Almonty’s Sangdong Start Brings $33 Price Target and $227 Million Insider Selling Spree
Published on 07/14/2026 at 14:36 | Redaktion boerse-global.de
Almonty Industries has lit a fuse under its stock just as the Sangdong tungsten mine in South Korea shifts from development to commercial production – but the spark has sent insiders racing for the exits in record numbers. The past three months have seen net insider sales of $227.6 million, with $75.1 million of that coming directly from executives, even as analysts on Wall Street scramble to raise their price targets.
The company announced on July 1 that it had begun producing saleable tungsten concentrate at Sangdong, transforming Almonty overnight into a certified producer. The news triggered a sharp rally: in Toronto, shares jumped 12.4% to C$23.38 on July 10, while the New York listing climbed nearly 11% to US$14.70 (another report pegged the same day’s US close at US$16.31). Inclusion in the Russell 1000 and Russell 3000 added further momentum. Yet the euphoria proved fleeting. The next trading session saw the stock slide 6.7% on volume of just 1.1 million shares – a 79% drop from its average – and prices in New York fell back to US$15.50.
The insider sales stand in stark contrast to the bullish analyst calls. DA Davidson raised its price target from $25 to $33 on Friday, reiterating a “Buy” rating. Oppenheimer had already lifted its target from $22 to $25 on June 3, backed by an “Outperform” recommendation. Bank of America Securities also reaffirmed its buy conviction. The consensus among six analysts is a “Moderate Buy” with an average target of $21.88, though one dissenter – Weiss Ratings – issued a “Sell (D-)” rating on June 18. The gap between the highest target of $33 and the consensus reveals just how sharply opinions diverge on how quickly Sangdong’s output will translate into sustainable earnings.
Among the insiders who sold was director Mark Trachuk, who unloaded 200,000 shares at C$24.07 on July 2 for proceeds of roughly C$4.8 million. That transaction alone reduced his holdings by 7.4%. Meanwhile, institutional investors have been building positions on the other side. Van Eck Associates boosted its stake by over 13,000% in the fourth quarter and now holds more than 11.2 million shares valued at about $99 million. Cooper Creek Partners Management increased its position by 110% in the first quarter, with a holding worth around $69 million.
Should investors sell immediately? Or is it worth buying Almonty?
Almonty’s funding position reinforces the growth story. In June, the company placed convertible notes carrying a 2.25% coupon and maturing in 2031. After underwriters fully exercised their greenshoe option, total proceeds reached $800 million. Net proceeds of roughly $772.7 million are earmarked for debt refinancing and balance-sheet strengthening. The initial conversion price is approximately $27.40 per share, implying confidence in the stock’s trajectory. The Plansee Group, a major shareholder, added weight to the narrative when it confirmed a long-term tungsten supply agreement with Sangdong in its fiscal 2025/26 results published on July 7.
Sangdong’s ramp-up is now under way. Over the next 2.6 months, Almonty will process a surface stockpile of roughly 139,700 tonnes of ore with tungsten oxide grades between 0.24% and 0.35%. The estimated gross value of that material is about $68 million. This initial phase is designed to stabilise plant operations before the mine shifts to continuous full production of 4,600 tonnes of concentrate per year. A virtual investor meeting with CEO Lewis Black covered the ramp-up, potential cooperation with the US government, and the company’s solid balance sheet.
The numbers on the books tell a mixed story. Almonty’s market capitalisation stands at $4.29 billion, but its price-to-earnings ratio of minus 30.03 signals that profitability remains elusive. Liquidity looks healthier: a quick ratio of 2.37 and a current ratio of 2.45 indicate ample short-term reserves, while the debt-to-equity ratio of 0.30 sits at a moderate level. The 50-day moving average for the US-listed shares is $18.10, well above the 200-day average of $16.12, suggesting near-term momentum even as the stock trades below both thresholds following the pullback.
Almonty at a turning point? This analysis reveals what investors need to know now.
Technical indicators underscore the stock’s extreme volatility. The 30-day annualised volatility is close to 100%, and the relative strength index of 41.3 sits in neutral territory. In Toronto, the current price of C$21.37 is 14% above the 200-day average of C$18.76 but 15% below the 50-day average of C$25.24, and a full 36% off the 52-week high of C$33.35 hit on April 17. Despite the recent turbulence, the 12-month gain in Canadian dollars stands at 227.76%, while year-to-date returns range from 77.64% to over 85% depending on the listing – a rally built on operational promise but increasingly tested by the top brass cashing in their chips.
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Almonty Stock: New Analysis - 14 July
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