DA Davidson initiates coverage on Almonty Industries stock with Buy rating

Published 06/08/2025, 12:28
DA Davidson initiates coverage on Almonty Industries stock with Buy rating

Investing.com - DA Davidson initiated coverage on Almonty Industries (NYSE:ALM) with a Buy rating and a price target of $7.00 on Wednesday. The stock, which has surged over 340% year-to-date according to InvestingPro data, currently trades at $4.15.

The research firm highlighted Almonty’s multi-asset portfolio, which includes tungsten projects in Western Europe and its flagship Sangdong Mine in South Korea, described as "one of the largest and highest quality tungsten resources in the world." With a market capitalization of $906 million and a FAIR financial health score from InvestingPro, the company shows promising fundamentals.

DA Davidson established revenue estimates for Almonty at $39 million, $120 million, $243 million, and $443 million for fiscal years 2025 through 2028, respectively. Adjusted EBITDA estimates were set at $14 million, $71 million, $156 million, and $261 million for the same period. These projections align with InvestingPro data showing analysts expect 110% revenue growth this fiscal year.

The $7 price target represents an EV/EBITDA multiple of 28.2x, 12.8x, and 7.6x for the years 2025-2027, according to the firm’s analysis, which includes an estimated $23 million in net debt following Almonty’s recent equity raise.

DA Davidson noted potential for shares to "rerate even higher longer-term" as more detailed plans unfold beyond the Phase I start-up at Sangdong, which is estimated for the fourth quarter of 2025.

In other recent news, Almonty Industries has announced the appointment of Brian Fox as its new Chief Financial Officer, effective August 25, 2025. Fox, who previously held the position of Chief Financial & Operating Officer at CBIZ (NYSE:CBZ) Marks Paneth, will take over from Mark Gelmon, who will continue with the company as a financial consultant. This leadership change comes as Almonty is gaining attention in the investment community. Alliance Global Partners (NYSE:GLP) has initiated coverage on Almonty Industries with a Buy rating, highlighting the company’s strategic position in the tungsten market. The research firm has set a price target of $6.75, noting Almonty’s potential to become the largest tungsten producer outside of China. These developments underscore Almonty’s significant role in the global tungsten supply chain.

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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