Almonty Industries Inc. Common Shares (ALM)

FairStock Score: 23/100 — RISKY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for durable competitive advantages, conservative accounting, and a price that offers a margin of safety. Almonty mines and processes tungsten, a strategic industrial metal, with projects and mines in several countries. In the latest filed quarter, fiscal Q2 2026, revenue was $43.0M and net income was $181.8M, a 422.89% margin. That is unusual—net income far above revenue—so I would need to know how much came from recurring operations versus one-time items before trusting it. The provided growth figures are spectacular: revenue growth of 497.73% and profit growth of 412.32%. But growth alone does not make a great business. Return on capital employed is only 0.28%, meaning the capital in the business is barely producing operating returns. Return on equity is 38.22%, but debt-to-equity is 1.47, so leverage may be flattering that figure. Free cash flow over the trailing twelve months was negative $55.5M, and the FCF yield is -0.9%, so the company is consuming cash. At the close on 2026-10-13, the price was $10.98. FairStock calculations put the P/E at 49.91, P/B at 8.01, EV/EBITDA at 46.96, and the Graham Number at $3.08. The margin of safety is -256.49%, meaning the price is far above a conservative asset-and-earnings value. The PEG ratio of 0.12 looks cheap, but only if the recent growth is durable. The FairStock Score is 23/100, and no Lynch category can be assigned because there are only 0 years of filed results. Until free cash flow turns positive and returns on capital improve, this looks more like a speculative commodity growth story than a Graham bargain.

In plain English: Almonty Industries mines and processes tungsten, a hard metal used in industrial products, with operations and projects in several countries. In its fiscal Q2 2026 report, sales were $43.0 million and profit was $181.8 million, which is unusually large relative to sales, while the company is currently using more cash than it brings in. At the recent price of $10.98, the shares look expensive compared with the company's per-share profit and net assets.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer