- Sayona’s share price declined by more than 8% on the ASX on Wednesday afternoon.
- Sayona’s peers Pilbara Minerals Limited and Core Lithium Ltd also ended in red territory.
- Meanwhile, the S&P/ASX 200 Materials sector closed marginally higher today.
Renowned lithium miner Sayona Mining Limited (ASX:SYA) shares were spotted falling significantly by 6.363% to AU$0.257 per share at 3:30 PM AEST on the ASX today (17 August). The stock went on to shed more than 8% during the afternoon hours.
In last six months, Sayona’s share price has appreciated by more than 93% on the ASX. In last five years, the stock’s price has gained whopping 2,420%.
What is pulling down Sayona’s share price on the ASX today?
Sayona is a leading Australia-based lithium producer. The company is involved in several projects in Québec, Canada, and Western Australia. Sayona’s shares were spotted trading in the red territory on Wednesday afternoon. However, the lithium explorer did not share any significant announcement on the ASX today.
Though, on Wednesday, the S&P/ASX 200 Materials sector (INDEXASX:XMJ) closed a tad higher, at 16,458.1 points, major lithium miners ended in red.
Pilbara Minerals Limited ended 1.577% lower at AU$3.120 per share while Core Lithium Ltd ended 4.026% down at AU$1.430 apiece.
Lithium is considered one of the highly demanding commodities in the world right now. The consumption for batteries has risen significantly in recent years because rechargeable lithium batteries are getting used extensively in the booming electric vehicles market. Also, the metal is being hugely used in portable electronic devices, electric tools, grid storage applications etc.
As the manufacturing of electronic vehicles is going on at a rapid pace now, lithium prices are subjected to change based on the supply-demand of the commodity. As a result, lithium stocks on the ASX have been facing volatility for some time now.