 This paper reports surface modification of graphite anodes using carbon coated Fe3O4 nanospindles (C–Fe3O4 NSs) with the goal of improving graphite electrode capacity and decreasing graphite degradation and irreversible capacity. A unique novel coating method based on magnetic fields was developed for coating prefabricated graphite electrodes containing conductive additives and binder. A thin layer of synthesized C–Fe3O4 NSs was coated on the surface of graphite anodes to prevent direct contact of graphite’s surface and electrolyte. The results indicate that C–Fe3O4 coating decreases growth of solid electrolyte interface (SEI) film on the surface of graphite. The C–Fe3O4 coating increases the initial discharge capacity of graphite anodes from 325 to 414 mAh g−1 and the initial Coulombic efficiency from 72 to 79%. Moreover, C–Fe3O4 coated electrodes deliver an improved reversible capacity of 240 mAh g−1 and Columbic efficiency of 99% after 40 cycles, whereas these values were 148 mAh g−1 and 97% for bare graphite. However, the impedance analysis indicates more resistance in case of C–Fe3O4 coated graphite, which is due to the low ionic conductivity of Fe3O4 compared to graphite.