B.Riley sets $3 price target on UAMY stock with Buy rating

Published 21/03/2025, 07:44
B.Riley sets $3 price target on UAMY stock with Buy rating

On Friday, B.Riley initiated coverage on US Antimony Corp (NYSE:UAMY) with a Buy rating and a price target of $3.00. The stock has shown remarkable momentum, with a 535% return over the past year and 134% gain in the last six months, according to InvestingPro data. The firm’s analysis highlights UAMY as a key player in the U.S. market, particularly following China’s export restrictions on antimony that were put in place in September 2024. US Antimony Corp’s foundational asset, the Thompson Falls smelter in Montana, is noted as the only operating antimony smelter in the country.

The Thompson Falls smelter boasts an annual ore capacity of approximately 3,840 tons, which translates to around 5.0 million pounds of antimony metal. Plans are underway to more than double this capacity in the medium term. B.Riley’s coverage points to the company’s strategic importance in ensuring a domestic supply of antimony, which is considered a critical mineral. The company’s strong liquidity position, with a current ratio of 5.16, supports its expansion plans.

The analyst from B.Riley underscored UAMY’s growth potential, supported by a favorable pricing environment for antimony metal and the company’s ambitious expansion plans. The firm estimates that UAMY’s adjusted EBITDA could rise significantly, reaching projected amounts of roughly $56 million in 2026 and $81 million in 2027. These figures suggest implied EV/EBITDA multiples of 6.2x and 4.3x, respectively.

The initiation of coverage and the setting of the price target coincide with UAMY’s announcement of its fiscal year 2024 results, which were reported after the market closed today. The company’s performance and future prospects appear to align with B.Riley’s positive outlook as outlined in their coverage initiation.

In other recent news, U.S. Antimony Corporation reported record revenue growth in Q4 2024, achieving $14.9 million, a 72% increase compared to the previous year. The company also turned a corner with a gross profit of $3.5 million, a significant improvement from a $3.3 million loss in the prior year. Antimony sales contributed $11.1 million, marking an 88% increase, while zeolite sales rose by 19%, reaching $2.9 million. Additionally, U.S. Antimony has made strategic expansions and acquisitions, including reopening operations in Mexico and expanding processing facilities. These efforts are part of the company’s broader strategy to capitalize on the increased demand for critical minerals. Analysts from firms like H.C. Wainwright and Alliance Global Partners (NYSE:GLP) have initiated research coverage on U.S. Antimony, reflecting growing interest in the company. The company is also focused on expanding its operations in Alaska and Canada, aiming to increase its vertical integration in the antimony supply chain. These developments position U.S. Antimony as a significant player in the critical minerals sector.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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