Tungsten Pure-Play Almonty Turns Cash Flow Positive as Russell Inclusion and $772M Convertible Reshape the Picture
14.06.2026 - 08:32:12 | boerse-global.de
Almonty Industries enters a defining month with an array of converging catalysts. The tungsten producer has locked in fresh capital, posted its first positive operating cash flow, and is days away from joining the Russell 1000 and 3000 indices. Shares ended the week at C$24.75, up more than 105% since the start of the year.
The company placed convertible notes that generated net proceeds of roughly $772 million, carrying a 2.25% coupon and maturing in 2031. A capped-call overlay was put in place to limit dilution should the notes eventually convert. On the governance front, Jorge Beristain, a CFA charterholder with stints at Ryerson and Deutsche Bank, took over as chief financial officer on June 1. His arrival coincides with a shareholder meeting that saw all seven directors re-elected and auditor Zeifmans LLP reappointed with over 99% of votes. The strong support for independent board members with experience in US defence and security policy underscores the company’s positioning as a Western tungsten supplier to the arms industry.
First?quarter results provided the operational evidence to match the narrative. Revenue surged 221% to $25.4 million, fuelled by record spot prices for ammonium paratungstate and robust output at the Panasqueira mine in Portugal. Operating cash flow swung to a positive $9.7 million from a negative $4.4 million a year earlier. The net loss narrowed sharply to $5.3 million from $34.6 million, largely because a non?cash valuation charge on option liabilities that had weighed on 2025’s quarter did not repeat. Analysts took notice: Oppenheimer’s Ian Zaffino lifted his price target to $25 from $22 and reiterated an “outperform” rating, while Texas Capital upgraded the stock to “strong buy” in April.
Should investors sell immediately? Or is it worth buying Almonty?
Much of the current revenue comes from European operations, but the strategic centre of gravity lies in South Korea. Almonty’s Sangdong mine is ramping up Phase 1, which will deliver roughly 2,300 tonnes of tungsten concentrate annually. Phase 2, scheduled for 2027, aims to double that capacity. At full tilt, the company expects to supply about 40% of global tungsten demand outside China. The convertible issuance provides a long?dated funding runway for that expansion.
The index inclusion on 29 June is the next institutional catalyst. FTSE Russell added Almonty to its preliminary list on 22 May, and the move into the Russell 1000 and Russell 3000 will force passive funds to buy the equity. An estimated $12.2 trillion in assets under management track Russell benchmarks, and the forced accumulation is expected to structurally broaden the shareholder base. The company has already laid the groundwork for a bigger US profile: it moved its headquarters to the United States and raised a combined $219 million through two equity offerings last year. Cash on hand stood at $259.9 million at the end of March.
Despite the year?to?date rally, the stock still trades about 26% below its April high of C$33.35, a pullback that followed the convertible announcement. The 200?day moving average at C$17.10 highlights how far the re?rating has come. With a clear cash?flow inflection, a deep?pocketed balance sheet, and an enforced wave of index?linked buying on the horizon, Almonty is entering a phase that fuses operational momentum with structural demand for its equity.
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Almonty Stock: New Analysis - 14 June
Fresh Almonty information released. What's the impact for investors? Our latest independent report examines recent figures and market trends.
