Albemarle (ALB), Pilbara Minerals (PLS AU), and Ganfeng Lithium (1772 HK) are up 80% YTD, with short interest at 10–20% of float.

• Battery makers squeezed higher recently, continuing monopolizing lithium demand and triggering multiple return-related squeezes.

• With no commoditized spot market, traders use equities to hedge or monetize exposure — driving borrow rates and squeeze risk.

Lithium stocks are heating up across the globe — crowded trades, rising short interest, and elevated squeeze scores are defining the landscape. Lithium, a soft metal mined primarily for batteries, powers the electric vehicle revolution.

This echoes the Korean battery stock boom, where lithium is a critical input. Today, over 90% of global lithium supply goes directly into battery production.

Stock prices and short interest are climbing together. Short sellers are leaning in with value and reversal strategies, even as many of these names have doubled.

Leading the charge are Albemarle (ALB) in the U.S., Pilbara Minerals (PLS AU) in Australia, and Ganfeng Lithium (1772 HK) in China/Hong Kong — with a combined market cap of roughly $25 billion.

Unlike gold, lithium lacks a standardized spot market, so only the stocks can be shorted to hedge or monetize lithium prices. These names show short interest 10% to 20% of float and are increasingly hard to borrow — causing higher squeeze risk.

Shorts are betting against high lithium prices that support these companies’ valuations.

Albemarle (ALB) holds steady short interest at 10%, but its price doubling amplifies squeeze risk. It looks like it squeezed in August and September.

Pilbara Minerals (PLS AU) shows rising short interest and climbing stock prices — a dual trigger for high squeeze scores. Squeezes in July and September are supported by the data. Borrow rates have increased recently.

Ganfeng Lithium In Hong Kong appears to have undergone a recent squeeze after doubling in price with the short interest falling 30%. Its short interest as a percent fo float is near 10% and borrow rates have increased recently to 5%.

The Global X Lithium & Battery Tech ETF (LIT) which tracks lithium and battery names globally, had short interest double recently but is not crowded. It’s up 54% YTD, despite the pressure, LIT remains easy to borrow.

Investors can go long or short the ETF, its 1.4BB notional with options available. As an index it’s less volatile than any stock and has cheaper options.

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