Amplify Lithium & Battery Technology ETF (BATT) First Quarter Commentary 2026

The Amplify Lithium & Battery Technology ETF (BATT) seeks investment results that correspond generally to the EQM Lithium & Battery Technology Index. BATT is a portfolio of companies generating significant revenue from the development, production and use of lithium battery technology, including: 1) battery storage solutions, 2) battery metals & materials, and 3) electric vehicles (EV).

BATT returned 6.24% on net asset value (NAV) compared to its underlying benchmark, the EQM Lithium & Battery Technology Index, at 6.29% for the first quarter (Q1) 2026. Over the last year, BATT gained 78.40% on an NAV basis compared to its underlying index, up 79.53%.

Data as of 3/31/26. Fund inception date: 6/05/2018. Total expense ratio is 0.59%. The performance data quoted represents past performance and does not guarantee future results. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when sold or redeemed, may be worth more or less than the original cost. Current performance may be lower or higher than the performance quoted. Click here for recent month end performance. Brokerage commissions will reduce returns. NAV is the sum of all its assets less any liabilities, divided by the number of shares outstanding. The closing price is the last price at which the fund traded.

Top 10 Holdings

Data as of 3/31/26. Holdings and allocations are subject to change at any time and should not be considered a recommendation to buy or sell a security.

Battery materials in Q1 2026 continued a strong market resurgence driven by consistent demand and a recovery in prices. EV growth slowed as government incentives rolled off, but remained positive, and energy storage has been steadily ramping up in the background. Battery components, battery technology, and energy storage were the strong performing industry groups in the index over the period, while electric vehicle exposure was a negative contributor.

Key Metal Trends

After early pricing pressure in Q1 2025, lithium prices stabilized later in the year and began to rally in Q1 2026. Lithium Hydroxide (LTH) had a strong year in 2025, with lithium prices rising 45% and cobalt futures up 65%.¹ Supply disruptions alongside continued EV and battery storage demand have kept prices strong. Copper had a volatile 2025 thanks to tariffs, but the outlook looks more positive for 2026, with tight supply and strong demand.² Nickel demand for batteries has been under pressure in China as EV makers pivot to Lithium iron phosphates (LFP) or other cheaper, non-nickel battery alternatives.³ LFP batteries are 30% cheaper than Nickel Cobalt Manganese (NMC) alternatives and increasingly favored by Chinese manufacturers seeking to reduce costs. For context, LFP was the fastest growing battery chemistry in 2025. Both the U.S. and Europe are pushing to secure supply chains for critical materials to reduce dependency on China and other foreign sources and lock in future pricing.

U.S. EV Demand Slowdown, but Global Demand Remains Robust

Globally, electric vehicles (EVs) now account for a quarter of auto sales globally, with China pushing past 50% in EV share. Europe’s EV market has cooled as subsidies fade, but EVs still hold around a fifth of new-car sales. In the U.S., while EVs crossed the 10% share mark, this was against headwinds such as higher interest rates, charging infrastructure anxiety, and expiring fiscal incentives. Growth in the U.S. slowed from more than 60% annually to single digit gains.

Iran Conflict Impact on EVs and Metals

Demand for EVs is expected to accelerate in response to higher energy prices, making EVs a more cost-effective form of auto ownership even in the absence of subsidies.⁴ These trends could be quite pronounced if energy supply is disrupted for a prolonged period and prices stay above the $100 per barrel level. In countries where there is already access to low-cost Chinese EVs, the competitive advantage over gas cars will come even sooner. Brazil is already BYD’s largest market outside of China. Canada has reduced tariffs on selected Chinese models from 100% to 6%. Disruptions in the Strait of Hormuz are affecting the prices of more commodities than just oil, however. Beyond energy, the conflict is disrupting key non-oil commodities — like methanol, aluminum, sulfur and graphite — affecting many areas of global manufacturing and the clean energy transition.⁵

BATT’s top contributors to performance in Q1 2026 were BHP Group (+15.9%), Bloom Energy (+55.9%), and Freeport-McMoRan (+16.0%).

Shares of diversified global mining leader BHP Group have gotten off to a positive start to the year, capitalizing on the strong commodity price environment which is supporting high margins and healthy cash flow generation.⁶ BHP’s key exposures include iron ore, nickel, copper, and metallurgical coal. Shares of Bloom Energy have rallied as a specialist in providing power to data centers via fuel cell systems.⁷ As a form of alternative power, fuel cells are also appealing in an environment of high oil prices. Copper miner Freeport-McMoRan continues to rally on higher copper prices, which are fueling record international sales.⁸

Key detractors from performance included Tesla (-17.3%), Quantumscape (-38.8%), and Rivian Automotive (-23.6%).

Electric vehicle manufacturer Tesla is trading down on weaker results related to increased competition from lower cost Chinese manufacturers and the elimination of federal subsidies.⁹ Battery technology company QuantumScape continues to move toward the mass production of solid state battery technology, but its cash burn remains a concern as the technology is still not ready for commercialization.¹⁰ Shares of EV automaker Rivian declined despite its announced $1.25 billion partnership with Uber for robotaxis on fundamental concerns and investor skepticism.¹¹ The R2 SUV, which Rivian Automotive CEO RJ Scaringe has positioned as a “make-or-break product” competing with Tesla’s Model Y, just launched at a higher price than expected.

Visit the BATT fund page for more information, including fact sheets, index methodology, and regulatory documents.