Almonty Industries (AII) AI Stock Analysis

• Market Cap: C$1.52B
• Dividend Yield: N/A
• Average Volume (3M): 328.42K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.35
• Revenue Growth: 9.87%
• EPS Growth: -955.17%
• Country: CA
• Employees: 403
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Industrial Materials
• EPS (TTM): -0.30
• Shares Outstanding: 217,252,720
• 10 Day Avg. Volume: 312,139
• 30 Day Avg. Volume: 328,421
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: C$9.42
• Price Target Upside: 34.96% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3

• Rating: 48 Neutral
• Price Target: C$6.50 ▼(-6.88% Downside)

The overall stock score is primarily impacted by the company's weak financial performance, characterized by high leverage and persistent losses. Technical analysis provides some positive signals with moderate bullish momentum, but the negative P/E ratio and lack of dividend yield weigh heavily on the valuation, resulting in a lower overall score.

Positive Factors

Strategic Partnerships

Strategic partnerships and long-term contracts can stabilize revenues by ensuring steady demand, reducing volatility from market fluctuations.

Revenue Growth

Even modest revenue growth indicates potential for market expansion and increased product adoption, supporting long-term business sustainability.

Free Cash Flow Improvement

Significant growth in free cash flow, despite being negative, suggests improving cash management and potential for future financial stability.

Negative Factors

High Leverage

High leverage increases financial risk, limiting flexibility and potentially impacting the company's ability to invest in growth opportunities.

Negative Profit Margins

Persistent negative profit margins highlight ongoing operational inefficiencies, which could undermine long-term profitability and shareholder value.

Weak Cash Flow

Weak cash flow indicates challenges in converting revenue into cash, potentially affecting the company's ability to fund operations and growth.

Almonty Industries Business Overview & Revenue Model

Company Description

Almonty Industries Inc. engages in mining, processing, and shipping tungsten concentrate. It owns interests in the Los Santos mine located near Salamanca, Spain; the Panasqueira tin and tungsten mine situated in Covilha and Castelo Branco, Portugal; the Sangdong tungsten mine located in Gangwon Province, Republic of Korea; and the Valtreixal tin and tungsten project located in Zamora province, Western Spain. Almonty Industries Inc. is headquartered in Toronto, Canada.

How the Company Makes Money

Almonty Industries generates revenue primarily through the sale of tungsten concentrate produced from its mining operations. The company's revenue model is centered around the production volume of tungsten and the prevailing market prices for the metal, which can fluctuate based on global demand and supply dynamics. Key revenue streams include direct sales of tungsten products to manufacturers in various sectors such as automotive, aerospace, and electronics. Additionally, Almonty seeks to establish strategic partnerships and long-term contracts with clients to ensure steady demand for its products, which can help stabilize revenues. The company also benefits from exploration and development activities that may lead to the discovery of additional resources, further enhancing its earning potential.

Almonty Industries Financial Statement Overview

Summary

Almonty Industries faces significant financial challenges, with persistent losses and high leverage. Despite slight revenue growth, profitability and cash flow remain weak, posing risks to financial health.

Income Statement

Almonty Industries has shown a slight revenue growth of 3.07% in the latest year, but profitability remains a significant concern. The company has a low gross profit margin of 6.83% and a negative net profit margin of -56.52%, indicating substantial losses. EBIT and EBITDA margins are also negative, reflecting ongoing operational challenges.

Balance Sheet

The balance sheet reveals high leverage with a debt-to-equity ratio of 4.04, which poses a risk in terms of financial stability. The return on equity is negative at -41.71%, indicating that the company is not generating returns for shareholders. The equity ratio is not provided, but the high debt levels suggest limited equity cushion.

Cash Flow

Cash flow analysis shows a concerning trend with negative operating cash flow and free cash flow. Although free cash flow has grown by 139.1%, it remains negative, and the operating cash flow to net income ratio is -0.15, indicating inefficiencies in converting income into cash. The free cash flow to net income ratio is high at 5.83, suggesting reliance on non-operational cash sources.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	28.92M	28.84M	22.51M	24.80M	20.85M	25.09M
Gross Profit	2.12M	1.97M	1.08M	2.55M	2.79M	-1.37M
EBITDA	-41.21M	-10.24M	-3.39M	-6.85M	-3.32M	-7.57M
Net Income	-47.14M	-16.30M	-8.84M	-14.49M	-7.75M	-9.06M
Balance Sheet
Total Assets	279.04M	256.35M	235.33M	192.84M	165.85M	151.06M
Cash, Cash Equivalents and Short-Term Investments	16.98M	7.83M	22.02M	8.44M	1.05M	2.37M
Total Debt	171.61M	158.02M	130.07M	89.48M	67.71M	61.52M
Total Liabilities	260.94M	217.28M	186.83M	153.09M	128.36M	121.89M
Stockholders Equity	18.10M	39.07M	48.51M	39.75M	37.49M	29.17M
Cash Flow
Free Cash Flow	-47.44M	-43.73M	-29.19M	-28.33M	-18.44M	-11.13M
Operating Cash Flow	-10.78M	-7.50M	-11.70M	-5.57M	-8.44M	-4.83M
Investing Cash Flow	-36.66M	-36.23M	-17.49M	-22.75M	-10.00M	-6.29M
Financing Cash Flow	47.65M	29.37M	43.37M	35.22M	17.19M	11.91M

Almonty Industries Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6.98
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:AII, the sentiment is Positive. The current price of 6.98 is above the 20-day moving average (MA) of 6.21, above the 50-day MA of 6.08, and above the 200-day MA of 3.87, indicating a bullish trend. The MACD of 0.24 indicates Negative momentum. The RSI at 65.73 is Neutral, neither overbought nor oversold. The STOCH value of 91.74 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:AII.

Almonty Industries Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AFM	79 Outperform	1.23B	7.51	30.21%	7.29%	73.61%	119.38%
USA	51 Neutral	1.13B	-8.45	-106.01%	―	10.05%	15.32%
LAC	49 Neutral	1.09B	-13.51	0.00%	―	0.00%	0.00%
NDM	48 Neutral	678.65M	-8.33	0.00%	―	0.00%	-371.88%
AII	48 Neutral	C$1.52B	―	-355.57%	―	9.87%	-955.17%
FVL	43 Neutral	851.94M	-644.00	0.00%	―	0.00%	21.88%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%

Almonty Industries Corporate Events

Almonty Proposes Currency Amendment to Clarify Financial Reporting

Almonty Industries has announced the distribution of materials for a special shareholder meeting to vote on a proposed amendment to change the currency of exercise prices for certain warrants and options to Canadian dollars. This amendment aims to eliminate accounting distortions caused by the current currency setup, which results in non-cash losses being reported due to fluctuations in the trading price of common shares. By aligning the currency with the company’s functional currency, the amendment will allow these financial instruments to be recognized as equity, thereby providing a clearer reflection of the company’s financial health and operations.

The most recent analyst rating on (TSE:AII) stock is a Hold with a C$5.50 price target. To see the full list of analyst forecasts on Almonty Industries stock, see the TSE:AII Stock Forecast page.

Almonty Industries Reports Q2 2025 Financial Results and Strategic Developments

Almonty Industries reported a significant net loss of $58.2 million in the second quarter of 2025, largely due to non-cash losses from the revaluation of warrant and derivative liabilities. Despite a decrease in revenue and increased operating expenses, the company secured a key offtake agreement for U.S. defense applications and raised US$90 million through a public offering, positioning itself for future growth and strategic importance in the critical minerals sector.

The most recent analyst rating on (TSE:AII) stock is a Buy with a C$7.00 price target. To see the full list of analyst forecasts on Almonty Industries stock, see the TSE:AII Stock Forecast page.