Lithium Leader Loses $1.7 Billion in Market Cap in One Day: What Bad News Emerged?

Albemarle Corporation (ALB) closed at $156.48 on the New York Stock Exchange on the 4th, a 7.29% drop that wiped out roughly $1.25 billion in market capitalization—about KRW 1.7 trillion—in a single day. Trading volume was around 2 million shares, and the company’s current market cap stands at approximately $18.4 billion, or about KRW 25 trillion.

Despite this decline, HSBC recently raised its price target from $117 to $200 and upgraded its rating to “buy.” Lithium prices have rebounded from their lows—below $9,000 per metric ton—to around $18,000, yet Albemarle’s share price has continued to lag, adding to volatility.

Albemarle is scheduled to release its fourth-quarter 2025 earnings after the close of trading on February 11. In the short term, the stock’s direction is likely to hinge on its earnings guidance and the outlook for lithium supply.

As one of the world’s largest producers of lithium and bromine—key materials for electric vehicle and energy-storage batteries—Albemarle is regarded as a core play in the energy transition and the expansion of EV adoption. Over the past year, a rebound in lithium prices, cost-reduction efforts, and expectations of improved results have driven the stock up by more than 70%. This rally has prompted an increase in buy recommendations amid fears of a supply crunch, even as some investors take profits in the near term.