Thermo-mechanical failure of electrode material in lithium battery system is a cause of concern for battery health and safety. With the advent of high energy storage materials and faster charging mechanisms, consideration towards the risk of failure is a substantial component in the selection of battery materials. In this work, we present a novel approach towards characterization and selection of thermally stable and mechanically favorable electrode materials using material indices. The selection process is based on a coupled thermo-mechanical multiphysics model, which solves for the deformation in the electrode during lithiation/delithiation considering the possibility of plastic deformation under high rates of charging. The thermal generation in electrode material is considered from four different mechanisms including, polarization heating due to surface charge accumulation and over potential, entropic heating due to free energy variation during lithiation/delithiation process, joule heating due to internal resistance offered by the electrode material and heat generation due to dislocation movement and phase transformation in the case of plastic deformation. Several material indices are developed for comparison of electrode materials based on their mechanical strength, fracture resistance, thermal generation and thermal diffusion characteristics. The mechanical based indices compare the electrode materials based on their capacity to generate stress during operation, resistance towards crack propagation under fatigue loading, ability to handle plastic deformation and stability under the conditions of fast charging. The thermal indices equate the thermal performance of the electrode materials based on the ability to generate less and diffuse more heat during operation. Three commonly used cathode and anode materials are compared using the above-mentioned indices and the results are verified against prior experimental data. In conclusion, these material indices provide a basis for comparison of newer high energy electrode materials against the industrially used materials, and provide crucial information regarding key material properties which affect the thermal and mechanical stability and performance of these novel materials.