Almonty's Revenue Surge and Loss Paradox: Sangdong Countdown Begins
23.05.2026 - 07:11:58 | boerse-global.de
Almonty Industries has delivered a financial contradiction that sums up the tension in its investment case: second-quarter revenue exploded 221% to CAD 25.4 million, yet the bottom line slipped to a net loss of CAD 5.3 million. The company remains firmly in the ramp-up phase at its flagship Sangdong tungsten project in South Korea, where commercial production is not expected until the end of 2026. Meanwhile, shareholders have enjoyed a near-600% gain over the past twelve months, only to see the stock shed roughly 20% in the last 30 days – closing Friday at CAD 25.36.
The top-line surge was fuelled by higher spot prices for ammonium paratungstate (APT) and steady output at the Panasqueira mine in Portugal. Adjusted EBITDA came in at CAD 6.1 million, confirming that the operational turnaround is gathering pace. But the income statement remains burdened by development spending, particularly at Sangdong. The company ended March with a cash pile of nearly CAD 260 million, providing ample runway for the ambitious expansion ahead.
That expansion is centred on turning Sangdong into a cornerstone of Western supply chains for tungsten, a critical mineral used in defence, semiconductors, and aerospace. Chief executive Lewis Black has relocated Almonty’s corporate headquarters to Dillon, Montana, to strengthen ties with strategic partners in the United States. He has also signalled that a portion of the war chest will be deployed into other promising tungsten assets, positioning Almonty less as a mine operator and more as a consolidation platform for critical minerals.
Should investors sell immediately? Or is it worth buying Almonty?
The market’s reaction to this narrative has been anything but steady. The stock touched an all-time high of CAD 32.07 in April and now sits 21% below that peak. On a technical basis, the share price is hovering just under its 50-day moving average of CAD 26.03. A decisive break above that level could end the current correction and reignite the broader uptrend. However, a fall below last week’s low of CAD 22.30 would risk testing the 100-day moving average. The relative strength index stands at 70, suggesting the stock remains in overbought territory despite the recent pullback.
Management has been actively courting institutional interest. In mid-May, Almonty presented at both the Critical Minerals Institute Summit and the Bank of America Metals Conference, emphasising its role in securing Western supply chains away from China’s dominant grip. Added demand drivers are emerging: new applications such as tungsten wire for photovoltaic manufacturing are expected to add 4,000 to 5,000 tonnes of annual consumption to an already tight market.
Yet the wide dispersion in analyst valuations underscores the uncertainty. Target prices range from CAD 1 to CAD 58 per share – a staggering spread that reflects the binary nature of Sangdong’s outcome. If the mine achieves production stability and begins generating sustainable cash flow, the upside could be substantial. If execution stumbles, the current losses and potential dilution weigh heavily. With the 52-week low at CAD 3.56, the stock has already come a long way, but the second half of 2026 will be the true test of whether Almonty can convert promise into profit.
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