Download PDF

1. Company Snapshot

1.a. Company Description

Hecla Mining Company, together with its subsidiaries, discovers, acquires, develops, and produces precious and base metal properties in the United States and internationally.The company mines for silver, gold, lead, and zinc concentrates, as well as carbon material containing silver and gold for sale to custom smelters, metal traders, and third-party processors,; and doré containing silver and gold.It owns 100% interests in the Greens Creek mine located on Admiralty Island in southeast Alaska; the Lucky Friday mine situated in northern Idaho; the Casa Berardi mine located in the Abitibi region of northwestern Quebec, Canada; and the San Sebastian mine situated in the city of Durango, Mexico.


The company also holds 100% interests in the Fire Creek mine located in Lander County, Nevada; and the Hollister and Midas mines situated in Elko County, Nevada.Hecla Mining Company was incorporated in 1891 and is headquartered in Coeur d'Alene, Idaho.

Show Full description

1.b. Last Insights on HL

Breaking News: Hecla Mining Company has not released recent earnings data. However, the company operates in a favorable environment as US gold stocks, including high-grade ones, are experiencing a historic rally. The current trend is driven by faster permitting and increased mining activity in America. As a key player in the industry, Hecla Mining is well-positioned to benefit from this trend. Some analysts recommend a buy on the stock, citing the company's strong potential for growth. Investor ideas expert resource covering mining give this recommendation.

1.c. Company Highlights

2. Hecla's Transformational Year: Delivering Record Results and a Bright Outlook

Hecla Mining reported record revenue of $1.4 billion, net income of $321 million, and adjusted EBITDA of $670 million for 2025, exceeding expectations. Earnings per share (EPS) came in at $0.19, beating analyst estimates of $0.163. The company's financial performance was driven by strong production from its silver mines, with Lucky Friday delivering a record 5.3 million ounces of silver production, while Keno Hill achieved new record production of over 3 million ounces. As Russell Lawlar noted, "Our financial scorecard shows a compelling story of transformation," with gross leverage ratio improving to 0.4x from 1.6x in 2024.

Publication Date: Feb -22

📋 Highlights

Operational Excellence and Exploration Success

The company's operational excellence was evident in its safety performance, with a 13% reduction in total recordable injury frequency rate year-over-year. Hecla's exploration strategy is focused on discovering and developing the next generation of production from within its existing portfolio, with a primary growth engine being the Nevada platform. The company has made significant discoveries at Midas and Aurora, and is investing $45 million to $55 million in 2026 exploration.

Outlook and Valuation

Hecla's 2026 silver production outlook calls for 15.1 million to 16.5 million ounces, with potential for further growth driven by the continued ramp-up of Keno Hill, the potential Midas production restart, and optimizing Lucky Friday. The company's valuation metrics indicate a premium, with a P/E Ratio of 50.01 and EV/EBITDA of 22.55. However, its Return on Equity (ROE) of 13.65% and Return on Invested Capital (ROIC) of 9.71% suggest strong profitability. Analysts estimate next year's revenue growth at -12.5%, which may impact the stock's performance.

Growth Prospects and Risks

Hecla's growth prospects are driven by its exploration success and potential for increasing production. However, the company faces risks, including the accounting treatment of the Casa Berardi acquisition, which may impact its financials in Q1. Additionally, the company's ability to execute on its growth plans and maintain its operational excellence will be critical to its future success.

3. NewsRoom

Card image cap

Mining in America Heats Up: High-Grade US Gold Stocks Ride Historic Gold Rally and Faster Permitting

Mar -02

Source: feeds.newsfilecorp.com

Card image cap

Hecla Mining vs. Avino Silver: Which Silver Mining Stock has Greater Upside?

Feb -23

Source: zacks.com

Card image cap

Gold and Silver Pulled Back—Here's Why the Bull Case Is Intact

Feb -22

Source: marketbeat.com

Card image cap

First Eagle Small Cap Opportunity Fund Q4 2025 Portfolio Review

Feb -19

Source: seekingalpha.com

Card image cap

Cibc World Market Inc. Cuts Stake in Hecla Mining Company $HL

Feb -19

Source: defenseworld.net

Card image cap

Here's Why Shares in This Silver Miner Popped Higher Today

Feb -18

Source: fool.com

Card image cap

Hecla Mining Company (HL) Q4 2025 Earnings Call Transcript

Feb -18

Source: seekingalpha.com

Card image cap

Hecla Mining: A Phoenix Rises And Goes All In On Silver

Feb -18

Source: seekingalpha.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (2.00%)

6. Segments

Greens Creek

Expected Growth: 2.0%

Hecla Mining's Greens Creek segment growth is driven by increasing silver production, rising silver prices, and improved milling and mining efficiencies. The mine's high-grade ore and low operating costs also contribute to its growth. Additionally, Hecla's focus on exploration and development of nearby deposits, such as the Niblack project, is expected to further boost production and revenue.

Casa Berardi

Expected Growth: 2.0%

Casa Berardi's 2.0% growth is driven by increased gold production, improved ore grades, and enhanced mill recoveries. Additionally, Hecla's focus on cost reduction initiatives, exploration success, and strategic investments in mine development and infrastructure have contributed to the growth. The mine's proximity to existing infrastructure and favorable geology also support its expansion.

Lucky Friday

Expected Growth: 2.0%

Lucky Friday's 2.0% growth is driven by increased silver production, improved ore grades, and enhanced mining efficiency. Hecla Mining Company's strategic investments in exploration and development have expanded the mine's resource base, supporting higher output. Additionally, cost-saving initiatives and favorable silver prices have contributed to the segment's growth.

Keno Hill

Expected Growth: 2.0%

Hecla Mining's Keno Hill segment growth is driven by increasing silver production, rising silver prices, and improved operating efficiencies. The mine's high-grade ore and low cash costs also contribute to its growth. Additionally, Hecla's focus on exploration and development of new deposits, such as the Keno Hill expansion, will further boost production and revenue.

Other

Expected Growth: 2.0%

Hecla Mining's 2.0% growth in 'Other' segment is driven by increased silver and gold production from its Nevada and Alaska operations, coupled with higher average realized prices. Additionally, the company's cost-saving initiatives and improved operational efficiencies have contributed to the growth.

Nevada Operations

Expected Growth: 2.0%

Nevada Operations' 2.0% growth driven by increased silver and gold production at the Fire Creek and Hollister mines, coupled with higher realized prices and improved operating efficiencies. Additionally, the company's focus on cost reduction initiatives and exploration efforts to extend mine life have contributed to the segment's growth.

7. Detailed Products

Silver

Hecla Mining Company is a leading producer of silver, with operations in the United States, Canada, and Mexico. The company's silver production comes from its Greens Creek, Lucky Friday, and Casa Berardi mines.

Gold

Hecla Mining Company is a significant producer of gold, with operations in the United States, Canada, and Mexico. The company's gold production comes from its Casa Berardi, Greens Creek, and San Sebastian mines.

Lead

Hecla Mining Company produces lead as a byproduct of its silver and zinc mining operations. The company's lead production comes from its Greens Creek and Lucky Friday mines.

Zinc

Hecla Mining Company produces zinc as a byproduct of its silver and lead mining operations. The company's zinc production comes from its Greens Creek and Lucky Friday mines.

8. Hecla Mining Company's Porter Forces

Forces Ranking

Threat Of Substitutes

Hecla Mining Company operates in the mining industry, which has a moderate threat of substitutes. While there are alternative metals and materials available, the demand for silver, gold, and other metals is relatively inelastic, reducing the threat of substitutes.

Bargaining Power Of Customers

Hecla Mining Company's customers, such as jewelry manufacturers and industrial companies, have limited bargaining power due to the company's diversified customer base and the lack of concentration in the industry.

Bargaining Power Of Suppliers

Hecla Mining Company's suppliers, such as equipment manufacturers and service providers, have moderate bargaining power due to the availability of alternative suppliers and the company's relatively small size compared to its suppliers.

Threat Of New Entrants

The threat of new entrants in the mining industry is low due to the high barriers to entry, including significant capital requirements, regulatory hurdles, and environmental concerns.

Intensity Of Rivalry

The mining industry is highly competitive, with many established players competing for market share, resources, and talent, leading to a high intensity of rivalry.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 25.19%
Debt Cost 6.44%
Equity Weight 74.81%
Equity Cost 15.00%
WACC 12.84%
Leverage 33.68%

11. Quality Control: Hecla Mining Company passed 2 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
Royal Gold

A-Score: 5.7/10

Value: 1.8

Growth: 6.0

Quality: 8.4

Yield: 2.0

Momentum: 9.0

Volatility: 7.0

1-Year Total Return ->

View Full Report
Stock-Card
FMC

A-Score: 4.5/10

Value: 9.1

Growth: 3.6

Quality: 4.3

Yield: 8.0

Momentum: 0.0

Volatility: 2.3

1-Year Total Return ->

View Full Report
Stock-Card
Coeur Mining

A-Score: 4.3/10

Value: 2.0

Growth: 4.1

Quality: 7.7

Yield: 0.0

Momentum: 10.0

Volatility: 2.0

1-Year Total Return ->

View Full Report
Stock-Card
Hecla Mining

A-Score: 4.1/10

Value: 1.0

Growth: 4.0

Quality: 7.2

Yield: 0.0

Momentum: 10.0

Volatility: 2.3

1-Year Total Return ->

View Full Report
Stock-Card
Alcoa

A-Score: 3.9/10

Value: 5.8

Growth: 2.6

Quality: 5.5

Yield: 2.0

Momentum: 4.0

Volatility: 3.3

1-Year Total Return ->

View Full Report
Stock-Card
Avantor

A-Score: 3.4/10

Value: 6.4

Growth: 5.8

Quality: 3.3

Yield: 0.0

Momentum: 1.0

Volatility: 3.7

1-Year Total Return ->

View Full Report

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

21.49$

Current Price

21.5$

Potential

-0.00%

Expected Cash-Flows