Kent Masters noted, “higher pricing and volumes in Energy Storage and Specialties, along with continued cost and productivity actions, were the key contributors to our results.” The report prompted a spate of price target increases, with UBS raising its target to $264, Truist moving to $260, and Baird and Citi both lifting their targets as well. Truist noted that Energy Storage earnings are “significantly inflecting” as stronger lithium pricing drives near-term earnings higher. This morning, RBC Capital, Argus, and Jeffries each rised their target prices to $253, $230, and $244, respectively.
Technically, ALB carved out a base at highs earlier this year before hitting fresh highs on heavy volume on April 16th ahead of earnings. After digesting that move, shares pushed back toward highs again on Thursday on heavy volume following the Q1 report and could be in position to continue pressing higher. As always, we will not chase any early strength on Monday morning, but will look to aggressively trade the stock as the chart develops.
Interested in learning about how we help clients build long-term wealth and not end up being a charity to the IRS in the process? Click here to invest with RevShark, and let’s explore the how we can to make a significant impact on your results.
This post is for educational purposes only! This is not advice or a recommendation. We do not give investment advice. Do not act on this post. Do not buy, sell, or trade the stocks mentioned herein. We WILL actively trade this stock differently than discussed herein. We will sell into strength and buy or sell at any time for any reason. We will actively trade into any unusual activity. At the time of this post, principals, employees, and affiliates of Shark Investing, Inc. and/or principals, clients, employees, and affiliates of Hammerhead Financial Strategies, LLC, directly or indirectly, controlled investment and/or trading accounts containing no positions in ALB at the time this was published. To accommodate the objectives of these investing and/or trading accounts, the trading in these shares will be contrary to and/or inconsistent with the information contained in this posting.
