Almonty Industries: Revenue Triples, a $800 Million War Chest, and a 31% Correction—All at Once
Published on 06/27/2026 at 13:47 | Redaktion boerse-global.de
A company tripling its revenue and swinging to positive operating cash flow would normally send shares higher. Almonty Industries did exactly that in the first quarter of 2026, yet its stock closed Friday at C$23.00—a 14% weekly decline and 31% below its April peak of C$33.35. The disconnect between operational momentum and market price could be about to narrow.
The volatility is extreme by any measure: an annualised reading of nearly 91%. But beneath the noise lies a structural story that goes well beyond quarterly earnings. Almonty is simultaneously ramping a world-class tungsten mine in South Korea, raising a nine-figure convertible bond, and securing a place in two major US equity indices—all while preparing for a US defence sector ban on Chinese tungsten that takes effect in January 2027.
From Cash Burn to Cash Flow in One Quarter
The first-quarter numbers, released only weeks ago, underscore how fast the picture has changed. Revenue jumped 221% to C$25.4 million, driven by higher tungsten prices and a strong performance from the Panasqueira mine in Portugal. More critically, operating cash flow flipped from negative C$4.4 million a year ago to positive C$9.7 million. Adjusted EBITDA came in at C$6.1 million.
The net loss of C$5.3 million, while still red, is almost entirely explained by non-cash revaluation charges on derivatives and warrants. Cash and equivalents stood at C$259.9 million at the end of March—ample liquidity even before the latest financing.
Should investors sell immediately? Or is it worth buying Almonty?
The $800 Million Convertible That Was Too Popular to Ignore
On 4 June, Almonty placed convertible bonds worth $800 million US, upsized from an initial $700 million after institutional investors exercised the full greenshoe option. The notes, due in 2031, carry a coupon of 2.25%. Proceeds are earmarked for the company’s core asset: the Sangdong tungsten mine in South Korea.
Phase 1 of Sangdong started active mining in December 2025 and entered commercial production in March 2026. It now processes around 640,000 tonnes of ore per year, yielding about 2,300 tonnes of tungsten concentrate. Phase 2, scheduled for 2027, will double capacity to 1.2 million tonnes annually. At full tilt, Almonty aims to supply roughly 40% of the world’s tungsten demand from sources outside China.
Tungsten’s strategic importance has soared as Beijing restricts exports and Washington seeks to eliminate Chinese material from defence supply chains. Almonty already holds binding offtake agreements, including a contract with the US military. The company has also relocated its corporate headquarters to Dillon, Montana, and acquired the nearby Gentung tungsten project, which is expected to reach production-readiness in the second half of 2026.
Molybdenum Emerges as a Second Growth Leg
Sangdong is surrounded by a molybdenum deposit that is drawing increasing attention. Almonty has drilled roughly 37% of the planned 26 holes on the adjacent project, with results so far confirming historical grades. South Korea faces an acute shortage of the metal, which is indispensable for high-temperature applications in aerospace and defence. The company is advancing the molybdenum study in parallel with the tungsten ramp.
Russell Inclusion Triggers Structural Demand
The next catalyst arrives Monday, when Almonty joins both the Russell 1000 and Russell 3000 indices. About $12.2 trillion in assets are benchmarked to these indexes, meaning index-tracking funds and ETFs will be compelled to buy the stock in proportion to its weight. That forced demand has been absent until now and could provide a floor under a share price that has been drifting lower.
Almonty at a turning point? This analysis reveals what investors need to know now.
The technical backdrop is mixed: the relative strength index at 40.9 sits in neutral territory, while the stock is roughly 14% below its 50-day moving average. Year-to-date, however, Almonty has still gained more than 91%. On a twelve-month basis, the advance is 296%—a reminder that the current pullback, however sharp, comes after an extraordinary run.
The gap between short-term profit-taking and long-term positioning could narrow quickly. With a fully funded operation, a legal mandate to supply US defence without Chinese tungsten, and index flows about to begin, the underlying story remains one of strategic scarcity—not a broken trend.
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Almonty Stock: New Analysis - 27 June
Fresh Almonty information released. What's the impact for investors? Our latest independent report examines recent figures and market trends.
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