Company Overview - Hecla Mining Company (NYSE: HL) is a gold and silver mining firm that has recently gained attention due to significant stock activity following a purchase by Congress member Debbie Wasserman Schultz [1][2]. Stock Performance - Since Representative Schultz's purchase on August 9, 2024, HL's stock has increased by 29%, rising from $5.04 to $6.51 by September 12, 2024 [2]. - The stock's rally is notable as it has generally maintained a low profile among politicians, raising questions about potential insider information [2][8]. Financial Results - For Q2 2024, Hecla Mining reported revenue of $245.7 million, representing a 38% year-over-year growth and surpassing analyst estimates by 16% [6]. - The company produced 4.5 million ounces of silver, a 3.7% increase year-over-year and a 43% increase from the previous quarter. Gold production also rose by 2% to 37,324 ounces compared to Q1 2024 [7]. Market Conditions - The surge in HL's stock price can be attributed to favorable market conditions, including rising silver prices and increased global demand for precious metals [5]. - Amid fears of a potential recession, gold prices have also surged, as investors view gold as a hedge against economic challenges [5]. Political Context - The significant stock movement following a political purchase has raised concerns about the access to privileged information by lawmakers, especially in light of ongoing scrutiny regarding Congressional trading practices [8][9]. - A bipartisan proposal is being considered to ban members of Congress from trading stocks, which would also extend to their spouses if enacted [10].

Financial Performance - Hecla Mining Company achieved record revenues and free cash flow generation of $283 million in Q2 2024[8, 11] - The company experienced a $251 million reduction in net debt, reflecting a deleveraging focus[8, 10] - The realized silver price in Q2 2024 was $2977 per ounce, leading to an increased silver-linked dividend payout to $001 per share[10] - The company's net leverage ratio improved by 15% from Q1 2024 to Q2 2024, reaching 23x[10, 35] - Adjusted EBITDA for Q2 2024 was $242752 million[35] Production and Operations - Projected silver production growth of 19% to 17 million ounces in 2024, and a 40% increase to 20 million ounces by 2026 compared to 2023[8] - Lucky Friday achieved record silver production and throughput at 1181 tons per day[16] - Greens Creek's average throughput was 2481 tons per day, with silver grades of 126 ounces per ton[15] - Keno Hill's throughput increased to 406 tons per day[21] Guidance and Outlook - The company expects to receive approximately $50 million in insurance proceeds in 2024[3, 16] - Lucky Friday silver production is expected to reach 5 million ounces in 2024[3, 16, 18] - The company anticipates increasing silver demand for solar in 2024 by 40 million ounces, a 20% increase over 2023[30]

Hecla Mining (HL) came out with quarterly earnings of $0.02 per share, beating the Zacks Consensus Estimate of $0.01 per share. This compares to earnings of $0.03 per share a year ago. These figures are adjusted for nonrecurring items. This quarterly report represents an earnings surprise of 100%. A quarter ago, it was expected that this precious metals company would post a loss of $0.02 per share when it actually produced earnings of $0.01, delivering a surprise of 150%. Over the last four quarters, the co ...

Core Viewpoint - Hecla Mining (HL) has reached a significant support level and shows potential for investors from a technical perspective, with a recent bullish trend indicated by breaking through the 20-day moving average [1][2] Technical Analysis - HL has gained 11.6% over the past four weeks, suggesting a positive momentum [2] - The 20-day simple moving average (SMA) is a key indicator, with prices above this level indicating a positive trend [1] Earnings Estimates - No earnings estimates for HL have been lowered in the past two months, while one estimate has been raised for the current fiscal year, indicating a positive outlook [2] - The consensus estimate for HL has also increased, reinforcing the bullish case for the stock [2] Investment Recommendation - HL is currently ranked a Zacks Rank 1 (Strong Buy), suggesting that the stock could continue to move higher [2]

Production Performance - Hecla Mining reported lead production of 13,586 tons, reflecting a 12% increase on a sequential basis [1] - Zinc output for Hecla Mining was 16,191 tons, remaining fairly flat compared to the first quarter of 2024 [1] - The Lucky Friday mine produced 1.3 million ounces of silver in the second quarter, marking a 23% increase quarter over quarter [2] - Greens Creek mine produced 2.2 million ounces of silver, a 9% sequential increase, while gold production decreased by 3% to 14,137 ounces [3] - Keno Hill produced 900,440 ounces of silver, up 39% sequentially due to a 47% increase in throughput [11] - Casa Berardi mine produced 23,187 ounces of gold, up 5% from the first quarter of 2024 [12] Company Guidance - Hecla Mining is on track to produce 17 million ounces of silver in 2024, compared to 14.3 million ounces in 2023 [13] - Fortuna Mining Corp. reported gold equivalent production of 116,570 ounces, a 4% increase from the first quarter of 2024 [7] - Endeavour Silver Corp. reported silver equivalent production of 2,156,453 ounces, down 5% year over year, while gold production increased by 7% [8] Market Performance - Hecla Mining shares have gained 3.7% over the past year, while the industry has seen a growth of 57.3% [14] - Buenaventura Mining currently holds a Zacks Rank 1, with a consensus estimate for 2024 earnings pegged at $1.41 per share, reflecting a 41% increase in estimates over the past 60 days [16]

Hecla Mining (HL) reached a significant support level, and could be a good pick for investors from a technical perspective. Recently, HL broke through the 20-day moving average, which suggests a short-term bullish trend. The 20-day simple moving average is a well-liked trading tool because it provides a look back at a stock's price over a 20-day period. Additionally, shortterm traders find this SMA very beneficial, as it smooths out short-term price trends and shows more trend reversal signals than longer-t ...

Current chair Catherine J. Boggs has been named interim president and CEO. Kitco News - Hecla Mining Company (NYSE:HL) announced today that Phillips S. Baker Jr. is retiring, effective immediately. "I would like to thank Phil for his years of service and valued contributions to Hecla and the silver industry overall. The Board will immediately begin a search for a new Chief Executive, and we are confident that we will find the right, highly qualified individual to lead Hecla," said Boggs in a news release wh ...

Investors interested in Basic Materials stocks should always be looking to find the best-performing companies in the group. Is Hecla Mining (HL) one of those stocks right now? By taking a look at the stock's year-to-date performance in comparison to its Basic Materials peers, we might be able to answer that question. Hecla Mining is one of 240 individual stocks in the Basic Materials sector. Collectively, these companies sit at #6 in the Zacks Sector Rank. The Zacks Sector Rank includes 16 different groups ...

Shares of Hecla Mining Company (HL) have gained 6.5% since it reported first-quarter 2024 results on May 8, 2024. HL reported adjusted earnings per share of 1 cent, which beat the Zacks Consensus Estimate of a loss of 2 cents. The bottom-line figure was in line with the year-ago quarter. The first quarter marked a turning point for the company, with the Lucky Friday mine restarting production on Jan 9, 2024, after being suspended since August 2023 due to a fire incident. Throughout the quarter, the mine sca ...

Financial Performance - Sales for Q1 2024 were $189,528,000, a decrease of 4.9% from $199,500,000 in Q1 2023[10] - Gross profit for Q1 2024 was $19,160,000, down 45.0% from $34,948,000 in Q1 2023[10] - Net loss for Q1 2024 was $5,753,000, compared to a net loss of $3,173,000 in Q1 2023, representing an increase in loss of 81.2%[10] - The company reported a comprehensive loss of $11,156,000 for Q1 2024, compared to a comprehensive income of $3,343,000 in Q1 2023[10] - The company reported a net loss applicable to common stockholders of $5.891 million for Q1 2024, compared to a net loss of $3.311 million for the same period in 2023, representing a 77.0% increase in net loss year-over-year[32] - The basic loss per common share for the three months ended March 31, 2024, was $(0.01), consistent with the basic loss per common share of $(0.01) for the same period in 2023[32] Cash Flow and Liquidity - Cash provided by operating activities decreased to $17,080,000 in Q1 2024 from $40,603,000 in Q1 2023, a decline of 58.1%[12] - Cash, cash equivalents, and restricted cash at the end of Q1 2024 were $81,332,000, down from $97,286,000 at the end of Q1 2023[12] - The company has cash and cash equivalents of $80.2 million as of March 31, 2024, down from $106.4 million as of December 31, 2023[59] - Cash and cash equivalents decreased by $26.2 million in Q1 2024, totaling $80.2 million compared to $106.4 million at the end of 2023[153] - Net draws on the revolving credit facility amounted to $12.0 million, resulting in an outstanding balance of $140.0 million at an interest rate of 8.0%[155] Assets and Liabilities - Total current assets as of March 31, 2024, were $255,250,000, a slight decrease from $260,262,000 as of December 31, 2023[14] - Total liabilities decreased to $1,035,628,000 as of March 31, 2024, from $1,043,000,000 as of December 31, 2023[14] - Total assets as of March 31, 2024, were $2.994 billion, a slight decrease from $3.011 billion as of December 31, 2023[26] - The company’s stockholders' equity was reported at $1.959 billion as of March 31, 2024[163] - Total contractual cash obligations as of March 31, 2024, were $871.4 million, with $230.9 million due within one year[156] Production and Sales - Hecla Mining Company produced 4.2 million ounces of silver and 36,592 ounces of gold in Q1 2024, with total sales of $189.5 million[93] - Silver sales increased to $86.233 million in Q1 2024 from $81.532 million in Q1 2023, while gold sales decreased to $67.415 million from $75.087 million[25] - Total metal sales decreased to $185.1 million in Q1 2024 from $199.0 million in Q1 2023, primarily due to lower sales volumes of gold and base metals[94] - The Greens Creek segment produced 2,478,594 ounces of silver in Q1 2024, down from 2,772,860 ounces in Q1 2023, reflecting a decrease of approximately 10.6%[104] - The Lucky Friday segment's sales dropped to $35.3 million in Q1 2024 from $49.1 million in Q1 2023, a decline of about 28.0%[110] Costs and Expenses - Cash costs per ounce for silver were $4.78 in Q1 2024, compared to $2.14 in Q1 2023, indicating significant cost inflation[97] - AISC for silver was $13.10 per ounce in Q1 2024, up from $8.96 in Q1 2023, reflecting increased operational costs[97] - Consolidated gross profit decreased by $15.8 million, primarily driven by lower sales volumes for all metals produced except zinc and increased production costs[103] - The company reported a depreciation, depletion, and amortization expense of $48,907,000 for the quarter[137] - Sustaining capital expenditures amounted to $25,394,000, reflecting ongoing investment in operations[137] Debt and Financing - As of March 31, 2024, the total long-term debt balance was $507.310 million, slightly down from $508.000 million as of December 31, 2023[41] - The company increased its borrowing capacity to $225 million from $150 million under the amended Credit Agreement[175] - The maturity date of the Credit Agreement was extended to July 21, 2028, from July 21, 2026[175] Environmental and Legal Matters - Hecla Limited has accrued a liability of $10.1 million for the CERCLA removal action at the Johnny M Mine, which may increase due to the scope of required remediation[67] - The EPA has incurred approximately $9.6 million in response costs related to the San Mateo Creek Basin site, with potential liability for Hecla Limited and other PRPs[69] - The EPA estimates total remediation costs for the Carpenter Snow Creek site may exceed $100 million, with Hecla Limited potentially liable for cleanup costs[71] - Hecla Limited's Lucky Friday mine faces potential civil penalties of up to $59,973 per day for violations of the Clean Water Act[74] - The Keno Hill mine is charged with violations of the Quartz Mining Act and the Waters Act, with maximum fines of $100,000 per offense[75] Shareholder Returns - The company returned $4.0 million to shareholders through dividend payments in Q1 2024[93] - The total dividend per share declared for the first quarter of 2024 was $0.00625, unchanged from the first quarter of 2023[38] - The company declared dividends of $3.9 million in Q1 2024, compared to $3.8 million in Q1 2023, with a silver-linked component tied to realized silver prices[145] Future Outlook - Estimated capital expenditures for 2024 are projected to be between $190 million and $210 million, with $47.6 million already incurred as of March 31, 2024[151] - Exploration and pre-development expenditures for 2024 are estimated at approximately $32.5 million, with $4.3 million already incurred as of March 31, 2024[151] - The company anticipates continued capital expenditures and operational investments, particularly at Keno Hill and Casa Berardi, to support future growth[154]