Almonty's Bold Bet: A $300 Million Buyback as the Tungsten Producer Streamlines Its Global Footprint

Almonty launches $300M buyback, exits ASX and TSX, and reports Q2 revenue up 498% as institutional investors increase stakes.

The tungsten market has rarely seen a company move with this much conviction. Almonty Industries, fresh off a string of structural overhauls, has unveiled a $300 million share repurchase program — a clear signal that management believes the market is underpricing its assets.

The buyback, approved by the board on August 24, covers up to 14.4 million common shares, roughly five percent of the outstanding float, and runs for 36 months. The rationale is straightforward: management sees a disconnect between the current share price and the intrinsic value of the company's holdings.

A Consolidation of Trading Venues

The repurchase announcement lands amid a broader reshaping of how investors can trade the stock. Friday marked the final day of trading for Almonty's shares on the Australian Securities Exchange, with the official delisting scheduled for September 1. This follows the company's exit from the Toronto Stock Exchange roughly a month earlier, leaving the Nasdaq as the sole listing venue.

The ASX departure was attributed to thin trading volumes in the CHESS Depositary Interests compared to the Nasdaq. For shareholders, the operational impact is minimal — the underlying business remains unchanged, only the trading venues are being streamlined. The delisting completes a rapid consolidation: Toronto ended in late July, and now Australia follows.

Institutional Confidence Grows

The structural changes coincide with growing interest from major institutional players. Van Eck Associates Corp disclosed on August 17 a substantial increase in its Almonty stake, growing to 11,239,482 shares valued at approximately $99 million — a dramatic jump from a negligible prior position.

Such moves by large asset managers are typically interpreted as a vote of confidence in a company's growth narrative. Adding to the flurry of corporate actions, Almonty filed a notice last Monday regarding the issuance of 50.8 million warrant shares, which could expand the potential share count and warrant attention when assessing future dilution effects, though they carry no immediate price implications.

The Numbers Behind the Conviction

The buyback gains context when examining the latest financials. For the second quarter of 2026, which ended June 30, Almonty reported revenue of 43.0 million Canadian dollars — a 498 percent surge year-over-year. Net income swung to 181.8 million Canadian dollars from a loss of 58.2 million in the prior-year period.

The Panasqueira mine in Portugal drove nearly all of the quarter's performance, contributing 42.9 million of the 43.0 million Canadian dollars in revenue. The operation benefited from European spot prices for ammonium paratungstate climbing to $3,075 per metric ton unit.

The company's cash position stands at 1.2 billion Canadian dollars, bolstered by an oversubscribed convertible bond offering of $800 million in June. That capital is earmarked for the second phase of expansion at the Sangdong mine and other projects.

Operational Realities and Market Sentiment

While the financial picture looks robust, the operational transition has not been entirely seamless. Diamond Equity cut its earnings per share estimate for fiscal 2026 from $0.55 to $0.39 on August 14, citing a slower-than-expected ramp-up to full capacity at Sangdong. The company transitioned from developer to producer status on July 1, and the production ramp is proving more gradual than some analysts anticipated.

That assessment is now more than two weeks old and may not fully reflect current conditions, but it underscores the challenges inherent in bringing a major mine online. A subsequent automated rating from StockInvest.us, which downgraded the stock from "Buy" to "Hold/Accumulate," reinforces the sense of a near-term consolidation phase.

Price Action Tells a Two-Sided Story

The stock's trajectory reflects both the enthusiasm and the caution. Shares traded at €15.55 on Monday, nearly flat against Friday's close of €15.57. The stock sits roughly a quarter below its 52-week high of €20.61, reached in April.

Yet the longer-term picture remains striking. On a monthly basis, the stock has gained 59 percent, and it has nearly doubled year-to-date with a 93 percent advance. The secondary source notes a 61.4 percent gain since the Toronto delisting was finalized and a 10.9 percent rise since production began at Sangdong. A contract extension with Global Tungsten & Powders, which stretched the agreement to 21 years and expanded volume by 40 percent to 4.41 million metric ton units, has contributed a 26.9 percent gain since its announcement.

What Lies Ahead

The third-quarter results are scheduled for November 2, and investor attention will focus on how quickly Sangdong approaches its planned full capacity. With tungsten prices at historically elevated levels, the production trajectory could well determine the stock's direction in the coming months.

For now, Almonty presents a study in contrasts: a company sitting on substantial liquidity, executing a significant buyback, and consolidating its listing structure — while simultaneously navigating the operational complexities of bringing a flagship mine to full output. The market's verdict on whether the shares are indeed undervalued will emerge in the quarters ahead.