MW Hycroft Mining shares are higher than shareholder AMC's after skyrocketing this week
By James Rogers
Movie theater chain and original meme stock AMC stunned Wall Street with a $29.7 million investment in Hycroft in 2022
Shares of Hycroft Mining Holding Corp. are trading higher than shares of cinema chain AMC Entertainment Holdings Inc., which stunned Wall Street when it made a $29.7 million investment in the gold and silver miner in 2022.
Hycroft $(HYMC)$ shares are trading at $3.48 Wednesday, while AMC's $(AMC)$ stock is at $2.99. The mining company's stock ended Tuesday's session at $3.37 after climbing 22.6%, while AMC closed at $3.10, down 1.3%. Hycroft's stock surged on volume of 3.45 million shares, well above its 65-day average of 207,610 shares. Short interest as a percentage of Hycroft Mining's float is 5.8%, according to the latest exchange data.
Related: Hycroft Mining's stock bounces off record low after reverse stock split takes effect
Hycroft's stock, which ended Monday's session up 24.4%, is now on a four-day winning streak. The stock has surged on no apparent news, although gold prices have risen recently, hitting a series of record finishes in what was described as an "unprecedented rally" fueled by softer-than-expected U.S. inflation data. Silver prices have also followed gold's rally.
The surge in Hycroft's price has garnered plenty of attention on social media. "$HYMC closes higher than $AMC??? where even are we right now?" wrote @splendidthings3 on X, formerly known as Twitter late Tuesday.
The Hycroft Mine, which straddles Humboldt and Pershing counties in Northern Nevada, encompasses approximately 64,000 acres, including both patented and unpatented claims, according to the company.
The Hycroft deposit has over 10.6 million ounces of gold and over 361 million ounces of silver in the Measured and Indicated Category, equivalent to over 15 million ounces of gold, Hycroft says on its website.
An additional 3.4 million ounces of gold and 96 million ounces of silver are in the Inferred Category, equivalent to an additional 4.6 million ounces of gold. Only 10% of Hycroft's land has been explored, the mining company says.
Related: Hycroft Mining eyes higher grade opportunities, launches largest exploration program in nearly a decade
Nevada is home to a host of mines, including the Carlin, Cortez, and Turquoise Ridge Mines, which were the country's largest gold mines in 2022, according to Mining Technology, citing information from GlobalData. The Carlin, Cortez, and Turquoise Ridge Mines are operated by Nevada Gold Mines, a joint venture set up by gold giants Barrick Gold Corp. $(GOLD)$ and Newmont Corp. $(NEM)$ in 2019.
Barrick and Newmont have market caps of $29.62 billion and $42 billion, respectively. Hycroft's market cap is $57.8 million.
Prior to AMC's investment Hycroft was a so-called "penny stock." The company's shares have risen 40.1% in 2024, outpacing the S&P 500 index's SPX gain of 9.1%.
Related: AMC CEO says domestic box office has 'finally turned upwards'
Shares of original meme stock AMC have fallen 51% in 2024.
Barbara Kollmeyer contributed.
-James Rogers
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April 03, 2024 10:02 ET (14:02 GMT)
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