3 Metals and Mining Stocks Riding the Commodity SupercycleHecla Mining NYSE: HL said it entered the second quarter of 2026 with no long-term debt, record quarterly cash generation and a portfolio increasingly focused on silver assets in the United States and Canada, following the sale of its Casa Berardi operation at the end of March.
On the company’s first-quarter earnings call, President and Chief Executive Officer Rob Krcmarov said Hecla has undergone a significant balance sheet transformation since he joined the company 18 months ago. “This company carried nearly $550 million of net debt. Today, we carry no long-term debt,” Krcmarov said. “None.”
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Hilton’s Q1 Report Put One Big Question Front and Center for 2026The company reported first-quarter revenue from continuing operations of more than $410 million, up 13% from the prior quarter and double the level from the first quarter of 2025. Hecla also reported record adjusted EBITDA of $265 million and record consolidated free cash flow of $144 million, with each of its mines generating positive free cash flow.
Casa Berardi Sale Refocuses Portfolio Hecla’s first-quarter results were presented on a continuing operations basis, excluding Casa Berardi, which was sold at the end of March. Krcmarov described the sale as “a deliberate, well-timed decision” that allowed Hecla to focus capital and management attention on its silver growth platform. The transaction included cash proceeds, a 9.9% equity stake in Ozones and deferred cash consideration, according to the company.
Does Marriott’s Massive Rally Mean It’s Time to Check Out?After the quarter ended, Hecla redeemed its remaining $263 million of senior notes on April 9. Chief Financial Officer Russell Lawlar said the company ended the quarter with $588 million in cash and total debt of $266 million, resulting in a net cash position of $321 million. Following the redemption, Hecla has no long-term debt and a fully undrawn $225 million revolving credit facility, with a $75 million accordion feature.
Lawlar said 73% of first-quarter revenue came from silver, and all revenue came from the U.S. or Canada. He said the company realized a margin equal to 90% of the realized silver price during the quarter.
Production, Costs and Mine Performance Hecla produced 3.9 million ounces of silver in the quarter, about 3% more than in the prior quarter. The company reiterated its 2026 production guidance of 15.1 million to 16.5 million ounces of silver. Krcmarov said the company sees a potential pathway to more than 20 million ounces annually through Keno Hill’s ramp-up, the potential restart of Midas in Nevada and other growth opportunities.
Chief Operating Officer Carlos Aguiar said Greens Creek in Alaska produced 2.2 million ounces of silver and 13,000 ounces of gold in the quarter. The mine generated $131 million in operating cash flow and $126 million in free cash flow. Cash costs were nearly negative $12 per ounce of silver, and all-in sustaining costs were negative $8.39 per ounce, both after by-product credits.
At Lucky Friday in Idaho, Hecla produced 1.2 million ounces of silver. The mine generated $49 million in free cash flow, with cash costs of $12.07 per ounce and all-in sustaining costs of $23.78 per ounce after by-product credits. Aguiar said throughput rose 10% from the prior quarter, partly offset by an 11% decline in mill rate, and said average silver grade is expected to improve in the second quarter.
Keno Hill produced nearly 500,000 ounces of silver and generated $15.3 million in free cash flow, marking its fourth consecutive quarter of positive free cash flow. Aguiar said production was affected by reduced power supply from Yukon Energy due to extreme cold weather and lower grades in part of the Birmingham deposit, but said both headwinds are expected to ease.
Growth Projects Center on Greens Creek, Nevada and Exploration Hecla highlighted two potential projects at Greens Creek. Brian Erickson, vice president of operations, said the company is evaluating a pyrite concentrate circuit that could add a marketable concentrate stream, improve silver and gold recoveries and potentially reduce reclamation liabilities. He said the project is currently estimated to be low in capital intensity and could generate cash flow in about two years, with another market update expected in late 2026 or early 2027.
Erickson also discussed the Greens Creek tailings reprocessing project, which remains under evaluation. He said the dry stack facility contains an estimated 10.4 million tons of material with an estimated 50 million ounces of silver and nearly 600,000 ounces of gold, along with other critical minerals. At year-end 2025 prices, the company estimated the gross metal value at about $6.8 billion, before recovery rates, costs and required capital. Phase 3 metallurgical test work is expected to be completed around mid-2026.
In Nevada, Hecla is evaluating a restart of Midas using a hub-and-spoke model that could process ore from regional properties through an existing 1,200-ton-per-day permitted mill. Erickson said the site also has a permitted tailings facility with about 15 years of storage capacity. The company has allocated $16 million to Nevada exploration in 2026, more than three times last year’s investment.
Vice President of Exploration Kurt Allen said Hecla is investing $55 million in exploration and pre-development in 2026, an all-time record for the company. Programs include drilling at Midas, Hollister and Aurora. Allen said Aurora, in western Nevada, is earlier stage than Midas but may have the greatest long-term discovery potential, with seven drill-ready targets and a permitted 600-ton-per-day mill on site.
Keno Hill Permitting Timeline Draws Analyst Focus During the question-and-answer portion of the call, analysts asked about permitting constraints at Keno Hill. Patrick Malone, vice president of sustainability, said the company expects to submit a project proposal to the Yukon Environmental and Socio-economic Assessment Board by year-end. He said the review process is expected to take about 12 months, after which Hecla would submit applications to amend its quartz mining license and water license.
Malone said amended permits could be received around mid-2029, though timing is variable. He said current constraints include waste rock, tailings, water treatment, power and camp space. In the near term, he said Hecla needs regulatory approvals for Phase 2 west tailings expansion, and waste rock could become a limitation before the long-term permits are received.
Krcmarov said the ramp-up to 440 tons per day at Keno Hill is expected to be gradual and tied to permitting and water management. He characterized any potential delay as “a bridge problem” rather than “an asset problem,” citing the mine’s reserve life and economics.
Capital Allocation and Market Outlook Lawlar said Hecla’s capital allocation priorities begin with safety and environmental performance, followed by sustaining and growth capital, exploration, balance sheet strength, strategic investments and shareholder returns. He said the company has a board-approved share repurchase plan for 20 million shares, but any buybacks would need to meet return-on-capital criteria.
Asked about shareholder returns, Lawlar said management will discuss its capital return strategy with the board, while emphasizing that internal investments currently offer attractive value creation opportunities.
Krcmarov said the silver market remains structurally tight, citing the World Silver Survey’s finding that 2025 marked the fifth consecutive year of supply deficit, with cumulative stock drawdowns exceeding 700 million ounces since 2021. He said Hecla is positioned as a debt-free silver producer with record free cash flow and an organic growth pipeline, while also noting the company would remain disciplined on potential acquisitions.
About Hecla Mining NYSE: HLHecla Mining Company, founded in 1891 and headquartered in Coeur d'Alene, Idaho, is one of the oldest publicly traded precious metals companies in the United States. Originally established to develop the rich silver deposits of the Coeur d'Alene district, Hecla has evolved into a diversified mining enterprise focused on the exploration, development and production of silver and gold, with by-product credits from lead and zinc.
The company's principal operations are located in North America and Latin America.
This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].
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First Majestic Silver: Surging Late-Year RevenueFirst Majestic Silver (AG +4.31%) primarily engages in the acquisition, exploration, development, and production of mineral properties, with a focus on silver and gold output across North America.
Among recent developments, First Majestic announced plans to restart its Jerritt Canyon gold mine, targeting 2027, and reported ongoing international arbitration regarding a Mexican tax dispute, while generating a net margin of around 18% for the quarter ended Dec. 31, 2025.
Hecla Mining: A Consistent Upward ClimbHecla Mining (HL +2.00%) discovers, develops, and produces precious and base metal properties globally, mining primarily for silver, gold, lead, and zinc concentrates.
It recently completed the sale of its Casa Berardi mine to reduce outstanding debt and reported a gross margin of around 53% for the quarter ended Dec. 31, 2025. On the flip side, Hecla is facing an environmental lawsuit regarding a Montana exploration project.
Why Revenue Matters for Retail InvestorsRevenue here refers to the data provider's standardized income statement revenue line item and serves as the foundational indicator of a business's ability to generate sales from its core operations before any expenses are deducted.
Foolish TakeHecla Mining and First Majestic are two top silver stocks, but their asset bases differ, which can alter the investment thesis and returns for investors.
Hecla’s revenue base is larger and a lot more diversified, making it less dependent on silver prices alone. In its last quarter, Hecla generated 60% revenue from silver and 29% from gold, with metals like zinc and lead making up the remaining. That gives Hecla significantly stronger operating margins and makes its revenue more resilient during weaker silver markets. Its Greens Creek mine is especially valuable because by-product credits keep production costs very low.
First Majestic Silver is the more direct and aggressive bet on silver, as much of its revenue is tied to silver prices. That means if silver rallies sharply, First Majestic’s revenue could grow at a much faster clip than Hecla’s. But that also means revenues are more volatile when silver prices weaken. Heavy dependence on Mexico is also an added risk.
In the long run, Hecla Mining could provide stronger returns through steadier revenue and superior margins. The proceeds from the Casa Berardi sale, combined with strong cash flows, should not only help Hecla pare debt but also ramp up spending on key mines, making it a top silver stock to buy on dips.
Data source: Company filings. Data as of April 28, 2026.
Built by the same prospecting team behind Snowline Gold's 7.94-million-ounce Valley deposit, Yukon Metals is consolidating an 18-project, 43,000+-hectare portfolio across copper, gold, silver, and tungsten — and the institutional money is starting to follow.
USA News Group News Commentary
, /PRNewswire/ -- Gold opened the second quarter of 2026 with prices that would have been unthinkable two years ago. According to the World Gold Council's Q1 2026 Gold Demand Trends report, the LBMA (PM) gold price set a new quarterly average record of US$4,873 per ounce in Q1 2026, with the metal hitting an all-time high of US$5,405 per ounce in January 2026 before correcting [1]. Total gold demand reached 1,231 tonnes (+2% YoY), with the value of demand surging 74% to a record US$193 billion [1]. Central banks added another 244 tonnes to global reserves and bar-and-coin investment climbed 42% to 474 tonnes — the second-highest quarter on record [1]. The capital is flowing back into producers and the highest-conviction juniors at the same time. The question, increasingly, is which untested ground gets pulled into the next wave.
The Yukon — for years a place where the geology was indisputably world-class but the capital cycle was indifferent — is finally getting the attention. Snowline Gold's 7.94-million-ounce Valley deposit, the recent strategic alliance between Cascadia Minerals and Agnico Eagle, and Hecla Mining's Keno Hill operation have collectively put the territory back on every generalist's map. Smaller juniors with credible technical teams and contiguous land positions are positioned to be the next beneficiaries.
Yukon Metals Corp. (CSE: YMC) (FSE: E770) (OTCQB: YMMCF) is one of them. The company controls an 18-project, 43,000+-hectare portfolio across the territory, built on more than 30 years of prospecting by the Berdahl family — the same team behind Snowline Gold's flagship Rogue Project [2]. In its most recent corporate presentation, Yukon Metals frames its portfolio as "four distinct district plays copper-gold, tungsten, gold, and silver-lead-zinc." [3]. Drill assays released across the past six months at Birch, Carter Gulch, and Star River have started to validate the thesis, and an April 27, 2026 option agreement on the Sumo copper-gold property — previously drilled by Sumac Mines Ltd., a subsidiary of Sumitomo Metal Mining Co., Ltd. — has just consolidated the company's position in what it now calls the "emergent Birch District" [3].
A 300-Metre Step-Out Becomes a Discovery
The headline result of Yukon Metals' 2025 program came at Birch, the company's 100%-owned, 7,000-hectare copper-gold project located 65 kilometres northeast of Burwash Landing in southwestern Yukon. On December 8, 2025, the company reported that hole BR25-003 — drilled 300 metres northeast of the original discovery hole — intersected 47.4 metres of 0.43 g/t gold from 26.6 metres depth, including 1.0 metre of 14.35 g/t gold at 71.0 metres [4]. That 14 g/t hit is the highest-grade gold intercept ever recorded at Birch, and a deeper interval in the same hole returned 33.8 metres of 0.19 g/t gold from 278.7 metres, supporting the company's interpretation of stacked mineralized horizons [4].
Notably, the 14 g/t intercept occurred with minimal arsenic — a geochemical signature typically associated with proximal, higher-temperature skarn environments, the kind generally found close to a porphyry source [4]. Surface prospecting two kilometres south of the drill collars returned rock samples grading up to 16 g/t gold, 1,825 g/t silver, and 0.43% copper, coincident with a large molybdenum soil anomaly [4].
"Last year's drilling identified a system transitioning at depth from copper into a gold-rich zone showing multiple mineralization episodes and confirmed that mineralization extends well beyond our initial discovery," says Jim Coates, President and Chief Executive Officer. "The highest-grade gold we have seen at Birch to date came from that program, and it is a key driver of our 2025 exploration plans." The 2025 Birch program totaled 1,685 metres of HQ diamond drill core in six holes off four pads.
Carter Gulch: 250 g/t Gold from Float, with a New 70-Claim Block to Cover It
If Birch was the technical highlight of late 2025, Carter Gulch was the early-2026 surprise. On February 20, 2026, Yukon Metals reported that 2025 rock sampling at Carter Gulch — located approximately 40 kilometres from Whitehorse — returned gold values up to 250 grams per tonne, with an average grade of 17.8 g/t Au across nine samples that exceeded 1 g/t (out of 27 samples submitted) [6]. The peak sample (325933, an oxidised quartz vein float sample) also assayed 41.9 ppm silver, 2,130 ppm copper, and 2.96% lead [6]. Two additional float samples returned 118.5 g/t Au and 38.30 g/t Au respectively [6].
Following those results, Yukon Metals staked 68 new quartz claims around the original Kiyoko claims, bringing the total Carter Gulch land position to 70 claims covering approximately 1,462 hectares — a footprint scaled to capture both the historic CG Showing (where 1993 prospecting returned up to 142 g/t Au, 1.3% Pb, and 1.1% Cu) and the nearby Peppy Showing 1.5 kilometres to the southeast [6]. Gravel roads run within two kilometres of the property and the Alaska Highway is ten kilometres from the claim boundary [6].
Star River: 11.7 g/t Gold and a Polymetallic Corridor Five Kilometres From a Past-Producing Mine
The April 2, 2026 release on Star River — Yukon Metals' silver-lead-zinc-gold project located approximately 5 kilometres from the past-producing Ketza River Gold Mine in southern Yukon — added a different kind of result [7]. The 2025 first-pass drill program tested the F2, F3, and Saddle vein systems with eight holes and confirmed a 1-kilometre-long structural corridor defined by drone magnetic surveying.
Highlights from the program include:
11.7 g/t gold over 0.5 metres in hole SR25-001 within metre-scale quartz-ankerite-sulphide veins in the F2 zone [7]A separate F2-corridor interval in the same hole returning 183 g/t silver and 10.6% lead over 0.5 metres [7]Hole SR25-006 (south of F2) intersecting three 1.5-metre intervals of 2.4–3.4% zinc in brecciated and veined metasediments [7]F3 vein drilling (holes SR25-007 and SR25-008) returning up to 116 g/t silver and 3.2% lead [7]Multiple holes intersecting gold mineralization between 1.9 and 4.9 g/t [7]Yukon Metals also acquired the contiguous Stump claims, which extend roughly 2 kilometres of prospective ground south along the same structural corridor and cover a historic high-grade silver-lead vein where surface samples have returned more than 2,400 g/t silver and 70% lead over narrow intervals [7].
The Sumo Option: A Sumitomo-Drilled Property in the Same District
The April 27, 2026 option agreement on the Sumo copper-gold property is the move that ties the recent results into a district-scale story. Sumo sits approximately 10 kilometres east of Birch and comprises 75 quartz claims totalling roughly 1,875 hectares along the same geological trend [3]. The strategic value lies in what's already been done on the property: between 2013 and 2015, Sumac Mines Ltd. — a subsidiary of Sumitomo Metal Mining Co., Ltd. — drilled 19 diamond drill holes totalling approximately 7,300 metres at Sumo, with core remaining stored on site [3]. The fact that one of the world's largest base-metals producers spent meaningful capital here a decade ago is, in itself, a strong vote of confidence in the geology.
Recent work by optionor Ryan Burke — a Yukon prospector also responsible for generating the Catch prospect, now owned by Cascadia Minerals and the subject of a March 2026 earn-in agreement with Agnico Eagle — has added new layers. A 2024 soil grid covering 3 × 2 kilometres returned peak values of 587 ppm copper, 409 ppb gold, and 4.1 ppm molybdenum, and 2025 surface sampling defined a new 1.1 km × 600 m copper-gold skarn target located approximately 1.2 km from the previous Sumitomo-era drill sites [3]. Option terms call for $395,000 in aggregate cash payments and 1.5 million shares over six years, plus $3.6 million in work expenditures, with Burke retaining a 2.5% NSR (1% repurchasable for 750 oz of gold) [3].
The Comparable Set: Where Yukon Metals Sits
The peer set explains the framework well. Snowline Gold Corp. (TSX: SGD) (OTCQB: SNWGF) — graduated from the TSX Venture Exchange to the senior Toronto Stock Exchange in November 2025 and added to the GDXJ in March 2026 — is the obvious anchor. Snowline's Valley deposit on the Rogue Project now hosts 7.94 million ounces of gold Measured & Indicated (204 Mt at 1.21 g/t) plus 0.89 million ounces Inferred (44.5 Mt at 0.62 g/t), per the Preliminary Economic Assessment dated August 27, 2025 with an effective date of March 1, 2025 [8]. The company entered 2026 with roughly C$105 million in treasury and announced a new "Crossroad" target on its Cynthia Project in February 2026, with selective grab samples up to 14.1 g/t gold and 3,505 g/t silver [8]. The Berdahl prospecting connection — and the parallel geology between Snowline's Selwyn Basin ground and Yukon Metals' Birch system — gives Yukon Metals shareholders a direct technical lineage to one of the territory's most-watched stories.
Hecla Mining Company (NYSE: HL) — described in its own corporate language as "the largest silver producer in the United States and Canada" — operates Keno Hill in the Yukon and reported Q1 2026 sales of $411 million and net income from continuing operations of $165 million on May 5, 2026 [9]. (GAAP net loss attributable to common stockholders was $19 million for the quarter, reflecting a $192 million non-cash write-down related to the sale of Casa Berardi.) Hecla redeemed the remaining $263 million of its 7.25% Senior Notes on April 9, 2026, leaving the company effectively debt-free with a $225 million undrawn revolving credit facility [9]. Q1 silver production at Keno Hill of 0.5 million ounces was down 18% from the prior quarter due to Yukon Energy power supply issues during extreme cold weather, but the operation produced a record 3.0 million ounces in 2025 and remains a key Yukon silver mine [9]. Hecla has budgeted a record $55 million for exploration and pre-development in 2026 [9].
Western Copper and Gold Corporation (TSX: WRN) (NYSE American: WRN) advances the Casino copper-gold-molybdenum project in west-central Yukon — a project of national significance with 8.5 million ounces of gold and 5.08 billion pounds of copper in proven and probable reserves per its 2022 Feasibility Study [10]. Western submitted its Environmental and Socio-economic Effects Statement to YESAB on October 6, 2025, and closed an upsized $92 million bought deal financing on February 26, 2026, at $4.15 per share, with combined cash, cash equivalents, and short-term investments of approximately $135 million as of March 26, 2026 [10]. The Casino Technical and Sustainability Committee includes representation from strategic investors Rio Tinto and Mitsubishi Materials [10].
The framework matters. Yukon Metals is not yet at Snowline's resource scale and not at Western Copper's permitting stage. But it does sit on 18 projects, 43,000+ hectares, and has now produced credible drill results at three of them in less than six months — Birch, Carter Gulch, and Star River — while securing optionable ground (Sumo) that already saw 7,300 metres of Sumitomo-funded drilling. The capital structure (basic shares of 114.3 million as of October 2025; current basic market cap approximately C$56 million at the May 5 close of C$0.49) leaves substantial room for re-rating if any one of the three properties advances toward a maiden resource [11].
Why Now
The 2026 macro setup for gold and silver is the most supportive in a generation. Hecla's realized Q1 2026 silver price was $82.70 per ounce, more than double the prior-year quarter [9]. Newmont's Q1 2026 realized gold price of $4,900 per ounce drove a 96% year-over-year increase in net income to $3.3 billion and a record $3.1 billion of free cash flow [12]. In a market like this, exploration-stage companies with multiple drill-ready targets, a recognized technical pedigree, and contiguous land positions tend to receive disproportionate capital. Yukon Metals checks all three boxes — and the recent Sumo addition shows the management team is using the moment to consolidate, not just publish.
The next data points to watch: 2026 drill program details across Birch, Star River, AZ (where rock chip samples have graded up to 26% copper and a Dec 4, 2025-effective NI 43-101 technical report was filed in March 2026), and follow-up at Sumo's recently defined 1.1 km × 600 m copper-gold skarn target [3,13].
Continuing coverage of Yukon Metals Corp. and the broader Yukon mining sector is available at https://equity-insider.com/ymc-landing
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DISCLAIMER: Nothing in this publication should be considered as personalized financial advice. We are not licensed under securities laws to address your particular financial situation. No communication by our employees to you should be deemed as personalized financial advice. Please consult a licensed financial advisor before making any investment decision. This is a paid advertisement and is neither an offer nor recommendation to buy or sell any security. We hold no investment licenses and are thus neither licensed nor qualified to provide investment advice. The content in this report or email is not provided to any individual with a view toward their individual circumstances. USA News Group is a wholly-owned subsidiary of Market IQ Media Group, Inc. ("MIQ"). MIQ has been paid a fee for Yukon Metals Corp. advertising and digital media from the company directly. There may be 3rd parties who may have shares of Yukon Metals Corp., and may liquidate their shares which could have a negative effect on the price of the stock. This compensation constitutes a conflict of interest as to our ability to remain objective in our communication regarding the profiled company. Because of this conflict, individuals are strongly encouraged to not use this publication as the basis for any investment decision. The owner/operator of MIQ does not currently own any shares of Yukon Metals Corp. but reserves the right to buy and sell, and will buy and sell shares of Yukon Metals Corp. at any time without any further notice commencing immediately and ongoing. We also expect further compensation as an ongoing digital media effort to increase visibility for the company, no further notice will be given, but let this disclaimer serve as notice that all material disseminated by MIQ has been approved by the above mentioned company; this is a paid advertisement, and we own shares of the mentioned company that we will sell, and we also reserve the right to buy shares of the company in the open market, or through further private placements and/or investment vehicles. While all information is believed to be reliable, it is not guaranteed by us to be accurate. Individuals should assume that all information contained in our newsletter is not trustworthy unless verified by their own independent research. Also, because events and circumstances frequently do not occur as expected, there will likely be differences between any predictions and actual results. Always consult a licensed investment professional before making any investment decision. Be extremely careful, investing in securities carries a high degree of risk; you may likely lose some or all of the investment.
SOURCES:
[1] World Gold Council, "Gold Demand Trends Q1 2026," April 30, 2026, https://www.gold.org/goldhub/research/gold-demand-trends/gold-demand-trends-q1-2026
[3] Yukon Metals Corp., "Yukon Metals Options Copper-Gold Project from Renowned Yukon Prospector Ryan Burke, Solidifying Position in Emergent Birch District," April 27, 2026
[3a] Yukon Metals Corp., Corporate Presentation, May 5, 2026, https://yukonmetals.com/images/pdf/Presentation/2026/26-05-05_FINAL_YMC_PRESENTATION_2.pdf
[4] Yukon Metals Corp., "14 G/T Au Within 47m of Gold-Bearing Skarn from 26m Depth in 300m Step-Out at Birch Cu-Au Project," December 8, 2025
[5] Yukon Metals Corp., "Yukon Metals Appoints Jim Coates as Permanent Full-Time CEO," March 2, 2026
[6] Yukon Metals Corp., "Yukon Metals Samples Up to 250 G/T Gold in Rock and Expands Land Position at Carter Gulch, Yukon," February 20, 2026
[7] Yukon Metals Corp., "Yukon Metals Intersects 11.7 g/t Gold Within Extensive Vein System in First Drill Program and Expands Land Package at Star River Property," April 2, 2026
[8] Snowline Gold Corp., "Snowline Gold Intersects Strong Intervals in Geotechnical Drilling at Valley and Discovers New Mineralized Target," February 11, 2026, https://www.snowlinegold.com/news/snowline-gold-intersects-strong-intervals-in-geotechnical-drilling-at-valley-and-discovers-new-mineralized-target
[9] Hecla Mining Company, "Hecla Reports First Quarter 2026 Results," May 5, 2026
[10] Western Copper and Gold Corporation, "Western Copper and Gold Announces Submission of ESE Statement," October 6, 2025; SEC Form 6-K, March 26, 2026; "Western Copper and Gold Announces Positive Feasibility on Casino," June 28, 2022
View original content:https://www.prnewswire.com/news-releases/yukon-metals-reports-14-gt-gold-in-300-metre-step-out-drilling-and-optioned-adjacent-sumitomo-drilled-property-302769606.html
On May 13, 2026, Hecla Mining Co HL shares rose 10.5% today, bringing the current price to $20.57. This price is within a volatile 52-week range of $4.68 to $34.17, demonstrating significant price fluctuations over the past year.
GF Value™ verdict: The current price is $20.57, which is 111.2% above the GF Value™ of $9.74, indicating the stock is significantly overvalued.GF Score™ of 67/100, which is considered above average, suggesting a sound but not exceptional investment profile.Most notable signal: Financial strength is rated 9/10, indicating a robust financial foundation. Is HL Overvalued or Undervalued? Hecla Mining Co's current price of $20.57 stands in stark contrast to its GF Value™ of $9.74, reflecting a substantial overvaluation of 111.2%. This significant premium raises concerns regarding the stock's future performance, as it may not have sufficient margin of safety for investors. The GF Valuation label categorizes HL as significantly overvalued, which suggests that investors may face risks if the stock price corrects to align more closely with its intrinsic value.
GF Value™ is GuruFocus' proprietary measure of intrinsic value, calculated from historical trading multiples, past business growth, and future performance estimates. Given the considerable difference between the current price and the GF Value™, potential investors should exercise caution and consider the implications of overvaluation on future returns.
How Does HL's Valuation Compare to Its History? Metric Current Historical P/E (TTM) 50.2x 79.8x (5-Year Median) Forward P/E 20.2x N/A Hecla Mining Co's current P/E (TTM) ratio of 50.2x is significantly below its 5-year median of 79.8x, indicating that while the stock is trading at a lower multiple than its historical average, it remains elevated compared to the GF Value™ verdict. This discrepancy suggests that while the P/E analysis points to a lower valuation relative to historical standards, the overall conclusion aligns with the GF Value™ assessment of overvaluation.
What Does HL's GF Score™ Tell Us? Metric Rating GF Score™ 67 Financial Strength 9/10 Profitability 6/10 Growth 6/10 Valuation 1/10 Momentum 3/10 The GF Score™ for Hecla Mining Co stands at 67/100, indicating an above-average investment profile. The strongest area is financial strength, where it achieved an impressive 9/10, suggesting a solid foundation for the company. Conversely, the weakest area is valuation, rated at just 1/10, which aligns with the conclusion drawn from the GF Value™ assessment, indicating significant overvaluation. The profitability and growth ranks of 6/10 reflect steady operational efficiency but do not offset concerns regarding current valuation levels.
What Are Insiders Doing with HL Stock? There have been no insider transactions reported in the last three months for Hecla Mining Co. This lack of insider activity may suggest that insiders are not currently buying or selling shares, which can indicate a neutral sentiment regarding the stock's future performance. Investors often look for insider buying as a bullish signal, so the absence of such activity may raise questions about the stock's attractiveness from those closest to the company.
What This Means for Investors Based on the analysis, Hecla Mining Co HL is currently deemed overvalued according to GF Value™, which highlights significant risks for potential investors. The large gap between the current stock price and its intrinsic value suggests that investors may be paying a premium that may not be justified by future performance.
For the complete analysis, visit the Hecla Mining Co HL stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.
Frequently Asked Questions What is HL's GF Score™?
HL's GF Score™ is 67/100, indicating an above-average investment profile based on key factors that influence long-term returns.
Is HL overvalued or undervalued?
HL is considered overvalued, with a GF Value™ of $9.74 compared to the current price of $20.57, suggesting a significant premium.
What is HL's P/E ratio?
HL's P/E (TTM) ratio is 50.2x, which is 37% below its 5-year median of 79.8x, indicating that while the stock is trading at a lower multiple, it remains overvalued based on GF Value™.
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HL weekly chart shows long-term trend structure Resistance Zone Defines Next Move The neckline and therefore the original breakout level for the double bottom pattern is the lower swing high from April at $21.05. However, an initial breakout was attempted on Wednesday, with a slightly higher high of $21.30 established. This means that another breakout attempt needs to exceed that high to confirm a continuation of the developing bull trend.
Notably, resistance for the double bottom pattern is marked by the 100-day moving average at $21.19 and the 20-week moving average at $21.26. A decisive move above both indicators would further confirm strength in the bullish reversal attempt. Since those indicators are clustered near the neckline breakout level, they collectively define a critical price zone that could influence the next directional move. Resistance confirmation adds to the potential significance of an upside breakout and the possibility for strong bullish momentum if it triggers.
Fibonacci Targets Extend Above January Peak Following a successful breakout of the double bottom, initial upside targets are the prior swing high of $25.21 and the 61.8% Fibonacci retracement at $27.32. If the trend can extend beyond the 78.6% Fibonacci retracement at $30.34, it may then have a chance to reach new highs above the $34.17 peak from January.
Higher potential targets include the 127.2% Fibonacci retracement at $39.04 and the 161.8% Fibonacci retracement at $45.24. Given the significance of the current resistance zone and the developing double bottom structure, a confirmed breakout could mark the continuation of the larger bullish advance that began following the April 2025 low.
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What are the Zacks Style Scores? The Zacks Style Scores is a unique set of guidelines that rates stocks based on three popular investing types, and were developed as complementary indicators for the Zacks Rank. This combination helps investors choose securities with the highest chances of beating the market over the next 30 days.
Each stock is given an alphabetic rating of A, B, C, D or F based on their value, growth, and momentum qualities. With this system, an A is better than a B, a B is better than a C, and so on, meaning the better the score, the better chance the stock will outperform.
The Style Scores are broken down into four categories:
Value ScoreFor value investors, it's all about finding good stocks at good prices, and discovering which companies are trading under their true value before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to help pick out the most attractive and discounted stocks.
Growth ScoreGrowth investors, on the other hand, are more concerned with a company's financial strength and health, and its future outlook. The Growth Style Score examines things like projected and historic earnings, sales, and cash flow to find stocks that will experience sustainable growth over time.
Momentum ScoreMomentum trading is all about taking advantage of upward or downward trends in a stock's price or earnings outlook, and these investors live by the saying "the trend is your friend." The Momentum Style Score can pinpoint good times to build a position in a stock, using factors like one-week price change and the monthly percentage change in earnings estimates.
VGM ScoreIf you like to use all three kinds of investing, then the VGM Score is for you. It's a combination of all Style Scores, and is an important indicator to use with the Zacks Rank. The VGM Score rates each stock on their shared weighted styles, narrowing down the companies with the most attractive value, best growth forecast, and most promising momentum.
How Style Scores Work with the Zacks Rank The Zacks Rank, which is a proprietary stock-rating model, employs earnings estimate revisions, or changes to a company's earnings expectations, to make building a winning portfolio easier.
Investors can count on the Zacks Rank's success, with #1 (Strong Buy) stocks producing an unmatched +23.7% average annual return since 1988, more than double the S&P 500's performance. But the model rates a large number of stocks, and there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.
This totals more than 800 top-rated stocks, and it can be overwhelming to try and pick the best stocks for you and your portfolio.
That's where the Style Scores come in.
You want to make sure you're buying stocks with the highest likelihood of success, and to do that, you'll need to pick stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you like a stock that only has a #3 (Hold) rank, it should also have Scores of A or B to guarantee as much upside potential as possible.
As mentioned above, the Scores are designed to work with the Zacks Rank, so any change to a company's earnings outlook should be a deciding factor when picking which stocks to buy.
For instance, a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one that boasts Scores of A and B, still has a downward-trending earnings forecast, and a much greater likelihood its share price will decline as well.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: Hecla Mining (HL - Free Report) Hecla Mining Company is a North American precious and base metals producer focused on silver, gold, zinc, lead and minor copper. The company discovers, acquires, develops and operates underground and open-pit mines, producing concentrates, loaded carbon and doré for sale to smelters, refiners, processors, and traders.
HL is a #3 (Hold) on the Zacks Rank, with a VGM Score of B.
Momentum investors should take note of this Basic Materials stock. HL has a Momentum Style Score of A, and shares are up 1.8% over the past four weeks.
One analyst revised their earnings estimate upwards in the last 60 days for fiscal 2026. The Zacks Consensus Estimate has increased $0.00 to $0.69 per share. HL boasts an average earnings surprise of +23.4%.
With a solid Zacks Rank and top-tier Momentum and VGM Style Scores, HL should be on investors' short list.
Silver is having a structural moment. The metal pushed to $118.45/oz in January 2026 before settling near the $80 handle that several banks pencilled in as a base case, and Deutsche Bank and other strategists are now modelling a path into the $90 to $100 range as central bank diversification, industrial demand from solar and solid-state batteries, and an ongoing supply-demand deficit collide. For retail investors who missed the gold trade, sub-$30 silver miners offer high-beta exposure to that thesis without paying up for the majors.
Here are four silver mining stocks trading under $30 that look interesting given current monetary and industrial tailwinds.
Hecla Mining (NYSE: HL) Hecla Mining (NYSE:HL) is the largest primary silver producer in the United States, with flagship operations at Greens Creek, Lucky Friday, and Keno Hill. Shares closed at $18.61, well inside the $30 ceiling, after climbing 278.88% over the past year. The Q1 2026 report showed record free cash flow from continuing operations of $143.66M, a realized silver price of $82.70/oz, and continuing-ops EPS of 0.25. Wall Street carries an average target of $24.82 with a forward P/E of 22x.
The bull case is balance sheet plus leverage: Hecla closed the Casa Berardi divestiture for $168M, redeemed its remaining senior notes, and is now debt-free with a $225M undrawn revolver. CEO Rob Krcmarov called this “the strongest balance sheet in the Company’s recent history.”. The risk is operational: a $192M non-cash Casa Berardi write-down drove a GAAP loss, and Keno Hill faces cold-weather power constraints. A debt-free pure-play silver producer with rising exploration spend looks well-positioned if prices grind higher.
First Majestic Silver (NYSE: AG) First Majestic Silver (NYSE:AG) operates silver and gold mines across Mexico and Nevada and is one of the highest-beta names in the sector. The stock trades at $21.86 after a 297.54% one-year run, with a beta of 2.096. Analyst consensus sits at $26.50, and the forward P/E of 19x compares to a trailing multiple of 64x, reflecting the earnings ramp baked into 2026 estimates.
The bull case is torque: quarterly earnings growth ran at 235.9% YoY with revenue up 169.2% YoY, and the company carries $1.26B in TTM revenue at a 49% operating margin. The risk is volatility cutting both ways, plus one strong-sell rating from a sell-side desk skeptical of the multiple. Patience and position sizing matter here.
Endeavour Silver (NYSE: EXK) Endeavour Silver (NYSE:EXK) runs the Guanacevi, Bolanitos, and newly ramped Terronera mines, with Kolpa now contributing after acquisition. Shares trade at $10.03, with a one-year return of 198.51%. The Q1 2026 report delivered adjusted EPS of 0.21 versus $0.09 consensus, revenue of $209.7M (up 230.3% YoY), and a realized silver price of $85.95/oz. The analyst target stands at $16.17 with eight buy or strong-buy ratings and zero holds.
The bull case is the Terronera ramp plus Pitarrilla feasibility advancing, with an LNG plant due mid-2026 that should cut roughly $8/tonne in costs. The risk is hedging: Endeavour booked a $24.2M loss on gold forward swaps struck at $2,311/oz against a market near $4,863/oz, and AISC guidance of $27 to $28/oz leaves margin compression if silver retraces.
Silvercorp Metals (NYSE: SVM) Silvercorp Metals (NYSE:SVM) is a Canadian-listed operator with producing mines in China’s Ying district and growth assets in Ecuador and Kyrgyzstan. Shares closed at $13.50, up 272.59% over one year and 61.87% year to date. The fiscal Q4 2026 report posted record quarterly revenue of $126.11M, adjusted EPS of 0.22, and operating cash flow of $132.94M. The consensus price target is $13.75, with a forward P/E of 12x.
The bull case is among the lowest cash costs in the sector at negative $3.02/oz, a $462.4M cash position, and growth catalysts in Kuanping (first ore June 2026) and El Domo (production July 2027). The risk is jurisdictional concentration: every revenue-generating mine sits in China, El Domo capex was revised up to $283.6M, and a $60.18M mark-to-market derivative charge triggered a GAAP loss this quarter.
Silver miners are leveraged plays on a volatile commodity, and the same operating leverage that magnifies gains on the way up cuts hard on the way down. Read the filings, size positions appropriately, and watch realized prices versus AISC at each operation before acting.
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It also includes access to the Zacks Style Scores.
What are the Zacks Style Scores? Developed alongside the Zacks Rank, the Zacks Style Scores are a group of complementary indicators that help investors pick stocks with the best chances of beating the market over the next 30 days.
Based on their value, growth, and momentum characteristics, each stock is assigned a rating of A, B, C, D, or F. The better the score, the better chance the stock will outperform; an A is better than a B, a B is better than a C, and so on.
The Style Scores are broken down into four categories:
Value ScoreFinding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to highlight the most attractive and discounted stocks.
Growth ScoreGrowth investors, on the other hand, are more concerned with a company's financial strength and health, and its future outlook. The Growth Style Score examines things like projected and historic earnings, sales, and cash flow to find stocks that will experience sustainable growth over time.
Momentum ScoreMomentum traders and investors live by the saying "the trend is your friend." This investing style is all about taking advantage of upward or downward trends in a stock's price or earnings outlook. Employing factors like one-week price change and the monthly percentage change in earnings estimates, the Momentum Style Score can indicate favorable times to build a position in high-momentum stocks.
VGM ScoreIf you want a combination of all three Style Scores, then the VGM Score will be your friend. It rates each stock on their combined weighted styles, helping you find the companies with the most attractive value, best growth forecast, and most promising momentum. It's also one of the best indicators to use with the Zacks Rank.
How Style Scores Work with the Zacks Rank The Zacks Rank is a proprietary stock-rating model that harnesses the power of earnings estimate revisions, or changes to a company's earnings expectations, to help investors build a successful portfolio.
It's highly successful, with #1 (Strong Buy) stocks producing an unmatched +23.7% average annual return since 1988. That's more than double the S&P 500. But because of the large number of stocks we rate, there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.
This totals more than 800 top-rated stocks, and it can be overwhelming to try and pick the best stocks for you and your portfolio.
That's where the Style Scores come in.
To maximize your returns, you want to buy stocks with the highest probability of success. This means picking stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you find yourself looking at stocks with a #3 (Hold) rank, make sure they have Scores of A or B as well to ensure as much upside potential as possible.
Since the Scores were created to work together with the Zacks Rank, the direction of a stock's earnings estimate revisions should be a key factor when choosing which stocks to buy.
Here's an example: a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one with Style Scores of A and B, still has a downward-trending earnings outlook, and a bigger chance its share price will decrease too.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: Hecla Mining (HL - Free Report) Hecla Mining Company is a North American precious and base metals producer focused on silver, gold, zinc, lead and minor copper. The company discovers, acquires, develops and operates underground and open-pit mines, producing concentrates, loaded carbon and doré for sale to smelters, refiners, processors, and traders.
HL is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.
Additionally, the company could be a top pick for growth investors. HL has a Growth Style Score of A, forecasting year-over-year earnings growth of 40.8% for the current fiscal year.
For fiscal 2026, one analyst revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.00 to $0.69 per share. HL boasts an average earnings surprise of +23.4%.
With a solid Zacks Rank and top-tier Growth and VGM Style Scores, HL should be on investors' short list.
Key Takeaways Coeur Mining lifted Q1 2026 gold and silver output with support from acquired New Gold assets. CDE advanced New Afton's C-Zone and extended Rainy River's mine life through 2035. HL generated record Q1 free cash flow while advancing growth projects at key silver operations. Coeur Mining, Inc. (CDE - Free Report) and Hecla Mining Company (HL - Free Report) remain closely watched precious metals producers as gold and silver markets continue to benefit from elevated inflation concerns, central bank buying activity and resilient safe-haven demand heading into 2026.
Higher realized metal prices have strengthened cash flow expectations and improved investor sentiment across the silver and gold mining sector. Both companies continue advancing operational optimization, reserve expansion and exploration initiatives at key North American assets.
The supportive commodity environment, combined with ongoing production growth and strategic project execution, positions both CDE and HL as leveraged beneficiaries of sustained strength in precious metals markets.
Let’s dive deep and closely compare the fundamentals of these two miners to determine which one is a better investment now.
The Case for CDECoeur Mining delivered solid first-quarter 2026 production results, producing 96,503 ounces of gold and 4.4 million ounces of silver, representing a year-over-year increase of 11% and 18%, respectively.
A major milestone during the quarter was the completion of the acquisition of New Gold on March 20, 2026, adding the New Afton and Rainy River mines to Coeur’s portfolio. Following the acquisition, Rainy River contributed 12,494 ounces of gold and 19,000 ounces of silver, while New Afton added 1,651 ounces of gold, 4,000 ounces of silver and 1.4 million pounds of copper.
Among legacy operations, Las Chispas produced 15,031 ounces of gold and 1.5 million ounces of silver, while Palmarejo delivered 22,918 ounces of gold and 1.5 million ounces of silver. Rochester produced 14,112 ounces of gold and 1.4 million ounces of silver, impacted by lower grades and maintenance activity. Kensington generated 20,525 ounces of gold, while Wharf produced 9,772 ounces, reflecting operational disruptions tied to prior fire damage.
At New Afton, Coeur advanced the C-Zone development project with cave construction completed and throughput expected to ramp up to 15,000 tons per day in the first half of 2026. At Rainy River, Coeur updated the mine’s technical report, extending the operation’s mine life through 2035 while continuing underground mining ramp-up and Phase 5 open-pit stripping activities.
Coeur also progressed the Stage 6 leach pad expansion at Rochester and continued exploration efforts tied to the future POA 12 expansion. In addition, the company advanced exploration and development programs at its Silvertip project in British Columbia.
At the end of March 2026, CDE’s cash and cash equivalents were around $843.2 million, an eleven-fold increase compared with the year-ago period. Total debt increased to approximately $761.4 million at quarter-end from $340.5 million at the end of 2025. The total debt-to-capital ratio is 0.068. Free Cash Flow in the quarter was about $266.8 million.
The Case for HLHecla Mining delivered solid production results in the first quarter of 2026, producing approximately 3.9 million ounces of silver and 12,886 ounces of gold. Greens Creek remained the company’s largest silver-producing operation with about 2.2 million ounces of silver and all of the gold production during the quarter.
Lucky Friday contributed roughly 1.2 million ounces of silver, while Keno Hill produced around 488,719 ounces of silver as ramp-up activities continued in the Yukon. The company also generated meaningful lead and zinc by-product production, supporting strong overall operating performance.
Hecla Mining continued advancing a broad pipeline of operational and development projects during the first quarter of 2026, reinforcing its long-term North American silver growth strategy. At Lucky Friday, the company pushed forward with the surface cooling project, underground development and construction of a new tailings facility, all aimed at supporting the mine’s 17-year reserve life and future production expansion.
At Keno Hill in the Yukon, Hecla continued ramping up operations while investing in mine infrastructure, including a waste storage facility and water treatment plant, to support the transition toward steady-state production capacity.
At Greens Creek, the company advanced engineering and construction work tied to a major tailings expansion project expected to extend mine life and tailings capacity through 2045.
At the end of March 2026, Hecla Mining reported cash and cash equivalents of approximately $588 million, while total debt stood at around $266 million. The total debt-to-capital ratio is 0.093. The company generated a record free cash flow of roughly $144 million during the first quarter of 2026.
CDE and HL: Price Performance & ValuationThe CDE stock is up 119.2% in the past year, and HL is up 228.3%.
Image Source: Zacks Investment Research
CDE is currently trading at a forward 12-month sales multiple of 3.7X, whereas HL is currently trading at a forward 12-month sales multiple of 9.39X.
Image Source: Zacks Investment Research
How The Zacks Consensus Estimate Compares for CDE & HLThe Zacks Consensus Estimate for CDE’s fiscal 2026 EPS suggests a 82.5% year-over-year rise. EPS estimates for fiscal 2026 have been trending lower over the past 60 days.
Image Source: Zacks Investment Research
EPS estimates for CDE for fiscal 2026 have been trending lower over the past 60 days.
Image Source: Zacks Investment Research
The consensus estimates for HL’s fiscal 2026 EPS suggests a 40.8% year-over-year rise.
Image Source: Zacks Investment Research
EPS estimates for HL for 2026 have been stable over the past 60 days.
Image Source: Zacks Investment Research
CDE or HL: Which Stock Holds the Edge?Coeur Mining stands out as the more compelling investment, while Hecla Mining remains an attractive buy. CDE delivered a strong first-quarter 2026 performance, generating 96,503 ounces of gold and 4.4 million ounces of silver, supported by $266.8 million in free cash flow. Its growth was driven by the successful integration of the high-grade, low-cost Las Chispas mine, alongside consistent production from Rochester and Palmarejo, enhancing both margin expansion and production visibility. Hecla Mining also posted solid results, producing 3.9 million ounces of silver and significant gold output from Greens Creek, with $144 million in free cash flow, reflecting strong operational execution across its portfolio.
CDE’s higher cash and lower forward 12-month sales multiple compared to HL’s underscore an attractive valuation relative to peers.
Coeur Mining’s combination of production scale, margin efficiency, financial strength and attractive valuation positions it as the preferred stock.
CDE and HL carry a Zacks Rank #3 (Hold) each at present. You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.
For new and old investors, taking full advantage of the stock market and investing with confidence are common goals. Zacks Premium provides lots of different ways to do both.
Featuring daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, the research service can help you become a smarter, more self-assured investor.
Zacks Premium also includes the Zacks Style Scores.
What are the Zacks Style Scores? The Zacks Style Scores, developed alongside the Zacks Rank, are complementary indicators that rate stocks based on three widely-followed investing methodologies; they also help investors pick stocks with the best chances of beating the market over the next 30 days.
Each stock is assigned a rating of A, B, C, D, or F based on their value, growth, and momentum characteristics. Just like in school, an A is better than a B, a B is better than a C, and so on -- that means the better the score, the better chance the stock will outperform.
The Style Scores are broken down into four categories:
Value ScoreValue investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and many other multiples, the Value Style Score identifies the most attractive and most discounted stocks.
Growth ScoreGrowth investors are more concerned with a stock's future prospects, and the overall financial health and strength of a company. Thus, the Growth Style Score analyzes characteristics like projected and historic earnings, sales, and cash flow to find stocks that will see sustainable growth over time.
Momentum ScoreMomentum trading is all about taking advantage of upward or downward trends in a stock's price or earnings outlook, and these investors live by the saying "the trend is your friend." The Momentum Style Score can pinpoint good times to build a position in a stock, using factors like one-week price change and the monthly percentage change in earnings estimates.
VGM ScoreWhat if you like to use all three types of investing? The VGM Score is a combination of all Style Scores, making it one of the most comprehensive indicators to use with the Zacks Rank. It rates each stock on their combined weighted styles, which helps narrow down the companies with the most attractive value, best growth forecast, and most promising momentum.
How Style Scores Work with the Zacks Rank The Zacks Rank is a proprietary stock-rating model that harnesses the power of earnings estimate revisions, or changes to a company's earnings expectations, to help investors build a successful portfolio.
It's highly successful, with #1 (Strong Buy) stocks producing an unmatched +23.7% average annual return since 1988. That's more than double the S&P 500. But because of the large number of stocks we rate, there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.
But it can feel overwhelming to pick the right stocks for you and your investing goals with over 800 top-rated stocks to choose from.
That's where the Style Scores come in.
To maximize your returns, you want to buy stocks with the highest probability of success. This means picking stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you find yourself looking at stocks with a #3 (Hold) rank, make sure they have Scores of A or B as well to ensure as much upside potential as possible.
The direction of a stock's earnings estimate revisions should always be a key factor when choosing which stocks to buy, since the Scores were created to work together with the Zacks Rank.
A stock with a #4 (Sell) or #5 (Strong Sell) rating, for instance, even one with Scores of A and B, will still have a declining earnings forecast, and a greater chance its share price will fall too.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: Hecla Mining (HL - Free Report) Hecla Mining Company is a North American precious and base metals producer focused on silver, gold, zinc, lead and minor copper. The company discovers, acquires, develops and operates underground and open-pit mines, producing concentrates, loaded carbon and doré for sale to smelters, refiners, processors, and traders.
HL is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.
Momentum investors should take note of this Basic Materials stock. HL has a Momentum Style Score of A, and shares are up 4.4% over the past four weeks.
One analyst revised their earnings estimate upwards in the last 60 days for fiscal 2026. The Zacks Consensus Estimate has increased $0.00 to $0.69 per share. HL boasts an average earnings surprise of +23.4%.
With a solid Zacks Rank and top-tier Momentum and VGM Style Scores, HL should be on investors' short list.
It has been about a month since the last earnings report for Hecla Mining (HL - Free Report) . Shares have lost about 8.2% in that time frame, underperforming the S&P 500.
Will the recent negative trend continue leading up to its next earnings release, or is Hecla Mining due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its latest earnings report in order to get a better handle on the important catalysts.
Hecla Mining's Q1 Earnings & Revenues Improve Y/Y on Higher PricesHecla Mining posted first-quarter 2026 earnings of 24 cents per share, missing the Zacks Consensus Estimate of 27 cents by 11%.
Revenues came in at $411 million, up 100.3% year over year but 13.3% below the consensus mark of $474 million. The quarter’s metal-price environment was supportive, with realized silver at $82.70 per ounce (up 146% year over year) and realized gold at $4,899 per ounce (up 46% year over year). This, along with higher sales volumes, led to the improvement in the quarter.
Hecla Mining’s Profits ImprovedTotal cost of sales in the first quarter was $158 million, up 15.8% from $136.7 million in the year-ago quarter. Gross profit surged 269% to $253 million from $69 million a year earlier.
Adjusted EBITDA from continuing operations surged 243% to a record $265 million.
Operational Highlights for Q1Hecla Mining reported silver production of around 3.9 million ounces, down 5% year over year. Higher output at Greens Creek was offset by declines at Lucky Friday and Keno Hill.
Gold production dipped 6% year over year to 12,886 ounces.
Silver payable ounces sold in the quarter were up 2% in the quarter to around 3.575 million ounces. Gold payable ounces sold were up 10% to 11,533 ounces.
Greens Creek produced nearly 2.18 million ounces of silver, 8.7% higher than the last year quarter. Gold output was around 12,886 ounces, a 6% decline year over year.
Lucky Friday produced 1.24 million ounces of silver in the quarter, a 7% decline from 1.33 million ounces in the year-ago quarter.
At Keno Hill, silver production was about 0.49 million ounces, compared with 0.77 million ounces in the prior year quarter. Production was impacted by reduced power supply during extreme cold weather and lower silver milled grade. Management expects silver grade mined and milled to increase in the second quarter as sequencing improves.
Hecla Mining Delivers Solid Cash Flows, Builds Balance Sheet StrengthHecla Mining generated cash flow from operating activities of around $183 million compared with $27.6 million in the prior year. Free cash flow was a record $144 million for the quarter, with all operations generating positive free cash flow.
The company ended the quarter with cash and cash equivalents of around $588 million, a significant jump from $242.7 million at the end of 2025, benefiting from solid free cash flow and cash proceeds from the Casa Berardi sale.
Total debt was reported at $266 million as of the quarter's end. Hecla redeemed its remaining $263 million of 7.25% Senior Notes on April 9, leaving the company with no long-term debt and a $225 million undrawn revolving credit facility (plus a $75 million accordion).
Hecla Mining’s Outlook for 2026Looking ahead, Hecla expects consolidated silver production of 15.1-16.5 million ounces in fiscal 2026. Consolidated gold production is expected to be 51-55 thousand ounces.
Exploration and pre-development investments are expected to nearly double to $55 million in fiscal 2026, with heightened focus across Greens Creek, Keno Hill, Lucky Friday and Nevada (Midas, Hollister and Aurora). The company also noted progress on key site initiatives, including continued work on the Lucky Friday surface cooling project, which was 81% complete at year-end and remains on track for mid-2026 completion.
How Have Estimates Been Moving Since Then?It turns out, fresh estimates have trended upward during the past month.
The consensus estimate has shifted 42.86% due to these changes.
VGM ScoresCurrently, Hecla Mining has a great Growth Score of A, a grade with the same score on the momentum front. However, the stock was allocated a grade of D on the value side, putting it in the bottom 40% for this investment strategy.
Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in.
OutlookEstimates have been trending upward for the stock, and the magnitude of this revision looks promising. Notably, Hecla Mining has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
A continuing rout in precious metals stocks again put the hurt on Hecla Mining's (HL +2.00%) shares on Tuesday. The company, which considers itself the largest primary silver miner in North America and also produces gold, continued to be affected by recent softness in the spot prices of its favored metals, and its stock fell by nearly 3% that trading session as a result.
Not so precious? Silver, gold, and other precious metals had been in something of a holding pattern since mid-May, but this changed last Friday with the release of the latest monthly national employment statistics released by the federal government. These revealed that the tally for new, non-farm jobs created was 172,000, more than double the Dow Jones estimate.
Image source: Getty Images.
With far more new jobs than anticipated in this country, the Federal Reserve is much more likely to maintain its current interest rates for longer than expected, or even raise them -- a spike in employment tends to fuel inflation, as the new workers need to get paid, and they also spend into the economy.
Consequently, higher interest rates mean higher bond coupons, which in turn drive up the yields of current debt instruments. With that, non-yielding assets such as precious metals become less attractive to investors, a dynamic that's been largely in place since Friday.
Hecla Mining and its peers are particularly vulnerable to this, as their key costs are fixed and considerable. Even a minor swing up or down in the price of gold, silver, or whatever precious metal in which they specialize will have an amplified effect on their fundamentals.
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Lingering challenges This follows a sustained bull run in precious metals that saw several, including silver, reach new all-time highs. When considering that, the current bearishness doesn't necessarily look like an existential threat. Yet considering that geopolitical tensions remain high and economic headaches aren't going away, I'd probably avoid Hecla stock specifically and precious metals miners generally these days.
Eric Volkman has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
FuelCell Energy shares are sliding. What’s weighing on FCEL shares? Profit Taking In A Still Supportive MarketIndustrials are up 0.63% and overall breadth is strong, with 10 sectors advancing and only 1 in the red. Against that backdrop, FuelCell trading lower stands out. After a sharp multi month climb that left the stock hovering just under recent highs, this is exactly the kind of spot where early buyers often start trimming positions.
The red print reads like a positioning reset rather than a vote of no confidence in the company or the clean energy theme.
Rally Intact, But The Rubber Band Is TightFrom a bigger picture view, the uptrend is still undeniable. According to the user provided data, FuelCell has surged 451.09% over the past 12 months. The problem for new money is not the direction of the trend, but the entry point. RSI sits at 77.10, firmly in overbought territory. That does not guarantee an immediate reversal, but it does signal that buyers have been pushing hard for a while and that the risk of exhaustion is rising.
The distance from key moving averages tells the same story in even louder terms. Shares are trading 59.6% above the 20 day simple moving average at $15.74 and a staggering 204.5% above the 200 day simple moving average at $8.25. That kind of stretch keeps the chart looking powerful, but it also means that any wobble in sentiment can quickly turn into a sharper pullback as price snaps back toward those trend lines.
Structurally, the setup still looks constructive. The 20 day simple moving average is above the 50 day, and a golden cross, where the 50 day moved above the 200 day, formed in October 2025. RSI first pushed into overbought territory in May, lining up with the latest swing high and the push toward the 52 week high zone.
Key levels are clear and psychologically important in a momentum tape. Resistance sits near $26.90 around the 52 week high area where sellers have recently appeared. Support is anchored near $15.74, in line with the 20 day simple moving average and the kind of "first pullback" zone that often gets tested when a hot stock cools off. If the narrative loses steam, the market will try to fall back on those reference points.
Why FuelCell Was Rising YesterdayAccording to the user provided company update, FuelCell Energy shares ripped higher on Thursday after the company announced a notable addition to its board of directors. The company said it appointed John Livingston, a veteran executive with more than 25 years of experience across strategy, technology and cybersecurity, to its board effective May 19, 2026.
FCEL Shares Are SlidingFCEL Price Action: FuelCell shares were down 2.12% at $25.82 at the time of publication on Friday. The stock is approaching its 52-week high of $26.90, according to Benzinga Pro.
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Fuel cell stocks are splitting in opposite directions midday Wednesday. Plug Power (NASDAQ:PLUG) stock is up 6% to $4.07, while sector peers FuelCell Energy (NASDAQ:FCEL) and Bloom Energy (NYSE:BE) are slipping into the red.
FCEL stock is down 4% to $23.32, and BE stock is off 3% to $294.64. The split looks dramatic on the screen, but the context matters here.
All three names have been on torrid runs into today. FCEL stock is up 225% year to date (YTD) and BE shares are up 242% YTD. Today’s red prints in FCEL and BE look more like profit-taking than a sector breakdown.
Plug Power: Hydrogen Turnaround Catches Another Bid Plug Power stock is the clear standout today, extending a massive rally starting in March.
The fundamental backdrop firmed up earlier this month. Plug Power reported Q1 FY2026 revenue of $163.51M, up 22% year over year, beating consensus by 17%, with GAAP gross margin improving sharply. CEO Jose Luis Crespo reiterated the company’s “EBITDAS positive target in Q4 2026”.
Plug Power’s management is also unlocking cash, with about $275 million expected from hydrogen asset monetization, including a $142 million Stream Data Centers deal closing in June. Wall Street remains cautious, however, with an analyst target price of $3.62 sitting below today’s quote.
FuelCell Energy: Pullback After a Vertical Run FuelCell Energy stock is taking a breather after a near-vertical move. One red day barely dents the broader trend.
The bull thesis remains the AI power pivot. FuelCell Energy posted Q4 FY2025 revenue of $55.02M, up 12% year over year, with cash on hand of $278.1 million and a $1.24 billion backlog. CEO Jason Few continues to point management’s energy toward data center customers.
The setup looks like classic profit-taking. FCEL stock ran fast, and traders are trimming after a parabolic month.
Bloom Energy: Sector Leader Cools Off Bloom Energy stock is the sector’s heavyweight and today’s modest decliner, with hyperscaler power deals reshaping the story.
The fundamentals are doing the heavy lifting. Bloom Energy reported Q1 FY2026 revenue of $751.05M, up 130% year over year, and raised FY26 guidance to $3.4 billion to $3.8 billion in revenue. CEO KR Sridhar described the moment with confidence: “We at Bloom are ushering in the era of digital power for the digital age.”
Even Mad Money host Jim Cramer has flagged the name, noting that Bloom’s fuel cells are “in short supply and they don’t burn dirty” for data center deployment. A 3% pullback against that backdrop is noise, not a thesis change.
What to Watch The bigger picture is that PLUG, FCEL, and BE are all riding the same AI power thesis, just at different scales. The Bloom Energy stock leads on hyperscaler exposure, FuelCell Energy is the mid-cap pivot story, and Plug Power is the hydrogen turnaround.
Today’s divergence is a function of timing and crowding, not narrative. With PLUG carrying a beta of 2.07 and 12 hold ratings against 5 buys, the stock could stay choppy even on green days.
Investors may want to keep an eye on whether PLUG stock holds above $4 into the close and whether FCEL and BE stabilize after their multi-month surges. Prudent investors might also size their positions modestly given how stretched the YTD moves already are across the group.
Key Takeaways Bloom Energy shows bigger 2026-2027 EPS estimate gains over 60 days than FuelCell Energy.Bloom Energy's ROIC is 5.67% versus FuelCell Energy's -14.9%, showing a wide efficiency gap.FuelCell Energy has lower debt-to-capital, but Bloom Energy led in 1-year share price gains. The companies belonging to the Zacks Alternate Energy-Other present an attractive long-term investment opportunity as global demand for clean energy continues to rise. Green and low-carbon hydrogen are expected to play a critical role in decarbonizing hard-to-electrify sectors such as heavy industry, shipping and long-duration power generation, where battery-based technologies may be less practical. As governments strengthen emission targets and expand incentives for hydrogen infrastructure, companies capable of scaling electrolysis, storage and distribution technologies are well positioned to gain market share and secure long-term contracts.
Bloom Energy (BE - Free Report) and FuelCell Energy (FCEL - Free Report) are prominent players in the stationary fuel-cell market, offering on-site power systems that generate electricity through efficient electrochemical processes rather than traditional combustion methods.
Hydrogen-powered electricity generation also has the potential to address renewable energy intermittency and reduce pressure on power grids. Although the sector offers compelling long-term growth opportunities, it remains in the early stages of development. Investors may benefit from focusing on companies with proven technology partnerships, clear cost-reduction strategies and dependable offtake agreements, while also monitoring policy changes, pricing trends and execution-related risks.
Bloom Energy is well positioned to benefit from rising demand for reliable, low-carbon and on-site power solutions. Its solid oxide fuel cell technology delivers highly efficient and ultra-clean electricity, enabling businesses to reduce dependence on increasingly stressed power grids. Growing interest in green hydrogen, favorable policy support and continued advancements in Bloom Energy’s electrolyzer platform further strengthen its long-term growth prospects. As corporations and data centers increasingly prioritize reliable and sustainable backup power, Bloom Energy is expected to play a larger role in the global energy transition.
FuelCell Energy also offers investors exposure to the growing market for clean, reliable and distributed energy solutions. The company stands to benefit from increasing adoption of hydrogen production, carbon capture technologies and on-site energy systems designed to reduce grid pressure while supporting decarbonization goals. Supported by government incentives and rising corporate commitments to lowering emissions, FuelCell Energy’s ongoing technological advancements improve its ability to capitalize on long-term opportunities within the clean energy and hydrogen markets.
A closer evaluation of these companies’ fundamentals can provide deeper insight into their relative strengths and help determine which stock currently represents the more compelling investment opportunity. Both companies continue to benefit from strong backlogs, highlighting the growing acceptance of fuel-cell technology as a credible alternative to conventional power generation.
BE & FCEL’s Earnings EstimatesThe Zacks Consensus Estimate for BE’s earnings per share in 2026 and 2027 implies an increase of 50.39% and 38.19%, respectively, in the past 60 days.
Image Source: Zacks Investment Research
The same for FCEL’s earnings per share in 2026 and 2027 remained unchanged in the past 60 days.
Image Source: Zacks Investment Research
Return on Invested CapitalReturn on Invested Capital (“ROIC”) measures how effectively a company uses debt and equity to generate profits. It shows the return earned on each dollar invested and helps investors evaluate how efficiently management allocates capital to value-creating opportunities.
ROIC of Bloom Energy is currently pegged at 5.67% against FCEL’s negative 14.9%.
Image Source: Zacks Investment Research
Debt to Capital & TIE RatioBorrowing plays a crucial role for hydrogen fuel-cell companies, as the industry is extremely capital-intensive and still moving through early growth and commercialization stages. These firms need substantial funding for research and development, production expansion and large-scale project builds.
FCEL’s current debt to capital is 17.54% compared with BE’s 73.3%.
Image Source: Zacks Investment Research
The Times Interest Earned (“TIE”) ratio, commonly referred to as the Interest Coverage Ratio, evaluates a company’s ability to meet its regular interest obligations using operating earnings. At present, BE’s TIE ratio is 1.3 against FCEL's TIE of negative 16.6.
ValuationBloom Energy’s shares are trading at a premium compared with FuelCell Energy’s shares on a Price/Sales F12M basis.
BE’s shares are presently trading at P/S F12M of 17.86X compared with FuelCell Energy’s 6.85X.
Image Source: Zacks Investment Research
Price PerformanceIn the past year, shares of FuelCell Energy have gained 377.3% compared with Bloom Energy’s rally of 1470.2%.
Image Source: Zacks Investment Research
Summing UpBloom Energy and FuelCel Energy develop and commercialize fuel-cell and hydrogen-based energy technologies, operating within the clean power and broader alternative energy sector.
But based on the above discussion, it is evident that Bloom Energy has a marginal edge over FuelCell Energy based on better earnings estimate movement, healthier price performance in the past year and much better return on invested capital. Bloom Energy currently sports a Zacks Rank #1 (Strong Buy), while FuelCell Energy has a Zacks Rank #3 (Hold).
You can see the complete list of today’s Zacks #1 Rank stocks here.
Key Takeaways FuelCell Energy targets food and beverage plants that need steady CO2 for drinks, freezing and preservation.FCEL systems turn hydrogen-rich fuel into power and heat, producing a concentrated CO2 stream for reuse.On-site CO2 recovery can reduce reliance on suppliers and trucking, helping manage price swings. FuelCell Energy’s (FCEL - Free Report) relevance to the food and beverage market lies in a basic operating need — steady access to carbon dioxide (CO2), whichis essential for carbonated drinks, beer, food processing, refrigeration, dry ice and preservation. When supplies tighten or transportation costs rise, manufacturers can face higher input costs and even production delays. That makes CO2 availability a business continuity issue, not just an environmental concern.
In other words, CO2 availability is often discussed in environmental terms because it is associated with emissions, climate impact and sustainability. But for food and beverage companies, CO2 is also a critical operating input. For operators running high-volume production lines, even short disruptions in this input can affect schedules, inventory planning and customer commitments.
FCEL’s fuel cell technology addresses this challenge by allowing manufacturers to produce useful energy and recover CO2 at the same site. The system converts hydrogen-rich fuel into electricity and heat, while generating a concentrated CO2 stream that can be reused in production. For food and beverage plants, this creates a more integrated setup, as power, heat and a critical raw material can all come from one on-site platform. This can reduce exposure to outside CO2 suppliers, trucking constraints and price swings, while giving plant managers greater control over a resource that is often treated as externally dependent.
The key insight is that FuelCell Energy’s food and beverage application is not simply about clean power. Its stronger value proposition is operational resilience. Facilities that consume large volumes of CO2 may benefit from bringing part of that supply in-house, especially if they also need reliable electricity and usable heat. The model turns CO2 from a purchased commodity into a recoverable resource, helping manufacturers improve uptime, manage costs and support sustainability goals without changing the core purpose of their production lines.
FCEL is not alone in recognizing that CO2 has become an important operating input for food and beverage producers. Other industrial gas and equipment companies are also serving this market by helping customers store, supply and use CO2 more reliably across carbonation, freezing, chilling and packaging applications.
Expanding Role of CO2 in Food and Beverage Operations
Chart Industries (GTLS - Free Report) supports the food and beverage industry with bulk CO2 carbonation and storage systems used for soft drinks, beer and food freezing. Chart Industries offers Carbo-Mizer, Carbo-Mite, Carbo-Max and Perma-Max tanks as safer, lower-cost alternatives to high-pressure cylinders. Chart Industries also combines CO2 and nitrogen technology to help brewers manage dispensing needs, reduce run-outs and support consistent quality from small brew pubs to stadiums and larger breweries today.
Meanwhile, Air Products and Chemicals (APD - Free Report) serves the food and beverage industry through food-grade gases, including CO2, used for freezing, chilling, packaging, fermentation and process optimization. Air Products’ Freshline solutions help manufacturers improve product quality, extend shelf life and support food safety. Air Products also offers testing through food labs and mobile services, helping customers see how CO2 or nitrogen can improve yield, quality and efficiency. Air Products emphasizes reliable supply through bulk, microbulk and on-site options.
The Zacks Rundown on FCEL
Shares of FuelCell Energy have nearly tripled over the past six months, breezing past the industry's growth.
Image Source: Zacks Investment Research
FCEL currently has an average brokerage recommendation (ABR) of 3.44 on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by nine brokerage firms.
Image Source: Zacks Investment Research
The chart below shows FCEL’s earnings over the past four quarters.
Image Source: Zacks Investment Research
The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Fuel cell stocks are taking a sharp step back midday Wednesday, with FuelCell Energy (NASDAQ:FCEL) leading the decline. FuelCell Energy shares are down 10% to around $22, after closing Tuesday at $24.64.
Plug Power (NASDAQ:PLUG) shares are off 6% to around $3.83, while Bloom Energy (NYSE:BE) is slipping a more modest 3% to around $294. The split tells the story: this looks like profit-taking after a parabolic run.
There’s no clean headline catalyst on the tape today. Instead, traders appear to be ringing the register on names that ran far and fast into June.
Pullback From Parabolic Levels The setup heading into Wednesday was extreme. FuelCell Energy stock was up 85% over the past month and 399% over the past year, with shares trading well above the $13.01 50-day moving average.
Plug Power shares were up 108% year-to-date and 396% over the past year. Bloom Energy stock, the standout, was up 1,557% over the past year and 249% year-to-date. When charts go vertical, sharp single-day pullbacks tend to follow.
FuelCell Energy Leads the Decline FuelCell Energy is the sharpest decliner, and the fundamentals help explain the asymmetry. The Connecticut-based company carries a trailing EPS of -$6.49 and an analyst target price of $8.24, well below current levels. The Wall Street rating mix skews cautious, with 6 holds, 1 sell, and 1 strong sell.
That said, the company has been building a credible AI-adjacent story. FuelCell Energy is positioned around CO2 recovery solutions for food and beverage plants and recently appointed John Livingston, a cybersecurity expert, to its board, signaling a tilt toward data center and critical infrastructure customers. An upcoming earnings report could reset sentiment in either direction.
Bloom Energy Holds Up Best Bloom Energy’s relative resilience reflects a stronger profile. The company’s Q1 FY2026 report delivered revenue of $751 million, up 130% year over year, and management raised FY26 guidance to $3.4 billion to $3.8 billion in revenue.
However, even strong fundamentals don’t immunize a stock from gravity after a vertical run. Bloom Energy shares closed Tuesday at $302.85, and a 3% slip from those levels is the market simply catching its breath.
Plug Power Caught in the Wash Plug Power continues to operate at scale but unprofitably, with trailing EPS of -$1.39 and TTM revenue of roughly $740 million. The analyst target sits at $3.62, essentially in line with where shares trade now.
On the other hand, Plug Power’s Q1 2026 print showed gross margin progress and management is targeting positive EBITDAS in Q4 2026. Today’s pullback fits that profile.
What to Watch Now These are speculative, volatile names. Cash burn and the path to durable profitability remain real questions for both FuelCell Energy and Plug Power.
Investors riding this group may want to size their positions carefully and review their stop levels. Parabolic moves cut both ways, and today’s split decline is a reminder that balance sheet quality matters when momentum cools.
Three factors could shape the next share-price moves: FuelCell Energy’s upcoming earnings report, fresh data center power demand updates, and whether Bloom Energy stock continues to outperform the group. If the spread between BE and the smaller names widens further, expect more rotation within the sector rather than a broad exit.
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FuelCell Energy, Inc. (NASDAQ:FCEL) will release earnings for its second quarter before the opening bell on Monday, June 8.
Analysts expect the Danbury, Connecticut-based company to report a quarterly loss of 44 cents per share, versus a loss of $1.75 per share in the year-ago period. The consensus estimate for FuelCell Energy's quarterly revenue is $40.51 million (it reported $37.41 million last year), according to Benzinga Pro.
On May 21, FuelCell Energy named cybersecurity entrepreneur and McKinsey veteran John Livingston to its board of directors.
Shares of FuelCell Energy dipped 19% to close at $17.33 on Friday.
Benzinga readers can access the latest analyst ratings on the Analyst Stock Ratings page. Readers can sort by stock ticker, company name, analyst firm, rating change or other variables.
Let's have a look at how Benzinga's most-accurate analysts have rated the company in the recent period.
Considering buying FCEL stock? Here’s what analysts think:
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DANBURY, Conn., June 08, 2026 (GLOBE NEWSWIRE) -- FuelCell Energy, Inc. (“FuelCell Energy” or the “Company”) (NASDAQ: FCEL) today reported financial results for its second quarter ended April 30, 2026.
Second Fiscal Quarter 2026 Operational and Financial Highlights
(All comparisons are year-over-year unless otherwise noted)
Backlog of $1.14 billion as of April 30, 2026, compared to $1.26 billion as of April 30, 2025, a decrease of approximately 9.9%Sales pipeline1 in Q2 2026 totals 4 gigawatts (“GW”), a 267% increase from Q1 2026Advanced expansion of Torrington, CT manufacturing capacityFirst two carbon capture modules en route to Rotterdam, The Netherlands in advancement of carbon capture collaboration with ExxonMobil Technology and Engineering CompanyRevenue of $35.6 million, compared to $37.4 million, a decrease of approximately 5%Gross loss of $(12.9) million, compared to $(9.4) million, an increase of approximately 37%Loss from operations of $(77.9) million, compared with $(35.8) million, an increase of approximately 118%Net loss per share attributable to common stockholders was $(1.45), compared with $(1.79) ________________________
1 Pipeline consists of ongoing commercial discussions that range from solutions discussion through contract negotiation and does not represent signed agreements. There can be no assurance that these discussions will result in executed contracts or actual sales.
“This past quarter reflected strong commercial momentum and disciplined operational execution across the business, including continued progress on our data center strategy,” said Jason Few, President and CEO of FuelCell Energy. “Our carbonate fuel cell platform was designed from inception as a megawatt-scale distributed generation solution and has been proven through more than two decades of commercial operations. Unlike architectures that aggregate numerous sub-scale units to achieve meaningful output, FuelCell Energy deploys utility-scale energy blocks capable of bringing resilient, continuous power directly to the customer. In effect, we are focused on extending the grid to the data center, enabling customers to accelerate time-to-power, reducing dependence on constrained transmission infrastructure, removing permitting friction, and supporting the growing energy demands of AI-driven compute environments with proven, scalable technology.”
“This past quarter also reflected progress toward expanding the capacity of our Torrington manufacturing facility to support an annualized production rate of up to 500 MW. We believe our balance sheet, including approximately $441 million in total cash and cash equivalents as of April 30, 2026, positions us well to execute on the pipeline opportunities, scale responsibly, and create long-term value for our shareholders and stakeholders.”
Business Updates
During the second quarter, FuelCell Energy announced the introduction of a standardized 12.5 MW FuelCell Energy Block, with the goal of shortening time-to-power for AI and data center developers and enabling rapid deployment of power solutions to grid-constrained markets. The off-the-shelf, standardized, and scalable 12.5 MW on-site power system is designed to address grid bottlenecks directly, with the goal of enabling large data center projects to move forward faster in power-constrained markets.
Similar to the standardized generation capacity increases utilities plan and execute over years, the 12.5 MW FuelCell Energy Block will apply a similar approach to on-site data center power, but on shorter timelines, reducing repeated engineering and integration as projects scale, and eliminating the need for high voltage transmission and other costly infrastructure associated with grid connection.
To address increased product demand from the Company’s growing commercial pipeline and interest in the 12.5 MW Energy Block, the Company has begun work on the previously announced expansion of its Torrington, CT manufacturing facility. In light of increased demand, the previously contemplated capacity expansion to support an annualized production rate of up to 350 MW has been increased, with the target of supporting an annualized production rate of up to 500 MW. The Company estimates that total cost of the expansion will range from $200 to $275 million. The expansion project is expected to be executed over the next twenty four months. As of May 31, 2026, work had begun on installation of a new high-volume tape caster, and a new conditioning room had been commissioned.
Backlog
As of April 30, (Amounts in thousands) 2026 2025 ChangeProduct$36,115 $98,184 $(62,069)Service 155,350 164,417 (9,067)Generation 928,482 967,388 (38,906)Advanced Technologies 15,440 29,608 (14,168)Total Backlog$1,135,387 $1,259,597 $(124,210)
Overall, backlog decreased by approximately 9.9% to $1.14 billion as of April 30, 2026, compared to $1.26 billion as of April 30, 2025, primarily as a result of revenue recognized over the period from April 30, 2025 through April 30, 2026, partially offset by new contract backlog.
Backlog represents definitive agreements executed by the Company and our customers. Projects for which we have an executed power purchase agreement (“PPA”) are included in generation backlog, which represents future revenue under long-term PPAs. The Company’s ability to recognize revenue in the future under a PPA is subject to the Company’s completion of construction of the project covered by such PPA. Should the Company not complete the construction of the project covered by a PPA, it will forgo future revenues with respect to the project and may incur penalties and/or impairment expenses related to the project. Projects sold to customers (and not retained by the Company) are included in product sales and service agreements backlog, and the related generation backlog is removed upon sale. Together, the service and generation portion of backlog had a weighted average term of approximately 15 years as of April 30, 2026, with weighting based on the dollar amount of backlog and utility service contracts of up to 20 years in duration at inception.
Consolidated Financial Metrics
Three Months Ended April 30, (Amounts in thousands, except per share data) 2026 2025 Change Total revenues$35,589 $37,406 (5%) Gross loss (12,929) (9,438) 37% Loss from operations (77,913) (35,810) 118% Net loss (77,629) (37,749) 106% Net loss attributable to common stockholders (78,707) (38,849) 103% Net loss per basic and diluted share attributable to common stockholders$(1.45) $(1.79) (19%) EBITDA *$(67,071) $(24,920) 169% Adjusted EBITDA *$(17,056) $(19,310) (12%) Adjusted net loss per basic and diluted share attributable to common stockholders *$(0.53) $(1.53) (65%) * Reconciliations of non-GAAP measures EBITDA, Adjusted EBITDA and Adjusted net loss per basic and diluted share attributable to common stockholders are contained in the appendix to this press release.
Second Fiscal Quarter 2026 Financial Results
(All comparisons are between second quarter of fiscal 2026 and second quarter of fiscal 2025 unless otherwise noted)
Second quarter revenue of $35.6 million represents a decrease of 5% from the comparable prior year quarter. This was driven by a decline in service revenue due to the lack of modules exchanges in the quarter and lower generation revenue due to lower operating output (in large part due to the fact that the Groton Project was undergoing repairs during the quarter), partially offset by higher product revenues recognized in connection with module deliveries to customers in Korea and higher Advanced Technologies revenues. (The Groton Project is the 7.4 MW fuel cell project located on the U.S. Navy Submarine Base in Groton, CT.)
Net loss was $(77.6) million in the second quarter of fiscal 2026, compared to net loss of $(37.7) million in the second quarter of fiscal 2025. Higher net loss in the period was primarily driven by impairment expenses related to the Company’s decision to upgrade the equipment at the Groton Project to utilize three of the Company’s standard 2.5 MW FCE Blocks.
Net loss attributable to common stockholders was $(78.7) million in the second quarter of fiscal 2026, compared to net loss attributable to common stockholders of $(38.8) million in the second quarter of fiscal 2025. The increase in net loss attributable to common stockholders was primarily due to the increase in loss from operations for the three months ended April 30, 2026.
Adjusted EBITDA totaled $(17.1) million in the second quarter of fiscal 2026, compared to Adjusted EBITDA of $(19.3) million in the second quarter of fiscal 2025. The improvement in Adjusted EBITDA reflects lower cash operating costs than in the prior period. Please see the discussion of non-GAAP financial measures, including Adjusted EBITDA, in the appendix at the end of this release.
The net loss per share attributable to common stockholders in the second quarter of fiscal 2026 was $(1.45), compared to $(1.79) in the second quarter of fiscal 2025. The decrease in net loss per share attributable to common stockholders is primarily due to the higher number of weighted average shares outstanding due to share issuances since April 30, 2025.
Cash and Restricted Cash
Cash and cash equivalents and restricted cash and cash equivalents totaled $440.9 million as of April 30, 2026, compared to $341.8 million as of October 31, 2025. Of the $440.9 million as of April 30, 2026, unrestricted cash and cash equivalents totaled $373.2 million and restricted cash and cash equivalents totaled $67.7 million. Of the $341.8 million total as of October 31, 2025, unrestricted cash and cash equivalents totaled $278.1 million and restricted cash and cash equivalents totaled $63.7 million.
Sales of Common Stock
During the three months ended April 30, 2026, approximately 10.9 million shares of the Company’s common stock were sold under the Company’s Open Market Sale Agreement, as amended, at an average sale price of $9.45 per share, resulting in gross proceeds of approximately $102.6 million and net proceeds to the Company of approximately $100.4 million after deducting sales commissions and fees totaling approximately $2.2 million.
Subsequent to the end of the quarter, approximately 4.1 million shares of the Company’s common stock were sold under the Company’s Open Market Sale Agreement, as amended, at an average sale price of $13.31 per share, resulting in gross proceeds of approximately $54.0 million and net proceeds to the Company of approximately $52.9 million after deducting sales commissions and fees totaling approximately $1.1 million.
Following these sales, approximately $0.5 million of shares remained available for sale under the Open Market Sale Agreement, as amended.
For further information, please refer to the Company’s Quarterly Report on Form 10-Q for the quarter ended April 30, 2026, which includes the Company’s unaudited interim consolidated financial statements, related notes thereto and management’s discussion and analysis, and is available on the Company's website at www.fuelcellenergy.com and under its profile at www.sec.gov.
Conference Call Information
FuelCell Energy will host a conference call today beginning at 10:00 a.m. ET to discuss second quarter 2026 results as well as key business highlights. Participants can access the live call via webcast on the Company’s website or by telephone as follows:
(1) The live webcast of the call and supporting slide presentation will be available at www.fuelcellenergy.com. To listen to the call, select “Investors” on the home page located under the “Our Company” pull-down menu, proceed to the “Events & Presentations” page and then click on the “Webcast” link listed under the June 8th earnings call event, or click here.
Alternatively, participants can dial 888-330-3181 and state FuelCell Energy or the conference ID number 1099808. The replay of the conference call will be available via webcast on the Company’s Investors’ page at www.fuelcellenergy.com approximately two hours after the conclusion of the call.
Cautionary Language
This news release contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 regarding future events or our future financial performance that involve certain contingencies and uncertainties. The forward-looking statements include, without limitation, statements with respect to the Company’s anticipated financial results and statements regarding the Company’s plans and expectations regarding the continuing development, commercialization and financing of its current and future fuel cell technologies, the Company’s business plans and strategies, the Company’s plan to reduce operating costs, the capabilities of the Company’s products, the Company’s potential sales pipeline, opportunities, and partners, and the markets in which the Company expects to operate. Projected and estimated numbers contained herein are not forecasts and may not reflect actual results. These forward-looking statements are not guarantees of future performance, and all forward-looking statements are subject to risks and uncertainties, known and unknown, that could cause actual results and future events to differ materially from those projected. Factors that could cause such a difference include, without limitation: general risks associated with product development and manufacturing; general economic conditions; changes in interest rates, which may impact project financing; supply chain disruptions; changes in the utility regulatory environment; changes in the utility industry and the markets for distributed generation, distributed hydrogen, and fuel cell power plants configured for carbon capture or carbon separation; potential volatility of commodity prices that may adversely affect our projects; availability of government subsidies and economic incentives for alternative energy technologies; our ability to remain in compliance with U.S. federal and state and foreign government laws and regulations; our ability to maintain compliance with the listing rules of The Nasdaq Stock Market; rapid technological change; competition; the risk that our bid awards will not convert to contracts or that our contracts will not convert to revenue; market acceptance of our products; changes in accounting policies or practices adopted voluntarily or as required by accounting principles generally accepted in the United States; factors affecting our liquidity position and financial condition; government appropriations; the ability of the government and third parties to terminate their development contracts at any time; the ability of the government to exercise “march-in” rights with respect to certain of our patents; our ability to successfully market and sell our products internationally; delays in our timeline for bringing commercially viable products to market; our ability to develop additional commercially viable products in the future; our ability to implement our strategy; our ability to reduce our levelized cost of energy and deliver on our cost reduction strategy generally; our ability to protect our intellectual property; litigation and other proceedings; the risk that commercialization of our new products will not occur when anticipated or, if it does, that we will not have adequate capacity to satisfy demand; our need for and the availability of additional financing; our ability to generate positive cash flow from operations; our ability to service our long-term debt; our ability to increase the output and longevity of our platforms and to meet the performance requirements of our contracts; our ability to expand our customer base and maintain relationships with our largest customers and strategic business allies; and our ability to reduce operating costs, as well as other risks set forth in the Company’s filings with the Securities and Exchange Commission, including the Company’s Annual Report on Form 10-K for the fiscal year ended October 31, 2025. The forward-looking statements contained herein speak only as of the date of this press release. The Company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any such statement contained herein to reflect any change in the Company’s expectations or any change in events, conditions or circumstances on which any such statement is based.
About FuelCell Energy
FuelCell Energy, Inc. (Nasdaq: FCEL) is an American clean energy technology company delivering continuous, scalable baseload power for mission-critical applications globally. The company’s fuel cell systems generate electricity directly at the point of use, enabling reliable, low-emissions power for data centers, industrial facilities, utilities, and distributed generation customers. FuelCell Energy delivers commercially proven, modular, utility-scale systems—backed by global fuel cell deployments. Learn more at www.fuelcellenergy.com.
FUELCELL ENERGY, INC.
Consolidated Balance Sheets
(Unaudited)
(Amounts in thousands, except share and per share amounts) April 30,
2026 October 31,
2025ASSETS Current assets: Cash and cash equivalents, unrestricted$373,167 $278,099 Restricted cash and cash equivalents – short-term 16,577 16,601 Accounts receivable, net 7,684 3,999 Unbilled receivables 43,653 49,008 Inventories 88,449 86,196 Other current assets 14,400 15,907 Total current assets 543,930 449,810 Restricted cash and cash equivalents – long-term 51,108 47,092 Inventories – long-term - 3,216 Project assets, net 167,512 216,847 Property, plant and equipment, net 95,323 96,436 Operating lease right-of-use assets, net 11,048 11,232 Intangible assets, net 3,242 3,891 Other assets 131,217 103,622 Total assets (1)$1,003,380 $932,146 LIABILITIES AND STOCKHOLDERS’ EQUITY Current liabilities: Current portion of long-term debt$17,351 $15,847 Current portion of operating lease liabilities 1,003 932 Accounts payable 16,464 17,009 Accrued liabilities 24,123 31,318 Deferred revenue 4,359 2,733 Total current liabilities 63,300 67,839 Long-term deferred revenue 10,362 5,985 Long-term operating lease liabilities 11,799 11,954 Long-term debt and other liabilities 129,550 115,227 Total liabilities (1) 215,011 201,005 Redeemable Series B preferred stock (liquidation preference of $64,020 as of April 30, 2026 and October 31, 2025) 59,857 59,857 Total equity: Stockholders’ equity: Common stock ($0.0001 par value); 1,000,000,000 shares authorized as of April 30, 2026 and October 31, 2025; 63,549,362 and 46,075,237 shares issued and outstanding as of April 30, 2026 and October 31, 2025, respectively) 6 5 Additional paid-in capital 2,651,450 2,493,318 Accumulated deficit (1,930,216) (1,829,449)Accumulated other comprehensive loss (1,810) (1,695)Treasury stock, Common, at cost (57,681 and 44,913 shares as of April 30, 2026 and October 31, 2025, respectively) (1,502) (1,406)Deferred compensation 1,502 1,406 Total stockholders’ equity 719,430 662,179 Noncontrolling interests 9,082 9,105 Total equity 728,512 671,284 Total liabilities, redeemable Series B preferred stock and total equity$1,003,380 $932,146 (1) As of April 30, 2026 and October 31, 2025, the combined assets of the variable interest entities (“VIEs”) were $293,861 and $325,661, respectively, that can only be used to settle obligations of the VIEs. These assets include cash of $2,552, accounts receivable of $696, unbilled accounts receivable of $4,686, operating lease right of use assets of $1,631, other current assets of $175,649, restricted cash and cash equivalents of $826, project assets of $95,460, derivative assets of $1,587 and other assets of $10,774 as of April 30, 2026, and cash of $2,490, accounts receivable of $722, unbilled accounts receivable of $12,865, operating lease right of use assets of $1,643, other current assets of $162,005, restricted cash and cash equivalents of $731, project assets of $141,414, derivative assets of $2,047 and other assets of $1,743 as of October 31, 2025. The combined liabilities of the VIEs as of April 30, 2026 include short-term operating lease liabilities of $207, accounts payable of $170,917, accrued liabilities of $1,379, derivative liabilities of $768, long-term operating lease liability of $2,109 and other non-current liabilities of $362 and, as of October 31, 2025, include short-term operating lease liabilities of $204, accounts payable of $198,736, accrued liabilities of $1,222, derivative liabilities of $21, long-term operating lease liability of $2,123 and other non-current liabilities of $307.
FUELCELL ENERGY, INC.
Consolidated Statements of Operations and Comprehensive Loss
(Unaudited)
(Amounts in thousands, except share and per share amounts) Three Months Ended
April 30, 2026 2025 Revenues: Product $18,018 $13,027 Service 4,175 8,144 Generation 8,681 12,124 Advanced Technologies 4,715 4,111 Total revenues 35,589 37,406 Costs of revenues: Product 20,282 16,261 Service 3,489 9,067 Generation 22,055 18,411 Advanced Technologies 2,692 3,105 Total costs of revenues 48,518 46,844 Gross loss (12,929) (9,438) Operating expenses: Administrative and selling expenses 14,708 16,470 Research and development expenses 7,709 9,896 Impairment expense 42,567 - Restructuring expense - 6 Total costs and expenses 64,984 26,372 Loss from operations (77,913) (35,810) Interest expense (2,859) (2,548)Interest income 2,488 1,825 Other income (expense), net 605 (1,132) Loss before provision for income taxes (77,679) (37,665)Benefit from (provision for) income taxes 50 (84) Net loss (77,629) (37,749)Net income attributable to noncontrolling interest 278 300 Net loss attributable to FuelCell Energy, Inc. (77,907) (38,049)Series B preferred stock dividends (800) (800) Net loss attributable to common stockholders $(78,707) $(38,849) Loss per share basic and diluted: Net loss per share attributable to common stockholders $(1.45) $(1.79)Basic and diluted weighted average shares outstanding 54,224,428 21,740,193 FUELCELL ENERGY, INC.
Consolidated Statements of Operations and Comprehensive Loss
(Unaudited)
(Amounts in thousands, except share and per share amounts) Six Months Ended
April 30, 2026 2025 Revenues: Product $30,060 $13,099 Service 7,364 9,992 Generation 19,669 23,470 Advanced Technologies 9,027 9,842 Total revenues 66,120 56,403 Costs of revenues: Product 36,677 19,297 Service 6,311 10,735 Generation 36,147 33,705 Advanced Technologies 5,771 7,308 Total costs of revenues 84,906 71,045 Gross loss (18,786) (14,642) Operating expenses: Administrative and selling expenses 28,178 31,500 Research and development expenses 14,672 20,977 Impairment expense 42,567 - Restructuring Expense - 1,542 Total costs and expenses 85,417 54,019 Loss from operations (104,203) (68,661) Interest expense (5,617) (5,155) Interest income 5,015 4,213 Other income (expense), net 1,075 (448) Loss before provision for income taxes (103,730) (70,051) Benefit from (provision for) income taxes 50 (84) Net loss (103,680) (70,135) Net loss attributable to noncontrolling interest (2,913) (3,760) Net loss attributable to FuelCell Energy, Inc. (100,767) (66,375) Series B preferred stock dividends (1,600) (1,600) Net loss attributable to common stockholders $(102,367) $(67,975) Loss per share basic and diluted: Net loss per share attributable to common stockholders $(2.00) $(3.22) Basic and diluted weighted average shares outstanding 51,165,339 21,110,664
Appendix
Non-GAAP Financial Measures
Financial results are presented in accordance with accounting principles generally accepted in the United States (“GAAP”). Management also uses non-GAAP measures to analyze and make operating decisions on the business. Earnings before interest, taxes, depreciation and amortization (“EBITDA”), Adjusted EBITDA, Adjusted net loss attributable to common stockholders and Adjusted net loss per share attributable to common stockholders are non-GAAP measures of operations and operating performance by the Company.
These supplemental non-GAAP measures are provided to assist readers in assessing operating performance. Management believes EBITDA, Adjusted EBITDA, Adjusted net loss attributable to common stockholders and Adjusted net loss per share attributable to common stockholders are useful in assessing performance and highlighting trends on an overall basis. Management also believes these measures are used by companies in the fuel cell sector and by securities analysts and investors when comparing the results of the Company with those of other companies. EBITDA differs from the most comparable GAAP measure, net loss attributable to the Company, primarily because it does not include finance expense, income taxes and depreciation of property, plant and equipment and project assets. Adjusted EBITDA adjusts EBITDA for stock-based compensation, impairment and restructuring expenses, unrealized non-cash loss (gain) on natural gas contract derivative assets and other unusual items, which are considered either non-cash or non-recurring. Adjusted net loss attributable to common stockholders and Adjusted net loss per share attributable to common stockholders differ from the most comparable GAAP measures, Net loss attributable to common stockholders and Net loss per share attributable to common stockholders, primarily because they do not include stock-based compensation, impairment and restructuring expenses, unrealized non-cash loss (gain) on natural gas contract derivative assets and other unusual items, which are considered either non-cash or non-recurring.
While management believes that these non-GAAP financial measures provide useful supplemental information to investors, there are limitations associated with the use of these measures. The measures are not prepared in accordance with GAAP and may not be directly comparable to similarly titled measures of other companies due to differences in the exact method of calculation. The Company’s non-GAAP financial measures are not meant to be considered in isolation or as a substitute for comparable GAAP financial measures and should be read only in conjunction with the Company’s consolidated financial statements prepared in accordance with GAAP.
The following table calculates EBITDA and Adjusted EBITDA and reconciles these figures to the GAAP financial statement measure Net loss.
Three Months Ended April 30, Six Months Ended April 30,(Amounts in thousands) 2026 2025 2026 2025 Net loss$(77,629) $(37,749) (103,680) (70,135)Depreciation and amortization (1) 10,842 10,890 21,360 20,836 (Benefit from) provision for income taxes (50) 84 (50) 84 Other (income) expense, net (2) (605) 1,132 (1,075) 448 Interest income (2,488) (1,825) (5,015) (4,213)Interest expense 2,859 2,548 5,617 5,155 EBITDA$(67,071) $(24,920) $(82,843) $(47,825)Stock-based compensation expense 2,628 4,824 5,020 6,966 Unrealized loss (gain) on natural gas contract derivative assets (3) 4,820 780 1,171 (1,066)Impairment expense (4) 42,567 - 42,567 - Restructuring expense - 6 - 1,542 Adjusted EBITDA$(17,056) $(19,310) $(34,086) $(40,383) The following table calculates Adjusted net loss attributable to common stockholders and reconciles that figure to the GAAP financial statement measure Net loss attributable to common stockholders and calculates Adjusted net loss per share attributable to common stockholders.
Three Months Ended April 30, Six Months Ended April 30,(Amounts in thousands except share and per share amounts) 2026 2025 2026 2025 Net loss attributable to common stockholders$(78,707) $(38,849) (102,367) (67,975)Stock-based compensation expense 2,628 4,824 5,020 6,966 Unrealized loss (gain) on natural gas contract derivative assets (3) 4,820 780 1,171 (1,066)Impairment expense (4) 42,567 - 42,567 - Restructuring expense - 6 - 1,542 Adjusted net loss attributable to common stockholders$(28,692) $(33,239) $(53,610) $(60,533) Net loss per share attributable to common stockholders$(1.45) $(1.79) $(2.00) $(3.22)Adjusted net loss per share attributable to common stockholders$(0.53) $(1.53) $(1.05) $(2.87)Basic and diluted weighted average shares outstanding 54,224,428 21,740,193 51,165,339 21,110,664 (1) Includes depreciation and amortization on our Generation portfolio of $8.7 million and $8.7 million for the three months ended April 30, 2026 and 2025, respectively, and $17.6 million and $16.7 million for the six months ended April 30, 2026 and 2025, respectively.
(2) Other income (expense), net includes gains and losses from transactions denominated in foreign currencies, interest rate swap income earned from investments and other items incurred periodically, which are not the result of the Company’s normal business operations.
(3) The Company recorded mark-to-market net losses of $4.8 million and $0.8 million for the three months ended April 30, 2026 and 2025, respectively, and mark-to-market net losses (gains) of $1.2 million and $(1.1) million for the six months ended April 30, 2026 and 2025, respectively, related to natural gas purchase contracts as a result of net settling certain natural gas purchases under previous normal purchase normal sale contract designations, which resulted in a change to mark-to-market accounting. These losses and gains are classified as Generation cost of sales.
(4) The Company recorded a non-cash impairment expense of $42.6 million for the three and six months ended April 30, 2026 related to the Company’s decision to upgrade the equipment at the Groton Project to utilize three of the Company’s standard 2.5 MW FCE Blocks.
FuelCell Energy (FCEL - Free Report) came out with a quarterly loss of $0.53 per share versus the Zacks Consensus Estimate of a loss of $0.44. This compares to a loss of $1.79 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of -20.46%. A quarter ago, it was expected that this fuel cell power plant maker would post a loss of $0.68 per share when it actually produced a loss of $0.52, delivering a surprise of +23.53%.
Over the last four quarters, the company has surpassed consensus EPS estimates three times.
FuelCell Energy, which belongs to the Zacks Alternative Energy - Other industry, posted revenues of $35.59 million for the quarter ended April 2026, missing the Zacks Consensus Estimate by 13.43%. This compares to year-ago revenues of $37.41 million. The company has topped consensus revenue estimates two times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
FuelCell Energy shares have added about 137.1% since the beginning of the year versus the S&P 500's gain of 7.9%.
What's Next for FuelCell Energy?While FuelCell Energy has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for FuelCell Energy was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is -$0.49 on $41.14 million in revenues for the coming quarter and -$1.92 on $159.64 million in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Alternative Energy - Other is currently in the top 41% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
MarketBeat Week in Review – 03/09 - 03/13FuelCell Energy NASDAQ: FCEL reported a wider second-quarter loss for fiscal 2026 as a non-cash impairment tied to its Groton Navy project weighed on results, while management emphasized a sharply expanding sales pipeline tied largely to data center and artificial intelligence-related power demand.
President and Chief Executive Officer Jason Few said demand for distributed baseload power is increasing as AI, digital infrastructure and high-density computing strain traditional grid timelines. He said customers are looking for power that can be deployed without waiting years for grid interconnection, positioning the company’s fuel cell systems as a behind-the-meter solution.
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FuelCell Energy Is Burning Cash Faster Than It’s Building Momentum“Customers require proven, scalable power that can be deployed without waiting years, and that is where FuelCell Energy is differentiated,” Few said.
Revenue slips, loss widens on Groton impairment Chief Financial Officer Michael Bishop said total revenue for the quarter ended April 30, 2026, was $35.6 million, down about 5% from $37.4 million in the prior-year period. The decrease was primarily due to lower service revenue, as there were no module exchanges in the quarter, and lower generation revenue resulting from reduced output while the Groton project was undergoing repairs.
From Lagging to Leading: FuelCell Energy’s Strategic PivotThose declines were partially offset by higher product revenue from scheduled module deliveries to Gungui Green Energy Company Limited in South Korea, as well as an increase in advanced technology revenue. Bishop said the company expects the remaining six Gungui Green Energy modules and upcoming CGN-Yulchon Generation deliveries to support product revenue in the second half of fiscal 2026.
FuelCell Energy reported a loss from operations of $77.9 million, compared with a loss from operations of $35.8 million in the same quarter last year. Net loss was $77.6 million, versus a net loss of $37.7 million a year earlier. Net loss attributable to common stockholders was $78.7 million, or $1.45 per share, compared with $38.8 million, or $1.79 per share, in the prior-year period.
The wider operating loss was largely due to a $42.6 million non-cash impairment charge related to the Groton project. Bishop said FuelCell Energy expects to upgrade the 7.4-megawatt Groton Navy project using three of its current-generation 2.5-megawatt power blocks, with the goal of improving reliability for the Navy base customer.
On a non-GAAP basis, adjusted EBITDA was negative $17.1 million, improving from negative $19.3 million in the second quarter of fiscal 2025. Bishop said the 12% year-over-year improvement reflected progress on cost reduction and operating efficiency.
Data center pipeline grows to 4 gigawatts Few said FuelCell Energy’s submitted proposal pipeline has expanded to 4 gigawatts, up more than 250% from the first quarter. He said potential data center customers represent about 89% of the pipeline, which also includes distributed generation, utility and industrial opportunities in domestic and international markets.
The average proposal size grew from 65 megawatts to 130 megawatts during the quarter. Few said the larger transaction sizes reflect the scale at which data center customers and hyperscalers are engaging, while also extending diligence timelines.
“As transaction size increases, diligence expands proportionally,” Few said. “Extended timelines are often a function of scale.”
The company introduced a 12.5-megawatt “FuelCell Energy Block” product during the quarter. Few described it as a standardized, modular product designed for AI infrastructure and other grid-constrained markets. He said the product is based on the same architecture and stack as the company’s smaller energy blocks and is intended to help customers add capacity in phases rather than overbuild upfront.
During the question-and-answer session, Few said customers are responding to the company’s utility-scale operating history, time-to-power advantages, permitting profile and native DC power output. He also said the 12.5-megawatt product is helping conversations with data center customers by offering modular scaling and improved economics through shared balance-of-plant infrastructure.
Manufacturing expansion raised to 500 megawatts FuelCell Energy is increasing its planned manufacturing capacity expansion at its Torrington, Connecticut, facility from 350 megawatts to 500 megawatts of annual fuel cell production capacity. Few said the decision reflects customer engagement and market conditions, but added that the company intends to expand in line with contracted backlog, market demand and structured capital support.
The company estimated the full Torrington expansion will cost between $200 million and $275 million. In response to an analyst question, Few said the increase will occur incrementally rather than as a single step from 100 megawatts to 500 megawatts. He cited investments such as a high-volume tape caster and additional conditioning capacity as examples of equipment that will unlock capacity over time.
Bishop reiterated that the company’s adjusted EBITDA-positive target remains tied to reaching consistent annualized production volumes at or above 100 megawatts. He said the higher capacity plan does not change that target.
Backlog declines, balance sheet strengthened FuelCell Energy ended the quarter with backlog of $1.14 billion, down from $1.26 billion a year earlier. Bishop said the decline was primarily due to revenue recognized on long-term contracts, partially offset by new orders.
Product backlog: $36.1 million, mainly reflecting remaining repowering module deliveries in South Korea expected in the second half of the fiscal year. Service backlog: $155.4 million from long-term service agreements on customer-owned power plants. Generation backlog: $928.5 million from company-owned projects under long-term power purchase agreements, with a weighted average remaining contract term of about 15 years. Advanced technology backlog: $15.4 million, mostly tied to joint development work with ExxonMobil Technology and Engineering Company. The company ended the quarter with $440.9 million in total cash, cash equivalents and restricted cash, including $373.2 million of unrestricted cash and $67.7 million of restricted cash. During the quarter, FuelCell Energy sold approximately 10.9 million shares through its at-the-market equity program at an average price of $9.45 per share, raising net proceeds of $100.4 million. After quarter-end, it sold an additional 4.1 million shares at an average price of $13.31 per share, raising $52.9 million in net proceeds.
Bishop said the company remains “essentially debt-free” apart from long-term financings on specific project assets and service agreements, with no near-term debt maturities. Asked whether investors should rule out additional capital raises, Bishop said management is comfortable with current liquidity but continues to evaluate multiple ways to finance growth, including project financing, service agreement financing and periodic use of equity markets.
Partnerships and carbon capture progress Few said FuelCell Energy’s partnerships in South Korea and with ExxonMobil’s Low Carbon Solutions business remain important parts of its strategy. He said module deliveries to Gungui Green Energy are ongoing and that the company continues to make progress under its memorandum of understanding with Inuverse for the AI Daegu Data Center.
Few also said two carbon capture units are en route to ExxonMobil’s Rotterdam facility and are expected to be delivered in June. He said the shipments are intended to establish “physical proof points” needed to commercialize the technology for point-source emissions reduction.
In closing remarks, Few said the second quarter reflected progress in commercial momentum, cost reductions, manufacturing scale-up and carbon capture development. He said the company remains focused on converting its pipeline into contracted backlog and scaling production capacity in a disciplined manner.
About FuelCell Energy NASDAQ: FCELFuelCell Energy, Inc NASDAQ: FCEL is a publicly traded company that designs, manufactures and operates turnkey molten carbonate fuel cell power plants. These stationary, on-site energy solutions generate electricity and heat through an electrochemical process that combines natural gas or biogas with oxygen, producing power with lower greenhouse gas emissions than traditional fossil fuel-based generation. The company’s fuel cell technology is engineered for continuous, baseload operation and can be integrated into microgrid architectures and industrial power systems to provide reliable, around-the-clock energy.
The company’s core product suite, marketed under the SureSource brand, encompasses both power generation and integrated carbon capture or hydrogen production capabilities.
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Key Takeaways FCEL said its submitted proposal pipeline hit 4GW, with data centers making up about 89%.FuelCell Energy raised Torrington expansion to 500MW; project cost seen at $200M-$275M over 24 months.FCEL launched a modular 12.5MW Block for faster data-center deployment; Q2 revenues fell 5% to $35.6M. FuelCell Energy, Inc. (FCEL - Free Report) used its second-quarter fiscal 2026 earnings call to press a forward-looking case around AI infrastructure demand, even as the quarter itself came with another revenue miss and a much wider operating loss.
Management’s message centered less on the reported numbers and more on a rapidly expanding data center pipeline, a larger manufacturing buildout and confidence that commercial discussions can turn into backlog within the fiscal year.
FCEL Leans Into AI Power DemandChief executive officer Jason Few said demand for distributed baseload power is accelerating as AI and high-density computing strain grid capacity. He positioned FuelCell Energy’s fuel cell platform as a behind-the-meter option that can bypass long interconnection timelines.
Jason Few said the company’s submitted proposal pipeline expanded to 4 gigawatts in the quarter, up more than 250% sequentially, with potential data center customers representing about 89% of that pipeline. Average proposal size doubled to 130 megawatts from 65 megawatts.
That framing mattered because management made clear the story is now about scale. Jason Few said larger opportunities naturally bring longer diligence cycles, but the company is aiming to convert proposals into contracted backlog during fiscal 2026.
FuelCell Energy Expands Manufacturing PlansFCEL also raised the scope of its Torrington, CT, manufacturing expansion. Jason Few said the company now plans to lift annual capacity to 500 megawatts from the previously discussed 350 megawatts.
The press release said the project is expected to cost $200-$275 million and unfold over the next 24 months. As of May 31, the company had started installing a new high-volume tape caster and commissioned a new conditioning room.
Management stressed discipline around that buildout. According to Jason Few, capacity additions would be aligned with contracted backlog, market demand and structured capital support rather than built ahead of the market.
FCEL Introduces a New 12.5 MW BlockA key commercial talking point on the call was the newly introduced 12.5 megawatt FuelCell Energy Block. Jason Few described it as a standardized, modular product designed for faster deployment into grid-constrained data center markets.
He said the product is meant to let customers add power in phases instead of overbuilding upfront. In management’s view, that modularity, along with native DC output and thermal integration, should resonate with hyperscalers and other AI infrastructure buyers.
During Q&A, Few told B. Riley that the 12.5 MW block has strengthened customer conversations by improving time to power and economics while preserving the ability to scale with demand.
FuelCell Energy’s Quarter Still Showed PressureThe strategic narrative came against a soft quarter. Revenues fell 5% year over year to $35.59 million, missing the Zacks Consensus Estimate of $41 million by 13.43%. Adjusted net loss per share of 53 cents was wider than the Zacks Consensus Estimate of 44 cents by 20.46%.
Chief financial officer Michael Bishop said the revenue decline reflected lower service revenues, no module exchanges in the quarter and weaker generation revenues tied largely to repair work at the Groton project. Higher product revenues from Korea partly offset those pressures.
Loss from operations widened to $77.9 million from $35.8 million, driven largely by a non-cash $42.6 million impairment charge tied to the Groton upgrade. Even so, Bishop pointed to adjusted EBITDA of negative $17.1 million, which improved from negative $19.3 million a year ago, as evidence of lower core cash operating costs.
FCEL Defends Liquidity and Profitability PathBishop said FuelCell Energy ended the quarter with $440.9 million in total cash, cash equivalents and restricted cash, including $373.2 million of unrestricted cash.
He also disclosed that the company sold 10.9 million shares during the quarter for net proceeds of $100.4 million, then raised another $52.9 million after quarter-end through additional share sales.
In Q&A, a JPMorgan analyst asked whether the higher capacity target changed the path to profitability. Bishop said it did not, reiterating that FCEL still targets adjusted EBITDA positivity once it reaches annualized production volumes at or above 100 megawatts.
FuelCell Energy Leaves a Focused MessageThe broader tone from management was assertive on commercial opportunity and measured on execution. Jason Few repeatedly emphasized proof over promise, pointing to utility-scale operating history, a growing data center sales funnel, and ongoing work with ExxonMobil and South Korean partners.
Analyst questions showed where investors remain focused: conversion of pipeline into signed deals, pacing of the 500 MW ramp, and whether liquidity reduces the need for more capital. Management answered with confidence on balance sheet flexibility and acknowledged that larger infrastructure deals take longer to close.
Zacks Signals Remain MixedFCEL carries a Zacks Rank #3 (Hold) at present, alongside a Value Score of F, Growth Score of B, Momentum Score of C, and VGM Score of D. A Zacks Rank #3 can support a hold stance, but a stronger Style Score generally points to better near-term performance characteristics than weaker ones. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
That mix suggests the stock has some support from growth characteristics, but weaker value and blended style signals temper the setup. The Zacks Rank is also tied closely to earnings estimate revisions, so it can change after analysts update their models following the just-reported quarter.
FuelCell Energy shares are consolidating. Where are FCEL shares going? What Is FuelCell Energy’s Latest Catalyst?FuelCell Energy late Monday said data centers represent nearly 90% of its pipeline after reporting fiscal second-quarter results that missed expectations, with an adjusted loss of 53 cents per share on revenue of $35.589 million. The company also said its second-quarter sales pipeline reached 4 gigawatts, up 267% from the first quarter, and it introduced a standardized 12.5 MW "Energy Block" aimed at faster time-to-power for AI and data center projects.
FuelCell Energy's quarter also included a $42.6 million noncash impairment tied to Groton Project equipment upgrades, contributing to a wider gross loss of $12.9 million. Service revenue fell to $4.2 million from $8.1 million and generation revenue decreased to $8.7 million from $12.1 million as repairs weighed on output.
With the market in premarket trading, FCEL's move higher suggests traders are weighing the data-center narrative against the near-term execution issues highlighted by the miss.
FCEL Stock: Critical Moving Averages To WatchFrom a trend perspective, FCEL is still in a longer-term uptrend (up 107.50% over the past 12 months) and remains well above its 50-day, 100-day, and 200-day moving averages, but it's trading 16.4% below its 20-day SMA ($20.94), which points to a cooling phase after the recent run. The 20-day SMA remains above the 50-day SMA ($13.98), and the 50-day SMA is above the 200-day SMA ($9.22), keeping the broader moving-average structure bullish.
Momentum is the near-term question: MACD is below its signal line and the histogram is negative, which typically means upside pressure is fading unless buyers can reassert control. In plain English, MACD compares faster and slower trend signals, and being below the signal line often shows the recent push higher is losing steam.
Key Resistance: $20.94 — the 20-day SMA is the nearest overhead trend level after the pullback Key Support: $13.98 — the 50-day SMA is a key trend "line in the sand" after the stock's sharp 12-month run What Is FuelCell Energy’s Business Model?FuelCell Energy Inc is a clean energy technology company that develops, designs, produces and services high-temperature fuel cells used for clean electric power generation. Its molten carbonate fuel cell systems generate electricity electrochemically with ultra low emissions and high efficiency, and the company often acts as a full solutions provider across design, manufacturing, installation, and long-term maintenance.
That business model matters for the current setup because management is leaning into data centers and AI-related demand for reliable, on-site power in grid-constrained markets, including a standardized 12.5 MW block product. The company operates across the U.S., South Korea, Europe and Canada, with the U.S. as its largest revenue source, so execution on large projects and service/generation uptime can heavily influence quarterly results.
FCEL Stock Price ActionFCEL Stock Price Activity: FuelCell Energy shares were trading higher by 21.81% at $18.88 at the time of publication on Tuesday, according to Benzinga Pro data.
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FuelCell Energy Inc (NASDAQ:FCEL) on Monday reported worse-than-expected second-quarter financial results.
FuelCell Energy reported quarterly losses of 53 cents per share which missed the analyst consensus estimate of losses of 52 cents per share. The company reported quarterly sales of $35.589 million which missed the analyst consensus estimate of $40.496 million.
FuelCell Energy shares gained 20.6% to $18.68 on Tuesday.
These analysts made changes to their price targets on FuelCell Energy following earnings announcement.
Canaccord Genuity analyst George Gianarikas upgraded FuelCell Energy from Hold to Buy and raised the price target from $12 to $30. TD Cowen analyst Jeff Osborne maintained the stock with a Hold and raised the price target from $9 to $16. Considering buying FCEL stock? Here’s what analysts think:
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An aggressive analyst upgrade just sent shares of FuelCell Energy NASDAQ: FCEL climbing over 12%, signaling a powerful shift in how the market values this clean energy innovator. This appears to be more than just another volatile move; it was a fundamental repricing.
FuelCell Energy Today
$16.94 -0.75 (-4.24%)
As of 04:00 PM Eastern
52-Week Range$3.78▼
$27.69Price Target$14.71
The catalyst was a clear signal from Canaccord Genuity that FuelCell Energy is evolving from a speculative green energy play into an essential, utility-grade infrastructure provider for the AI super-cycle. The rally reflects a growing realization that, as AI data centers push the national power grid to its breaking point, localized, reliable energy solutions are no longer a luxury; they are a necessity.
Get FuelCell Energy alerts:
For investors who have been watching from the sidelines, this price action serves as a critical alert. The market is beginning to connect the dots between the explosive growth in AI and the foundational need for the exact power solutions that FuelCell Energy provides.
The Upgrade Is the Spark, The Pipeline Is the FuelThe immediate catalyst for the breakout was a decisive upgrade from Canaccord Genuity, which shifted its rating on FuelCell Energy from Hold to Buy and set an ambitious $30 price target. This valuation is based on forward-looking analysis of a massive, unfolding opportunity. The firm's conviction is rooted in intelligence suggesting a transformative data center deal is on the horizon, positioning FuelCell Energy to follow the highly successful commercial roadmap laid out by its peer, Bloom Energy NYSE: BE.
While a glance at the fiscal Q2 2026 earnings report shows a revenue dip and an operating loss, investors are now looking past these lagging indicators. The truly significant number in the report was the 267% sequential growth in FuelCell Energy's sales pipeline, which has now ballooned to 4 gigawatts (GW).
This isn't speculative; it's a direct reflection of inbound demand. Crucially, management confirmed that 89% of this pipeline consists of potential AI data center clients, validating the thesis that hyperscalers are actively seeking out FuelCell Energy's solutions. The past quarter's financials represent the cost of positioning for this tidal wave of demand, and the pipeline represents the future revenue.
Building the Power Plant of the Future, TodayTo meet this torrent of interest, FuelCell Energy is making a smart, strategic pivot. The business is moving from customized projects to standardized, 12.5-megawatt (MW) utility-grade power blocks designed for rapid deployment. To ensure it can deliver, FuelCell Energy announced a capital expenditure plan of $200 million to $275 million to expand its Torrington, Connecticut, manufacturing facility.
Investors should not see this as a risky expenditure, but as a necessary investment to capture a once-in-a-generation market opportunity. Building out capacity ahead of contract signings is a sign of management's conviction in the pipeline's quality.
They are building the factory because they have the orders lined up at the door. The comparison to Bloom Energy is not a stretch; it's a playbook. Bloom Energy has already proven the model, and FuelCell Energy is now positioned at an earlier, potentially higher-upside stage of the same growth trajectory. It's about securing the manufacturing capacity to become a key supplier in the AI arms race.
From Bearish Bets to Bullish ConvictionWhile the upgrade certainly forced some bearish investors to reconsider their positions, it would be a mistake to dismiss the 22% rally as a technical event. The surge represents a genuine and durable shift in market sentiment. For years, the narrative around FuelCell Energy has been defined by its potential in a theoretical green future. Now, that future has arrived in the form of the AI revolution, which has an immediate and insatiable appetite for power.
The market is waking up to the fact that FuelCell Energy's technology, which provides continuous, baseload power directly at the point of use, is a perfect solution to the challenges data centers face. This rally wasn't just about covering shorts; it was about long-term investors recognizing that the entire thesis for owning FuelCell Energy has fundamentally changed for the better. The business is now aligned with one of the most powerful secular growth trends of the next decade.
A New Era of Growth Is Powering UpThe recent 12% surge in FuelCell Energy's stock price is more than just a fleeting rally; it's a signal that the market is beginning to correctly price the business as a critical infrastructure provider for the AI era. The Canaccord upgrade and the enormous growth in the data center pipeline provide tangible evidence that the long-promised potential of fuel cell technology is finally meeting a massive, real-world demand.
FuelCell Energy, Inc. (FCEL) Price Chart for Friday, June, 12, 2026
While past financial results reflect the cost of innovation, the forward-looking metrics point toward a significant inflection in revenue and growth. Investors looking for a pure-play on the AI power bottleneck may see the current momentum as the beginning of a much larger, fundamentally-driven move.
Should You Invest $1,000 in FuelCell Energy Right Now?Before you consider FuelCell Energy, you'll want to hear this.
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Key Takeaways FuelCell Energy's Q2 adjusted loss was 58 cents/share on $35.6M revenue, missing consensus on both.FCEL cited no module exchanges hurting service sales, while Groton repairs cut generation output.FuelCell Energy's pipeline hit 4 GW, with data centers ~89%, as cash rose to $440.9M after equity sales. FuelCell Energy (FCEL - Free Report) posted a second-quarter fiscal 2026 adjusted loss of 58 cents per share, wider than the Zacks Consensus Estimate of a 54-cent loss. The underperformance was tied largely to softer service and generation activity. Management attributed the service decline to the absence of module exchanges during the quarter, while generation revenue reflected lower operating output as the Groton project underwent repairs.
However, the bottom line improved from the year-ago adjusted loss of $1.79 on the back of cost reduction and operating efficiency.
Quarterly revenues came in at $35.6 million, below the Zacks Consensus Estimate of $41 million and the year-ago sales of $37.4 million. Even so, contracted backlog remained sizable at more than $1.1 billion as of April 30, 2026.
FuelCell Energy generated $18 million of product revenues in the quarter, supported by scheduled module deliveries to Gyeonggi Green Energy in South Korea. Service revenues were $4.2 million, while generation revenues were $8.7 million and advanced technologies revenues were $4.7 million.
FuelCell Energy Leans Into Data Centers as Pipeline Jumps
FCEL emphasized accelerating demand for behind-the-meter baseload power tied to AI and high-density data center buildouts. During the quarter, the company highlighted a 4-gigawatt proposal pipeline, with data centers accounting for roughly 89% of the total.
Management also pointed to a larger deal profile, with average proposal size rising to 130 megawatts as of May 1, 2026. The company believes its standardized 12.5-megawatt “FuelCell Energy Block” is designed to reduce repeat engineering and permitting work and support faster multi-megawatt deployments.
FCEL Takes a Large Hit From Groton-Related Charges
Profitability was weighed down by a significant non-cash impairment tied to the Groton project. The company recorded a $42.6 million impairment expense related to its decision to upgrade equipment at the 7.4-megawatt Groton Navy project to utilize three standard 2.5-megawatt blocks.
As a result, operating expenses rose to about $65 million in the quarter, and loss from operations widened to $77.9 million. While the impairment drove most of the year-over-year increase, management framed the upgrade as a reliability-focused decision tied to supporting a critical U.S. government asset.
FuelCell Energy’s Cash Position Strengthens After Equity Sales
FuelCell Energy ended the quarter with $440.9 million in total cash, cash equivalents and restricted cash, including $373.2 million of unrestricted cash and $67.7 million of restricted cash.
The balance sheet benefited from equity issuance under the company’s at-the-market program. During the quarter, FCEL sold about 10.9 million shares at an average price of $9.45 per share for net proceeds of roughly $100.4 million, and it completed additional sales after quarter-end at a higher average price.
FCEL Scales Torrington Toward 500 MW of Annual Capacity
FCEL is moving forward with manufacturing expansion at its Torrington, CT facility, initiating work to support an annualized production rate of up to 500 megawatts. The company reiterated an estimated total expansion cost of $200-$275 million, with execution expected over the next 24 months.
For fiscal 2026 specifically, management maintained its $20-$30 million capital spending plan tied to the ramp, while noting that capacity will be expanded in alignment with demand and structured capital support. Separately, the company reiterated a key profitability marker, targeting adjusted EBITDA positivity once it reaches consistent production volumes at or above a 100-megawatt annualized run rate.
Zacks Rank & Stocks to Consider
FuelCell Energy carries a Zacks Rank #3 (Hold) at present. Meanwhile, investors interested in the Oil/Energyspace might look at operators such as Marathon Petroleum (MPC - Free Report) , Nabors Industries (NBR - Free Report) and Patterson-UTI Energy (PTEN - Free Report) . Marathon Petroleum is a Zacks Rank #1 (Strong Buy) stock, while Nabors Industries and Patterson-UTI Energy hold a Zacks Rank #2 (Buy) each.
You can see the complete list of today’s Zacks #1 Rank stocks here.
Marathon Petroleum: Marathon Petroleum is a major U.S. energy company focused on refining, marketing, midstream services and renewable diesel. Its integrated network spans the Gulf Coast, Mid-Continent and West Coast, supported by strong logistics and access to key crude and product markets. MPC beat the Zacks Consensus Estimate for earnings in three of the last four quarters and missed in the other, with the average being 49.5%. Over the past 60 days, the Zacks Consensus Estimate for the company’s 2026 earnings has gone up almost 40%.
Nabors Industries: Nabors Industries is a global drilling and drilling-technology company serving oil and gas customers in major energy markets. It operates land and offshore rigs across the United States, Saudi Arabia and Latin America, supported by about 14,000 employees from more than 85 nationalities. Nabors has a market capitalization of $1.5 billion. The Zacks Consensus Estimate for 2026 earnings for the firm indicates 71.2% growth.
Patterson-UTI Energy: Patterson-UTI is an integrated oilfield services company focused on drilling, completion and drilling products markets. The company operates 137 Tier-1 super-spec rigs and 2.7 million hydraulic horsepower of completion capacity. PTEN has a market capitalization of $4.5 billion. Over the past 60 days, the Zacks Consensus Estimate for Patterson-UTI’s 2026 earnings has moved up 53.1%.
Key Takeaways NuScale is targeting behind-the-meter power for data centers, manufacturers and hydrogen producers.Behind-the-meter generation can cut grid disruption risks and support critical operations.NuScale sees SMR technology serving customers that need scalable, carbon-free, around-the-clock power. NuScale Power Corporation’s (SMR - Free Report) behind-the-meter power initiative addresses a growing problem for energy-intensive industries: the grid is becoming too slow, stretched and unpredictable to support their expansion plans. Behind-the-meter generation means producing electricity at or near the customer’s own facility, rather than relying fully on public transmission networks. For data centers, manufacturers and hydrogen producers, this model is gaining importance because it offers direct access to power where it is needed most. It also gives large users more say over how, when and from where their electricity is supplied.
The value of behind-the-meter power goes beyond cleaner energy. It allows large users to control their electricity supply more directly while improving reliability and reducing exposure to grid-related disruptions. Traditional grid connections can take years because of transmission upgrades and interconnection delays. At the same time, extreme weather, rising AI-related demand and peak-load volatility are weakening confidence in grid reliability. By placing generation closer to the load, companies can reduce exposure to these risks and keep critical operations running with fewer external dependencies. This is especially valuable for facilities where even brief interruptions can cause major financial or operational damage.
This is where small modular reactors (SMRs) could play an important role. NuScale is positioning its SMR technology as a reliable source of around-the-clock, carbon-free electricity for behind-the-meter customers that cannot afford power interruptions.Through its relationship with ENTRA1 Energy, NuScale is targeting data centers, industrial facilities and other mission-critical operations that need dedicated and scalable power solutions. As concerns about grid reliability continue to grow, behind-the-meter generation is becoming less about energy choice and more about ensuring dependable access to power. For NuScale, the opportunity is not just supplying electricity but helping customers secure the power they need to support future growth.
NuScale is not the only company looking to benefit from the rising demand for dedicated onsite power. Other clean-energy technology providers are also targeting customers in need of reliable electricity closer to their operations.
Behind-the-Meter Opportunity Extends Beyond SMRs
Bloom Energy (BE - Free Report) is expanding its behind-the-meter role by supplying fuel cell systems that generate power directly at customer sites. Bloom Energy helps data centers and industrial users reduce dependence on crowded grids by giving them reliable onsite electricity. Bloom Energy’s systems can run continuously and scale with demand, making them useful for AI data centers that need fast, dependable power without waiting years for new grid connections or upgrades.
FuelCell Energy (FCEL - Free Report) is positioning its behind-the-meter strategy around fuel cell power platforms that can be installed near large electricity users. FuelCell Energy is targeting data centers with packaged power blocks designed to provide steady, onsite electricity where grid capacity is limited. FuelCell Energy’s approach gives customers more control over power supply, while supporting lower-carbon operations. For facilities facing interconnection delays, FuelCell Energy offers a way to add dedicated power close to the load.
The Zacks Rundown on NuScale Power
Shares of SMR have lost 45% over the past six months.
Image Source: Zacks Investment Research
NuScale Power currently has an average brokerage recommendation of 2.56 on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 18 brokerage firms.
Image Source: Zacks Investment Research
See how the Zacks Consensus Estimate for SMR’s earnings has been revised over the past 90 days.
Image Source: Zacks Investment Research
The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
FuelCell Energy stock is under selling pressure. Why is FCEL stock trading lower? What Is FuelCell Energy’s Growth Narrative?FuelCell Energy has been trying to sell investors on a data-center-driven growth narrative. Data centers are nearly 90% of its sales pipeline, but the market continues to weigh that upside against recent execution issues.
The company also pointed to a 4-gigawatt second-quarter pipeline that jumped 267% from the first quarter and a standardized 12.5-megawatt "Energy Block" product aimed at faster time-to-power for AI and data center projects.
Critical Price Levels To Watch For FCELThe longer-term trend is still constructive—FCEL is up 171.36% over the past 12 months—and the stock remains above its 50-day SMA ($14.62), 100-day SMA ($11.16), and 200-day SMA ($9.42). But the near-term posture has cooled, with shares trading 18.3% below the 20-day SMA ($20.86), which often acts like "gravity" after sharp runs.
RSI is the cleaner momentum read right now: at 48.64, it's neutral, suggesting the recent pullback has reset conditions rather than flashing an oversold washout. (RSI measures how stretched a move is; readings near the middle typically line up with consolidation and two-sided trading.) MACD being below its signal line adds a quick caution flag that upside pressure has been fading during this pullback.
Key Resistance: $20.94 — aligns with the 20-day SMA zone as the nearest overhead trend level Key Support: $13.98 — lines up with the 50-day SMA area as a key "line in the sand" for the intermediate uptrend What Is FuelCell Energy’s Business Model?FuelCell Energy is a clean energy technology company that develops, designs, produces, and services high-temperature fuel cells for clean electric power generation. It sells proprietary molten carbonate fuel cell systems that generate electricity electrochemically with ultra-low emissions and high efficiency, and it often acts as a full solutions provider across design, manufacturing, installation, and long-term maintenance.
That "project + service" model is why the data center angle matters so much: large AI/data center builds need reliable power, but timing, uptime, and project execution can swing results. The company operates in the United States, South Korea, Europe and Canada, with the U.S. as its largest revenue source, so big deployments (and any hiccups tied to them) can quickly show up in quarterly prints.
FCEL Analyst Ratings For June 2026Analyst Consensus & Recent Actions: The stock carries a Hold rating with an average price target of $16.20. Recent analyst moves include:
Jefferies: Hold (Raises Target to $16.00) (June 10) B. Riley Securities: Neutral (Raises Target to $13.00) (June 9) TD Cowen: Hold (Raises Target to $16.00) (June 9) FCEL Stock Price Activity on FridayFCEL Stock Price Activity: FuelCell Energy shares were down 3.62% at $17.05 at the time of publication on Friday, according to Benzinga Pro data.
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NEW YORK--(BUSINESS WIRE)--Rithm Capital Corp. (NYSE: RITM; “Rithm Capital,” “Rithm” or the “Company”) today reported the following information for the first quarter ended March 31, 2026.
“Despite a challenging and volatile market environment, Rithm delivered strong Q1 results, with Newrez generating a 19% annualized operating ROE(3), Genesis posting 80% year-over-year origination growth, and our asset management platform growing to approximately $60 billion in AUM,” said Michael Nierenberg, CEO of Rithm Capital. “Our diversified owner-operator model is built to perform through disruption, and we are confident the current conditions create compelling opportunities to drive long-term value for our shareholders.”
Financial Highlights:
GAAP net income of $67.8 million, or $0.12 per diluted common share(1) Earnings available for distribution of $289.6 million, or $0.51 per diluted common share(1)(2) Common dividend of $139.6 million, or $0.25 per common share Book value per common share of $12.51(1) Q1 2026
Q4 2025
Summary Operating Results:
GAAP Net Income per Diluted Common Share(1)
$
0.12
$
0.09
GAAP Net Income (in millions)
$
67.8
$
53.1
Non-GAAP Results:
Earnings Available for Distribution per Diluted Common Share(1)(2)
$
0.51
$
0.74
Earnings Available for Distribution(2) (in millions)
$
289.6
$
418.9
Common Dividend:
Common Dividend per Share
$
0.25
$
0.25
Common Dividend (in millions)
$
139.6
$
139.0
Business Highlights:
Origination & Servicing: Newrez LLC (“Newrez”), Rithm Capital’s multichannel mortgage origination and servicing platform, posted pre-tax operating income of $273.7 million in Q1’26, excluding mortgage servicing rights (“MSRs”) mark-to-market (“MTM”) loss, net of hedges, and other non-operating items of $(23.1) million, up from $249.1 million in Q4’25, excluding MSRs MTM loss, net of hedges, and other non-operating items of $(216.5) million. Newrez generated a 19% annualized operating return on equity (“ROE”)(3) on $5.7 billion of segment equity in Q1’26. Total servicing unpaid principal balance (“UPB”) reached $850 billion at the end of Q1’26, which includes $257 billion UPB of third-party servicing. Origination funded production volume was $15.5 billion in Q1’26, a decrease of 18% quarter over quarter (“QoQ”) and an increase of 31% year over year (“YoY”). Investment Portfolio: Rithm Capital completed four non-qualified mortgage securitizations in Q1’26 totaling $2.0 billion in UPB. Acquired $140 million in home improvement loans in Q1’26 under the previously announced forward flow agreement with Upgrade, Inc., bringing the total purchased to date through quarter-end to $667 million. Residential Transitional Lending: Rithm Capital’s residential transitional lending platform, Genesis Capital LLC (“Genesis Capital”), recorded Q1’26 origination volume of $1.6 billion, a YoY increase of 80%, continuing a series of record volume quarters. Genesis Capital continued to expand its sponsor base, growing new sponsors funded by 118 in Q1’26, a 258% increase YoY. Total sponsors funded for the first quarter of 2026 also expanded to 266, achieving 40% YoY growth. Asset Management: Rithm Asset Management, Rithm Capital’s alternative asset management platform, which primarily includes Sculptor Capital Management Inc. (“Sculptor Capital”) and Crestline Management, L.P. (“Crestline”), had approximately $59 billion of assets under management (“AUM”)(4) as of March 31, 2026, up from $35 billion at quarter end Q1’25, driven by the acquisition of Crestline and additional fund raising activity throughout the year. In Q1’26, Sculptor Capital committed over $1 billion to investments in its latest Real Estate Fund V, representing approximately 20% of capital raised since its inception, and it deployed over $2 billion in capital into corporate credit and asset-based finance investments. Sculptor Capital also continued its active presence in the collateralized loan obligation (“CLO”) markets with a new U.S. CLO for approximately $400 million of AUM in the first quarter of 2026. Crestline raised $100 million in net inflows in Q1’26 for its private perpetual business development company, Crestline Lending Solutions Fund, from institutional investors, bringing total commitments to over $500 million. Commercial Real Estate: Rebranded the Company’s commercial real estate platform Paramount Group to Elecor Properties (“Elecor”) to align the corporate brand with the vision to elevate the portfolio, properties and tenant experience. Elecor, Rithm Capital’s recently acquired owner and operator of Class A office properties in New York and San Francisco, witnessed continued leasing momentum with New York City lease occupancy increasing by 4.7% YoY, and with over 350k square feet of new lease activity, 74% of which is in the San Francisco portfolio. Refinanced 1325 Avenue of the Americas through a single-asset, single borrower commercial mortgage-backed securities financing. (1)
Per diluted common share calculations for both GAAP Net Income and Earnings Available for Distribution are based on 565,927,074 and 564,691,202 weighted average diluted shares for the quarters ended March 31, 2026 and December 31, 2025, respectively. The per share calculation of Book Value is based on 557,902,002 common shares outstanding as of March 31, 2026.
(2)
Earnings Available for Distribution is a non-GAAP financial measure. For a reconciliation of Earnings Available for Distribution to GAAP Net Income, as well as an explanation of this measure, please refer to the section entitled Non-GAAP Financial Measures and Reconciliation to GAAP Net Income below.
(3)
Q1’26 annualized operating ROE is a non-GAAP measure. Q1’26 annualized operating ROE is calculated based on annualized pre-tax operating income of $273.7 million, excluding MSRs MTM loss, net of hedges, and other non-operating items of $(23.1) million, divided by the average Origination and Servicing segment ending equity of $5.7 billion.
(4)
AUM is estimated and refers to the value of assets for which Rithm Capital and its affiliates provide discretionary investment management or advisory services. AUM is generally calculated as the sum of: (i) the net asset value of managed accounts and open-ended funds or gross asset value of real estate and real estate funds, (ii) uncalled capital commitments and (iii) par value of structured credit vehicles (e.g., collateralized loan obligations). AUM includes amounts that are not subject to management fees, incentive income or other amounts earned on AUM. AUM also includes amounts that are invested in other affiliated funds/vehicles. Rithm Capital's calculation of AUM is intended to provide a consistent and comparable measure of managed assets across its businesses; however it is not based on any specific regulatory definition and may differ from similarly titled measures presented by other asset managers and, as a result, may not be comparable.
ADDITIONAL INFORMATION
For additional information that management believes to be useful for investors, please refer to the latest presentation posted on the Investors - News section of the Company’s website, www.rithmcap.com. Information on, or accessible through, our website is not a part of, and is not incorporated into, this press release.
EARNINGS CONFERENCE CALL
Rithm Capital’s management will host a conference call on Tuesday, April 28, 2026 at 8:00 A.M. Eastern Time. A copy of the earnings release will be posted to the Investors - Events & Presentations section of Rithm Capital’s website, www.rithmcap.com.
The conference call may be accessed by dialing 1-833-974-2382 (from within the U.S.) or 1-412-317-5787 (from outside of the U.S.) ten minutes prior to the scheduled start of the call; please reference “Rithm Capital First Quarter 2026 Earnings Call.” In addition, participants are encouraged to pre-register for the conference call at https://dpregister.com/sreg/10208453/103db8ca815.
A simultaneous webcast of the conference call will be available to the public on a listen-only basis at www.rithmcap.com. Please allow extra time prior to the call to visit the website and download any necessary software required to listen to the internet broadcast.
A telephonic replay of the conference call will also be available two hours following the call’s completion through 11:59 P.M. Eastern Time on Tuesday, May 5, 2026, by dialing 1-855-669-9658 (from within the U.S.) or 1-412-317-0088 (from outside of the U.S.); please reference access code “2668521”.
Rithm Capital Corp. and Subsidiaries
Consolidated Statements of Operations (Unaudited)
($ in thousands, except share and per share data)
Three Months Ended
March 31,
2026
December 31,
2025
Revenues
Servicing fee revenue, net and interest income from MSRs and MSR financing receivables
$
579,288
$
570,070
Change in fair value of MSRs and MSR financing receivables, net of economic hedges (includes realization of cash flows of $(211,456) and $(232,554), respectively)
(204,229
)
(421,815
)
Servicing revenue, net
375,059
148,255
Interest income
461,877
500,814
Gain on originated residential mortgage loans, held-for-sale, net
208,250
203,731
Asset management revenue
106,587
359,489
Rental revenue
191,691
46,202
Other revenue
36,772
32,258
1,380,236
1,290,749
Expenses
Interest expense and warehouse line fees
430,662
422,821
General, administrative and operating
336,002
261,366
Compensation and benefits
378,410
453,932
Depreciation and amortization
92,644
35,985
1,237,718
1,174,104
Other Income (Loss)
Realized and unrealized gains (losses), net
(15,154
)
50,876
Other income (loss), net
26,876
38,804
11,722
89,680
Income before Income Taxes
154,240
206,325
Income tax expense (benefit)
44,762
115,747
Net Income
109,478
90,578
Non-controlling interests in income of consolidated subsidiaries
(146
)
1,234
Redeemable non-controlling interests in income of consolidated subsidiaries
6,946
4,353
Net Income Attributable to Rithm Capital Corp.
102,678
84,991
Change in redemption value of redeemable non-controlling interests
—
—
Dividends on preferred stock
34,847
31,875
Net Income Attributable to Common Stockholders
$
67,831
$
53,116
Net Income per Share of Common Stock
Basic
$
0.12
$
0.10
Diluted
$
0.12
$
0.09
Weighted Average Number of Shares of Common Stock Outstanding
Basic
556,720,287
555,021,130
Diluted
565,927,074
564,691,202
Dividends Declared per Share of Common Stock
$
0.25
$
0.25
Rithm Capital Corp. and Subsidiaries
Consolidated Balance Sheets
($ in thousands, except share and per share data)
March 31, 2026
(Unaudited)
December 31, 2025
Assets
Mortgage servicing rights and mortgage servicing rights financing receivables, at fair value
$
10,859,933
$
10,359,141
Government and government-backed securities ($5,041,769 and $5,230,139 at fair value, respectively)
5,066,754
5,254,905
Residential mortgage loans ($5,083,003 and $5,752,169 at fair value, respectively)(A)
5,137,741
5,808,960
Consumer loans, held-for-investment, at fair value(A)
805,294
784,399
Residential transition loans, at fair value
3,197,813
2,699,864
Residential mortgage loans subject to repurchase
4,427,618
3,952,792
Real estate, net(A)
6,174,559
6,175,735
Insurance company investments, at fair value
1,021,920
906,454
Cash, cash equivalents and restricted cash(A)
2,368,374
2,656,938
Servicer advances receivable
2,865,556
3,090,613
Other assets ($3,018,569 and $2,707,456 at fair value, respectively)(A)
5,714,249
5,583,976
Assets of Consolidated Entities(A):
Investments, at fair value and other assets
5,734,733
5,789,349
Total Assets
$
53,374,544
$
53,063,126
Liabilities and Equity
Liabilities
Secured financing agreements(A)
$
13,923,496
$
13,763,802
Secured notes and bonds payable ($134,319 and $143,442 at fair value, respectively)(A)
14,827,171
15,203,770
Residential mortgage loan repurchase liability
4,427,618
3,952,792
Unsecured notes, net of issuance costs
1,424,635
1,421,088
Interest sensitive insurance contract liabilities
1,069,355
960,209
Dividends payable
179,104
178,900
Accrued expenses and other liabilities ($610,185 and $638,090 at fair value, respectively)(A)
3,085,378
3,349,643
Liabilities of Consolidated Entities(A):
Notes payable, at fair value and other liabilities
4,932,492
4,978,212
Total Liabilities
43,869,249
43,808,416
Commitments and Contingencies
Redeemable Noncontrolling Interests of Consolidated Subsidiaries
361,138
314,303
Stockholders’ Equity
Preferred stock, $0.01 par value, 100,000,000 shares authorized, 67,564,122 and 57,564,122 issued and outstanding, $1,689,104 and $1,439,104 aggregate liquidation preference, respectively
1,632,915
1,390,790
Common stock, $0.01 par value, 2,000,000,000 shares authorized, 557,902,002 and 555,880,947 issued and outstanding, respectively
5,579
5,559
Additional paid-in capital
6,998,267
6,982,991
Accumulated deficit
(99,976
)
(19,945
)
Accumulated other comprehensive income
73,292
71,092
Stockholders’ Equity in Rithm Capital Corp.
8,610,077
8,430,487
Non-controlling interests in equity of consolidated subsidiaries
534,080
509,920
Total Stockholders’ Equity
9,144,157
8,940,407
Total Liabilities and Equity
$
53,374,544
$
53,063,126
NON-GAAP FINANCIAL MEASURES AND RECONCILIATION TO GAAP NET INCOME
The Company has four primary variables that impact its performance: (i) net interest margin on assets held within the investment portfolio; (ii) realized and unrealized gains or losses on assets held within the investment portfolio and operating companies, including any impairment or reserve for expected credit losses; (iii) income from the Company’s operating company investments; and (iv) the Company’s operating expenses and taxes.
“Earnings available for distribution” is a non-GAAP financial measure of the Company’s operating performance, which is used by management to evaluate the Company’s performance, excluding: (i) net realized and unrealized gains and losses on certain assets and liabilities; (ii) net other income and losses; (iii) non-capitalized transaction-related expenses; (iv) depreciation and amortization on real estate investment properties; (v) straight-line rental income on commercial real estate properties; and (vi) deferred taxes.
The Company’s definition of earnings available for distribution excludes certain realized and unrealized losses, which although they represent a part of the Company’s recurring operations, are subject to significant variability and are generally limited to a potential indicator of future economic performance. Within net other income and losses, management primarily excludes (i) equity-based compensation expenses, (ii) non-cash deferred interest expense, (iii) amortization expense related to intangible assets and debt acquired below or above market prices and (iv) straight-line rental income on commercial real estate properties, as management does not consider this non-cash activity to be a component of earnings available for distribution. With regard to non-capitalized transaction-related expenses, management does not view these costs as part of the Company’s core operations, as they are considered by management to be similar to realized losses incurred at acquisition. Non-capitalized transaction related expenses generally relate to legal and valuation service costs, as well as other professional service fees, incurred when the Company acquires certain investments, as well as costs associated with the acquisition and integration of acquired businesses. Management also excludes deferred taxes because the Company believes deferred taxes are not representative of current operations.
Management believes that the adjustments to compute “earnings available for distribution” specified above allow investors and analysts to readily identify and track the operating performance of the assets that form the core of the Company’s activity, assist in comparing the core operating results between periods and enable investors to evaluate the Company’s current core performance using the same financial measure that management uses to operate the business. Management also utilizes earnings available for distribution as a financial measure in its decision-making process relating to improvements to the underlying fundamental operations of the Company’s investments, as well as the allocation of resources between those investments, and management also relies on earnings available for distribution as an indicator of the results of such decisions. Earnings available for distribution excludes certain recurring items, such as gains and losses (including impairment and reserves as well as derivative activities) and non-capitalized transaction-related expenses, because they are not considered by management to be part of the Company’s core operations for the reasons described herein. As such, earnings available for distribution is not intended to reflect all of the Company’s activity and should be considered as only one of the factors used by management in assessing the Company’s performance, along with GAAP net income which is inclusive of all of the Company’s activities.
The Company views earnings available for distribution as a consistent financial measure of its portfolio’s ability to generate income for distribution to common stockholders. Earnings available for distribution does not represent and should not be considered as a substitute for, or superior to, net income or as a substitute for, or superior to, cash flows from operating activities, each as determined in accordance with GAAP, and the Company’s calculation of this financial measure may not be comparable to similarly entitled financial measures reported by other companies. Furthermore, to maintain qualification as a REIT, U.S. federal income tax law generally requires that the Company distribute at least 90% of its REIT taxable income annually, determined without regard to the deduction for dividends paid and excluding net capital gains. Because the Company views earnings available for distribution as a consistent financial measure of its ability to generate income for distribution to common stockholders, earnings available for distribution is one metric, but not the exclusive metric, that the Company’s board of directors uses to determine the amount, if any, and the payment date of dividends on common stock. However, earnings available for distribution should not be considered as an indication of the Company’s taxable income, a guaranty of its ability to pay dividends or as a proxy for the amount of dividends it may pay, as earnings available for distribution excludes certain items that impact its cash needs.
Reconciliation of Non-GAAP Measure to the Respective GAAP Measure
The table below provides a reconciliation of earnings available for distribution to the most directly comparable GAAP financial measure (dollars in thousands, except share and per share data):
Three Months Ended
March 31,
2026
December 31,
2025
Net income attributable to common stockholders - GAAP
$
67,831
$
53,116
Adjustments:
Realized and unrealized losses, net, including MSR change in valuation inputs and assumptions
71,844
166,648
Other loss, net
15,633
26,330
Depreciation and amortization
87,280
27,824
Non-capitalized transaction-related expenses
8,330
33,373
Deferred taxes
38,718
111,614
Earnings available for distribution - Non-GAAP
$
289,636
$
418,905
Net income per diluted share
$
0.12
$
0.09
Earnings available for distribution per diluted share
$
0.51
$
0.74
Weighted average number of shares of common stock outstanding, diluted
565,927,074
564,691,202
SEGMENT INFORMATION
($ in thousands)
First Quarter Ended March 31, 2026
Origination
and
Servicing
Residential
Transitional
Lending
Asset
Management
Investment
Portfolio
Commercial
Real Estate
Corporate
Category
Total
Servicing fee revenue, net and interest income from MSRs and MSR financing receivables
$
579,288
$
—
$
—
$
—
$
—
$
—
$
579,288
Change in fair value of MSRs and MSR financing receivables, net of economic hedges (includes realization of cash flows of $(211,456))
(204,229
)
—
—
—
—
—
(204,229
)
Servicing revenue, net
375,059
—
—
—
—
—
375,059
Interest income
234,877
87,659
38,897
95,967
1,832
2,645
461,877
Gain on originated residential mortgage loans, held-for-sale, net
194,972
—
—
13,278
—
—
208,250
Asset management revenue
—
—
104,818
—
1,769
—
106,587
Rental revenue
—
—
—
20,487
171,204
—
191,691
Other revenue
23,333
—
—
6,385
7,054
—
36,772
Total Revenue
828,241
87,659
143,715
136,117
181,859
2,645
1,380,236
Interest expense and warehouse line fees
215,797
35,659
6,173
76,555
58,462
38,016
430,662
Other segment expenses
151,269
6,537
49,811
25,109
84,000
19,276
336,002
Compensation and benefits
207,074
20,822
113,016
5,115
11,282
21,101
378,410
Depreciation and amortization
6,088
1,943
11,526
8,482
64,605
—
92,644
Total Operating Expenses
580,228
64,961
180,526
115,261
218,349
78,393
1,237,718
Realized and unrealized gains (losses), net
—
(606
)
(1,394
)
(13,034
)
(120
)
—
(15,154
)
Other income (loss), net
2,614
1,055
9,476
11,694
2,035
2
26,876
Total Other Income (Loss)
2,614
449
8,082
(1,340
)
1,915
2
11,722
Income (Loss) before Income Taxes
$
250,627
$
23,147
$
(28,729
)
$
19,516
$
(34,575
)
$
(75,746
)
$
154,240
Total Assets
$
28,311,493
$
4,505,746
$
4,504,047
$
9,905,297
$
5,902,572
$
245,389
$
53,374,544
Stockholders' Equity in Rithm Capital Corp.
$
5,797,840
$
934,217
$
1,282,840
$
1,564,567
$
1,249,074
$
(2,218,461
)
$
8,610,077
Fourth Quarter Ended December 31, 2025
Origination
and
Servicing
Residential Transitional
Lending
Asset
Management
Investment
Portfolio
Commercial
Real Estate
Corporate
Category
Total
Servicing fee revenue, net and interest income from MSRs and MSR financing receivables
$
570,070
$
—
$
—
$
—
$
—
$
—
$
570,070
Change in fair value of MSRs and MSR financing receivables, net of economic hedges (includes realization of cash flows of $(232,554))
(421,815
)
—
—
—
—
—
(421,815
)
Servicing revenue, net
148,255
—
—
—
—
—
148,255
Interest income
305,075
82,075
16,470
93,696
337
3,161
500,814
Gain on originated residential mortgage loans, held-for-sale, net
Certain information in this press release constitutes “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are not historical facts. They represent management’s current expectations regarding future events and are subject to a number of trends and uncertainties, many of which are beyond our control, which could cause actual results to differ materially from those described in the forward-looking statements. Accordingly, you should not place undue reliance on any forward-looking statements contained herein. For a discussion of some of the risks and important factors that could affect such forward-looking statements, see the sections entitled “Cautionary Statement Regarding Forward Looking Statements,” “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in the Company’s most recent annual and quarterly reports and other filings filed with the U.S. Securities and Exchange Commission, which are available on the Company’s website (www.rithmcap.com). New risks and uncertainties emerge from time to time, and it is not possible for Rithm Capital to predict or assess the impact of every factor that may cause its actual results to differ from those contained in any forward-looking statements. Forward-looking statements contained herein speak only as of the date of this press release, and Rithm Capital expressly disclaims any obligation to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in Rithm Capital's expectations with regard thereto or change in events, conditions or circumstances on which any statement is based.
ABOUT RITHM CAPITAL
Rithm Capital Corp. is a global alternative asset manager with significant experience managing credit and real estate assets. Rithm’s integrated platform spans asset-based finance, residential and commercial real estate lending, mortgage servicing rights, and structured credit. Through platforms including Elecor Properties, Newrez, Genesis Capital, Sculptor Capital Management, and Crestline Management, Rithm employs a unique owner-operator model to drive value for shareholders and investors. For more information, visit www.rithmcap.com.
Rithm Capital delivers robust mREIT, office REIT, and alternative asset management monetization trends, better positioning the diversified company no matter the rate environment. For now, the mREIT segment enjoys rich net interest incomes and robust loan origination gains, aided by their fully hedged MSR portfolios working out as intended. RITM's diversification into asset management and office rentals are also top-line accretive, thanks to the expanded AUM and higher leasing/occupancy rates supporting its resilient growth prospects.
AGNC offers transparent exposure to agency MBS with virtually zero credit risk, while RITM's hybrid model remains a "black box" with credit portfolio risks. My previous recommendation favoring DX over RITM generated a 15% alpha in just four months, confirming the wisdom of betting on "pure-play" agency mREITs. AGNC delivers an excellent dividend yield of 13% with monthly payouts, which creates better compound interest potential compared to RITM's 10% quarterly payouts.
NEW YORK--(BUSINESS WIRE)--KBRA assigns preliminary ratings to 10 classes of mortgage-backed notes from New Residential Mortgage Loan Trust 2026-NQM6 (NRMLT 2026-NQM6), a $490.1 million non-prime RMBS transaction sponsored by Rithm Capital Corp. (formerly New Residential Investment Corp.), a publicly traded (NYSE: RITM) real estate investment trust (REIT). The underlying mortgages in the subject pool were primarily originated by NewRez LLC (62.7%). In addition, all loans will be serviced by NewRez LLC.
NRMLT 2026-NQM6 is collateralized by a pool of 930 residential mortgages seasoned approximately two months. Borrowers in NRMLT 2026-NQM6 possess a non-zero WA original credit score of 755 and exhibit a weighted average (WA) original loan-to-value (LTV) of 71.8% and a WA combined LTV (CLTV) of 71.8%.
KBRA’s rating approach incorporated loan-level analysis of the mortgage pool through its Residential Asset Loss Model (REALM), an examination of the results from third-party loan file due diligence, cash flow modeling analysis of the transaction’s payment structure, reviews of key transaction parties and an assessment of the transaction’s legal structure and documentation. This analysis is further described in our U.S. RMBS Rating Methodology.
To access ratings and relevant documents, click here.
RMBS: U.S. RMBS Rating Methodology Structured Finance: Global Structured Finance Counterparty Methodology Disclosures
Further information on key credit considerations, sensitivity analyses that consider what factors can affect these credit ratings and how they could lead to an upgrade or a downgrade, and ESG factors (where they are a key driver behind the change to the credit rating or rating outlook) can be found in the full rating report referenced above.
A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the Information Disclosure Form(s) located here.
Information on the meaning of each rating category can be located here.
Further disclosures relating to this rating action are available in the Information Disclosure Form(s) referenced above. Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at www.kbra.com.
About KBRA
Kroll Bond Rating Agency, LLC (KBRA), one of the major credit rating agencies (CRA), is a full-service CRA registered with the U.S. Securities and Exchange Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered as a CRA with the UK Financial Conduct Authority. In addition, KBRA is designated as a Designated Rating Organization (DRO) by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized as a Qualified Rating Agency by Taiwan’s Financial Supervisory Commission and is recognized by the National Association of Insurance Commissioners as a Credit Rating Provider (CRP) in the U.S.
Rithm Capital offers a more attractive risk/reward profile than AGNC Investment despite a lower headline yield (10.2% vs. 13.4%). RITM trades at a valuation discount: 4.33x FY1 P/E and 22% below book, versus AGNC's 6.83x P/E and 20% premium to book. RITM's diversified revenue, lower leverage ratio, and lower dividend payout ratio (43% vs. AGNC's 96%) enhance resilience in uncertain rate environments.
NEW YORK--(BUSINESS WIRE)--Rithm Capital Corp. (NYSE: RITM; “Rithm” or the “Company”) announced today that it plans to offer $500 million aggregate principal amount of senior unsecured notes due 2031 (the “notes”). The Company intends to use the net proceeds from this offering for general corporate purposes, which may include the repayment of certain indebtedness.
The notes have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the “Securities Act”), any state securities laws or the securities laws of any other jurisdiction, and may not be offered or sold in the United States absent registration or an applicable exemption from registration. Accordingly, the notes are being offered and sold only to persons reasonably believed to be qualified institutional buyers in accordance with Rule 144A under the Securities Act and, outside the United States, in reliance on Regulation S under the Securities Act.
This press release does not constitute an offer to sell, or the solicitation of an offer to buy, any security and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale would be unlawful.
ABOUT RITHM CAPITAL
Rithm Capital Corp. is a global alternative asset manager with significant experience managing credit and real estate assets. Rithm’s integrated platform spans asset-based finance, residential and commercial real estate lending, mortgage servicing rights, and structured credit. Through platforms including Elecor Properties, Newrez, Genesis Capital, Sculptor Capital Management, and Crestline Investors, Rithm employs a unique owner-operator model to drive value for shareholders and investors.
FORWARD-LOOKING STATEMENTS
This communication contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements relating to the Company’s intention to issue the notes and the intended use of proceeds of the offering. Forward-looking statements are not historical in nature and can be identified by words such as “believe,” “expect,” “anticipate,” “estimate,” “project,” “plan,” “continue,” “intend,” “should,” “would,” “could,” “goal,” “objective,” “will,” “may,” “seek,” or similar expressions or their negative forms. Forward-looking statements are subject to numerous assumptions, risks and uncertainties, which change over time and are beyond our control. Forward-looking statements speak only as of the date they are made. Rithm does not assume any duty or obligation to update or supplement any forward-looking statements. Because forward-looking statements are, by their nature, uncertain and subject to numerous assumptions, risks and uncertainties, actual results or future events, circumstances or developments could differ materially from those anticipated. Factors that could cause such differences include those set forth in the section entitled “Risk Factors” in Rithm’s most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q filed with the SEC, available at www.sec.gov. The list of factors is not exhaustive and additional risks may affect future results.
NEW YORK--(BUSINESS WIRE)--Rithm Capital Corp. (NYSE: RITM; “Rithm” or the “Company”) announced today that it has priced its previously announced offering of $500 million aggregate principal amount of 8.500% senior unsecured notes due 2031 (the “notes”). The Company intends to use the net proceeds from this offering for general corporate purposes, which may include the repayment of certain indebtedness. The notes will not have any registration rights.
The offering is expected to close on May 14, 2026, subject to customary closing conditions.
The notes have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the “Securities Act”), any state securities laws or the securities laws of any other jurisdiction, and may not be offered or sold in the United States absent registration or an applicable exemption from registration. Accordingly, the notes are being offered and sold only to persons reasonably believed to be qualified institutional buyers in accordance with Rule 144A under the Securities Act and, outside the United States, in reliance on Regulation S under the Securities Act.
This press release does not constitute an offer to sell, or the solicitation of an offer to buy, any security and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale would be unlawful.
ABOUT RITHM CAPITAL
Rithm Capital Corp. is a global alternative asset manager with significant experience managing credit and real estate assets. Rithm’s integrated platform spans asset-based finance, residential and commercial real estate lending, mortgage servicing rights, and structured credit. Through platforms including Elecor Properties, Newrez, Genesis Capital, Sculptor Capital Management, and Crestline Investors, Rithm employs a unique owner-operator model to drive value for shareholders and investors.
FORWARD-LOOKING STATEMENTS
This communication contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements relating to the Company’s ability to complete the offering, the intended use of proceeds of the offering and the expected closing date of the offering. Forward-looking statements are not historical in nature and can be identified by words such as “believe,” “expect,” “anticipate,” “estimate,” “project,” “plan,” “continue,” “intend,” “should,” “would,” “could,” “goal,” “objective,” “will,” “may,” “seek,” or similar expressions or their negative forms. Forward-looking statements are subject to numerous assumptions, risks and uncertainties, which change over time and are beyond our control. Forward-looking statements speak only as of the date they are made. Rithm does not assume any duty or obligation to update or supplement any forward-looking statements. Because forward-looking statements are, by their nature, uncertain and subject to numerous assumptions, risks and uncertainties, actual results or future events, circumstances or developments could differ materially from those anticipated. Factors that could cause such differences include those set forth in the section entitled “Risk Factors” in Rithm’s most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q filed with the SEC, available at www.sec.gov. The list of factors is not exhaustive and additional risks may affect future results.
Rithm Capital is evolving into a diversified investment firm, expanding its asset management and third-party investment services. RITM's core mortgage servicing rights benefit from a higher-for-longer rate environment, supporting distributable earnings and dividend stability. First-quarter 2026 distributable earnings of $0.51/share covered the $0.25 dividend with a robust 204% coverage ratio.
NEW YORK--(BUSINESS WIRE)--KBRA assigns preliminary ratings to 10 classes of mortgage-backed notes from New Residential Mortgage Loan Trust 2026-NQM7 (NRMLT 2026-NQM7), a $483.8 million non-prime RMBS transaction sponsored by Rithm Capital Corp. (formerly New Residential Investment Corp.), a publicly traded (NYSE: RITM) real estate investment trust (REIT). The underlying mortgages in the subject pool were primarily originated by NewRez LLC (51.9%). In addition, all loans will be serviced by NewRez LLC.
NRMLT 2026-NQM7 is collateralized by a pool of 890 residential mortgages seasoned approximately one months. Borrowers in NRMLT 2026-NQM7 possess a non-zero WA original credit score of 757 and exhibit a weighted average (WA) original loan-to-value (LTV) of 71.5% and a WA combined LTV (CLTV) of 71.6%.
KBRA’s rating approach incorporated loan-level analysis of the mortgage pool through its Residential Asset Loss Model (REALM), an examination of the results from third-party loan file due diligence, cash flow modeling analysis of the transaction’s payment structure, reviews of key transaction parties and an assessment of the transaction’s legal structure and documentation. This analysis is further described in our U.S. RMBS Rating Methodology.
To access ratings and relevant documents, click here.
RMBS: U.S. RMBS Rating Methodology Structured Finance: Global Structured Finance Counterparty Methodology Disclosures
Further information on key credit considerations, sensitivity analyses that consider what factors can affect these credit ratings and how they could lead to an upgrade or a downgrade, and ESG factors (where they are a key driver behind the change to the credit rating or rating outlook) can be found in the full rating report referenced above.
A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the Information Disclosure Form(s) located here.
Information on the meaning of each rating category can be located here.
Further disclosures relating to this rating action are available in the Information Disclosure Form(s) referenced above. Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at www.kbra.com.
About KBRA
Kroll Bond Rating Agency, LLC (KBRA), one of the major credit rating agencies (CRA), is a full-service CRA registered with the U.S. Securities and Exchange Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered as a CRA with the UK Financial Conduct Authority. In addition, KBRA is designated as a Designated Rating Organization (DRO) by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized as a Qualified Rating Agency by Taiwan’s Financial Supervisory Commission and is recognized by the National Association of Insurance Commissioners as a Credit Rating Provider (CRP) in the U.S.
In the latest close session, Rithm (RITM - Free Report) was up +1.65% at $9.25. The stock's performance was ahead of the S&P 500's daily gain of 0.13%. On the other hand, the Dow registered a gain of 0.45%, and the technology-centric Nasdaq increased by 0.03%.
The real estate investment trust's shares have seen a decrease of 5.6% over the last month, not keeping up with the Finance sector's gain of 0.68% and the S&P 500's gain of 5.25%.
Analysts and investors alike will be keeping a close eye on the performance of Rithm in its upcoming earnings disclosure. The company is predicted to post an EPS of $0.54, indicating constancy compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $1.47 billion, showing a 20.68% escalation compared to the year-ago quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $2.27 per share and revenue of $6.04 billion, indicating changes of -3.4% and +37.85%, respectively, compared to the previous year.
Investors should also pay attention to any latest changes in analyst estimates for Rithm. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.44% lower. Rithm currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Rithm has a Forward P/E ratio of 4.01 right now. This represents a discount compared to its industry average Forward P/E of 10.77.
The Financial - Miscellaneous Services industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 108, which puts it in the top 45% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
Rithm Capital Corp. preferred D shares offer an attractive risk-reward profile near current prices, with a 7.08% stripped yield. RITM-D provides a compelling 9.1% annualized yield-to-call if redeemed soon after call protection ends on 11/15/2026. If not called, RITM.PR.D resets to a strong floating yield (10.56% at current rates), likely trading above par barring a recession.
Rithm Capital is a diversified origination, servicing, and asset management company, not a traditional agency-focused mortgage REIT. RITM's income is driven by fee and servicing businesses, with a large MSR portfolio naturally hedging book value against rising rates. The Buy rating is based on a reliable ~11% yield, covered roughly twice by distributable earnings, with discount closure optionality but no near-term catalyst.
Rithm Capital Corp. (RITM) preferred share RITM-B is in our buy range, offering a compelling risk-reward profile for income-focused investors. RITM-B trades below call value with a stripped yield of 9.78%, and an annualized yield-to-call of 18%, making it attractive relative to sector peers. RITM-B is suitable for low-risk and buy-and-hold investors seeking higher yield, though it carries slightly more risk than Annaly Capital Management's preferreds.
NEW YORK, May 20, 2026 (GLOBE NEWSWIRE) -- Bronstein, Gewirtz & Grossman, LLC, a nationally recognized investor-rights law firm, announces that a class action lawsuit has been filed against Coty Inc. (NYSE: COTY) and certain of its officers.
This lawsuit seeks to recover damages against Defendants for alleged violations of the federal securities laws on behalf of all persons and entities that purchased or otherwise acquired Coty securities between November 5, 2025 and February 4, 2026, both dates inclusive (the “Class Period”). Such investors are encouraged to join this case by visiting the firm’s site: bgandg.com/COTY.
Coty Case Details
The Complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements and/or failed to disclose that:
(1) Defendants issued overwhelmingly positive statements regarding Coty’s growth and profitability prospects for fiscal year 2026;
(2) Coty’s growth in the beauty market was slowing, including underperformance in its Consumer Beauty segment;
(3) The Company’s margins were being pressured by increased marketing expenditures;
(4) Growth in Coty’s Prestige fragrance segment was decelerating; and
(5) As a result, Defendants’ statements about Coty’s business, operations, and prospects were materially false and misleading at all relevant times.
What's Next for Coty Investors?
A class action lawsuit has already been filed. If you wish to review a copy of the Complaint, you can visit the firm’s site: bgandg.com/COTY. or you may contact Peretz Bronstein, Esq. or his Client Relations Manager, Nathan Miller, of Bronstein, Gewirtz & Grossman, LLC at 917-590-0911. If you suffered a loss in Coty you have until May 22, 2026, to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as lead plaintiff.
No Cost to Coty Investors
We, Bronstein, Gewirtz & Grossman LLC, represent investors in class actions on a contingency fee basis. That means we will ask the court to reimburse us for out-of-pocket expenses and attorneys’ fees, usually a percentage of the total recovery, only if we are successful.
Why Bronstein, Gewirtz & Grossman, LLC for Coty Securities Class Action?
Bronstein, Gewirtz & Grossman, LLC is a nationally recognized firm that represents investors in securities fraud class actions and shareholder derivative suits. Our firm has recovered hundreds of millions of dollars for investors nationwide. More at www.bgandg.com
"Our practice centers on restoring investor capital and ensuring corporate accountability, which serves to uphold the essential integrity of the marketplace," said Peretz Bronstein, Founding Partner of Bronstein, Gewirtz & Grossman, LLC.
Follow us for updates on LinkedIn, X, Facebook, or Instagram.
Contact Info
Peretz Bronstein, Esq. or Nathan Miller
Bronstein, Gewirtz & Grossman, LLC
917-590-0911 | [email protected]
Attorney advertising.
Prior results do not guarantee similar outcomes.
LOS ANGELES--(BUSINESS WIRE)--The Law Offices of Frank R. Cruz reminds investors of the upcoming May 22, 2026 deadline to participate as a lead plaintiff in the securities fraud class action lawsuit filed on behalf of investors who acquired Coty Inc. (“Coty” or the “Company”) (NYSE: COTY) common stock between May 7, 2025 and February 4, 2026, inclusive (the “Class Period”).
IF YOU ARE AN INVESTOR WHO LOST MONEY ON COTY INC. (COTY), CLICK HERE TO PARTICIPATE IN THE SECURITIES FRAUD LAWSUIT.
What Happened?
On February 5, 2026, Coty released its second quarter fiscal 2026 financial results, revealing results below market expectations, including that net revenue decreased 6% on a like-for-like basis, reported gross margins decreased 200 basis points, and adjusted operating income declined 19%. The Company also withdrew its 2026 guidance for EBITDA and lowered its near-term outlook, stating “Coty anticipates Q3 gross margins to decline 200 to 300 basis points” and “approximately breakeven EPS.”
In the Company’s earnings call, recently appointed interim CEO, Markus Strobel, noted “we have not been delivering at the level we should” and the Company would need to invest in “disciplined execution, operational effectiveness and sufficient multiyear marketing support.” The Company’s CFO, Laurent Mercier also noted “the main headwind is from Consumer Beauty.”
On this news, Coty’s stock price fell $0.49, or 15.56%, to close at $2.66 per share on February 6, 2026, thereby injuring investors.
What Is The Lawsuit About?
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) Coty’s Consumer Beauty segment was underperforming; (2) margins were compressed by increased marketing investments; (3) there was slowing growth in the Prestige fragrance marker; and (4) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
If you purchased or otherwise acquired Coty securities between May 7, 2025 and February 4, 2026, the deadline to seek appointment as the lead plaintiff in the securities fraud class action is May 22, 2026.
Contact Us To Participate or Learn More:
If you wish to learn more about this class action, or if you have any questions concerning this announcement or your rights or interests with respect to the pending class action lawsuit, please contact us:
Frank R. Cruz
The Law Offices of Frank R. Cruz,
2121 Avenue of the Stars, Suite 800,
Century City, California 90067
Email us at: [email protected]
Call us at: 310-914-5007
Visit our website at www.frankcruzlaw.com
Follow us for updates on Twitter: twitter.com/FRC_LAW
If you inquire by email, please include your mailing address, telephone number, and number of shares purchased.
To be a member of the class action you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the class action. This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
New York, New York--(Newsfile Corp. - May 20, 2026) - Bronstein, Gewirtz & Grossman, LLC, a nationally recognized investor-rights law firm, announces that a class action lawsuit has been filed against Coty Inc. (NYSE: COTY) and certain of its officers.
This lawsuit seeks to recover damages against Defendants for alleged violations of the federal securities laws on behalf of all persons and entities that purchased or otherwise acquired Coty securities between November 5, 2025 and February 4, 2026, both dates inclusive (the "Class Period"). Such investors are encouraged to join this case by visiting the firm's site: bgandg.com/COTY.
Coty Case Details
The Complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements and/or failed to disclose that:
Defendants issued overwhelmingly positive statements regarding Coty's growth and profitability prospects for fiscal year 2026; Coty's growth in the beauty market was slowing, including underperformance in its Consumer Beauty segment; The Company's margins were being pressured by increased marketing expenditures; Growth in Coty's Prestige fragrance segment was decelerating; and As a result, Defendants' statements about Coty's business, operations, and prospects were materially false and misleading at all relevant times.What's Next for Coty Investors?
A class action lawsuit has already been filed. If you wish to review a copy of the Complaint, you can visit the firm's site: bgandg.com/COTY, or you may contact Peretz Bronstein, Esq. or his Client Relations Manager, Nathan Miller, of Bronstein, Gewirtz & Grossman, LLC at 917-590-0911. If you suffered a loss in Coty you have until May 22, 2026, to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as lead plaintiff.
No Cost to Coty Investors
We, Bronstein, Gewirtz & Grossman LLC, represent investors in class actions on a contingency fee basis. That means we will ask the court to reimburse us for out-of-pocket expenses and attorneys' fees, usually a percentage of the total recovery, only if we are successful.
Why Bronstein, Gewirtz & Grossman, LLC for Coty Securities Class Action?
Bronstein, Gewirtz & Grossman, LLC is a nationally recognized firm that represents investors in securities fraud class actions and shareholder derivative suits. Our firm has recovered hundreds of millions of dollars for investors nationwide. More at www.bgandg.com
"Our practice centers on restoring investor capital and ensuring corporate accountability, which serves to uphold the essential integrity of the marketplace," said Peretz Bronstein, Founding Partner of Bronstein, Gewirtz & Grossman, LLC.
Follow us for updates on LinkedIn, X, Facebook, or Instagram.
Attorney advertising.
Prior results do not guarantee similar outcomes.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/295229
Source: Bronstein, Gewirtz & Grossman, LLC
Ready to Announce with Confidence? Send us a message and a member of our TMX Newsfile team will contact you to discuss your needs.
San Francisco, California--(Newsfile Corp. - May 20, 2026) - National shareholder rights law firm Hagens Berman alerts Coty Inc. (NYSE: COTY) investors that a new securities class action lawsuit has been filed in the U.S. District Court for the Southern District of New York.
The newly filed litigation significantly expands the timeframe for recovery. The action is brought on behalf of all investors who purchased or otherwise acquired Coty common stock between May 7, 2025 and February 4, 2026, inclusive (the "Expanded Class Period").
The firm urges investors in Coty who suffered significant losses to submit your losses now. The firm also encourages witnesses who may be able to assist in the investigation to contact its attorneys.
View our latest video summary of the allegations:
Cannot view this video? Visit:
https://www.youtube.com/watch?v=jQoWASUHcgI
Lead Plaintiff Deadline: May 22, 2026
Expand Class Period: May 7, 2025 - Feb. 4, 2026
Visit: www.hbsslaw.com/investor-fraud/coty
Contact the Firm Now: [email protected]
844-916-0895
Coty Inc. (COTY) Securities Class Action: The Expanded Class Period and Core Allegations
While the initial complaint filed against Coty focused on statements made in November 2025, the newly expanded litigation alleges that Coty's campaign of misrepresentation began earlier, on May 7, 2025.
According to the lawsuit, on May 6, 2025, during post-market hours, Coty and its senior executives disseminated overwhelmingly positive material representations concerning the company's growth potential and operational health heading into fiscal year 2026. Management repeatedly assured the market that it possessed a strong innovation pipeline, predictable retail trends, and the operational discipline necessary to steadily improve fragrance and beauty sales.
In reality, the complaint alleges that throughout the Expanded Class Period, severe, structural headwinds were concealed from the investing public. Specifically, it is alleged that Coty failed to disclose that:
The Consumer Beauty market was severely underperforming and lagging behind competitors;Profit margins were being aggressively compressed by escalating, unsustainable marketing investments; andPrestige fragrance growth was experiencing a sharp, undisclosed deceleration.The Truth Emerges
Investors began to learn the true state of Coty's business through a series of sudden operational updates. On December 12, 2025, Coty abruptly announced the departure of its CEO, Sue Y. Nabi, without an adequate operational explanation, causing an immediate drop in share value.
The full extent of the operational collapse was laid bare after the market closed on February 4 and 5, 2026, when Coty announced its Q2 2026 financial results. The company revealed that operating income in its Consumer Beauty segment had plummeted by over 70% year-over-year, while Prestige operating income dropped over 18%. Compounding the shock, Coty completely withdrew its full-year fiscal 2026 EBITDA and free cash flow guidance, while acknowledging a severe lack of "operational discipline."
On this devastating news, the price of Coty common stock collapsed, falling roughly 22% from a closing price of $3.43 per share on February 4, 2026, to $2.66 per share on February 6, 2026, erasing hundreds of millions of dollars in shareholder value.
What This Means for Investors
The filing of the expanded complaint does not alter the upcoming May 22, 2026 deadline to seek appointment as Lead Plaintiff.
If you invested in Coty during the Expanded Class Period and have substantial losses, or have knowledge that may assist the firm's investigation, submit your losses now »
If you'd like more information and answers to frequently asked questions about the Coty case and the firm's investigation, read more »
"We're investigating the extended period of alleged misrepresentations which is alleged to have harmed investors who bought into Coty's growth narrative as early as spring of last year. " said Reed Kathrein, the Hagens Berman partner leading the firm's investigation of the pending claims.
Whistleblowers: Persons with non-public information regarding Coty should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email [email protected].
# # #
About Hagens Berman
Hagens Berman is a global plaintiffs' rights complex litigation firm focusing on corporate accountability. The firm is home to a robust practice and represents investors as well as whistleblowers, workers, consumers and others in cases achieving real results for those harmed by corporate negligence and other wrongdoings. Hagens Berman's team has secured more than $2.9 billion in this area of law. More about the firm and its successes can be found at hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw.
Contact:
Reed Kathrein, 844-916-0895
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/298302
Source: Hagens Berman Sobol Shapiro LLP
Ready to Announce with Confidence? Send us a message and a member of our TMX Newsfile team will contact you to discuss your needs.
, /PRNewswire/ -- National shareholder rights law firm Hagens Berman alerts Coty Inc. (NYSE: COTY) investors that a new securities class action lawsuit has been filed in the U.S. District Court for the Southern District of New York.
The newly filed litigation significantly expands the timeframe for recovery. The action is brought on behalf of all investors who purchased or otherwise acquired Coty common stock between May 7, 2025 and February 4, 2026, inclusive (the "Expanded Class Period").
The firm urges investors in Coty who suffered significant losses to submit your losses now. The firm also encourages witnesses who may be able to assist in the investigation to contact its attorneys.
View our latest video summary of the allegations: youtu.be/jQoWASUHcgI
Lead Plaintiff Deadline: May 22, 2026
Expand Class Period: May 7, 2025 – Feb. 4, 2026
Visit: www.hbsslaw.com/investor-fraud/coty
Contact the Firm Now: [email protected]
844-916-0895
Coty Inc. (COTY) Securities Class Action: The Expanded Class Period and Core Allegations
While the initial complaint filed against Coty focused on statements made in November 2025, the newly expanded litigation alleges that Coty's campaign of misrepresentation began earlier, on May 7, 2025.
According to the lawsuit, on May 6, 2025, during post-market hours, Coty and its senior executives disseminated overwhelmingly positive material representations concerning the company's growth potential and operational health heading into fiscal year 2026. Management repeatedly assured the market that it possessed a strong innovation pipeline, predictable retail trends, and the operational discipline necessary to steadily improve fragrance and beauty sales.
In reality, the complaint alleges that throughout the Expanded Class Period, severe, structural headwinds were concealed from the investing public. Specifically, it is alleged that Coty failed to disclose that:
The Consumer Beauty market was severely underperforming and lagging behind competitors; Profit margins were being aggressively compressed by escalating, unsustainable marketing investments; and Prestige fragrance growth was experiencing a sharp, undisclosed deceleration. The Truth Emerges
Investors began to learn the true state of Coty's business through a series of sudden operational updates. On December 12, 2025, Coty abruptly announced the departure of its CEO, Sue Y. Nabi, without an adequate operational explanation, causing an immediate drop in share value.
The full extent of the operational collapse was laid bare after the market closed on February 4 and 5, 2026, when Coty announced its Q2 2026 financial results. The company revealed that operating income in its Consumer Beauty segment had plummeted by over 70% year-over-year, while Prestige operating income dropped over 18%. Compounding the shock, Coty completely withdrew its full-year fiscal 2026 EBITDA and free cash flow guidance, while acknowledging a severe lack of "operational discipline."
On this devastating news, the price of Coty common stock collapsed, falling roughly 22% from a closing price of $3.43 per share on February 4, 2026, to $2.66 per share on February 6, 2026, erasing hundreds of millions of dollars in shareholder value.
What This Means for Investors
The filing of the expanded complaint does not alter the upcoming May 22, 2026 deadline to seek appointment as Lead Plaintiff.
If you invested in Coty during the Expanded Class Period and have substantial losses, or have knowledge that may assist the firm's investigation, submit your losses now »
If you'd like more information and answers to frequently asked questions about the Coty case and the firm's investigation, read more »
"We're investigating the extended period of alleged misrepresentations which is alleged to have harmed investors who bought into Coty's growth narrative as early as spring of last year." said Reed Kathrein, the Hagens Berman partner leading the firm's investigation of the pending claims.
Whistleblowers: Persons with non-public information regarding Coty should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email [email protected].
About Hagens Berman
Hagens Berman is a global plaintiffs' rights complex litigation firm focusing on corporate accountability. The firm is home to a robust practice and represents investors as well as whistleblowers, workers, consumers and others in cases achieving real results for those harmed by corporate negligence and other wrongdoings. Hagens Berman's team has secured more than $2.9 billion in this area of law. More about the firm and its successes can be found at hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw.
Faruqi & Faruqi, LLP Securities Litigation Partner James (Josh) Wilson Encourages Investors Who Suffered Losses In Coty To Contact Him Directly To Discuss Their Options
If you purchased or acquired securities in Coty between November 5, 2025 and February 4, 2026 and would like to discuss your legal rights, call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).
[You may also click here for additional information]
, /PRNewswire/ -- Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against Coty Inc. ("Coty" or the "Company") (NYSE: COTY) and reminds investors of the May 22, 2026 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.
Faruqi & Faruqi is a leading national securities law firm with offices in New York, Pennsylvania, California and Georgia. The firm has recovered hundreds of millions of dollars for investors since its founding in 1995. See www.faruqilaw.com.
James (Josh) Wilson, Faruqi & Faruqi Senior Partner (PRNewsfoto/Faruqi & Faruqi, LLP) As detailed below, the complaint alleges that the Company and its executives violated federal securities laws by making false and/or misleading statements and/or failing to disclose the true state of Coty's slowing growth in the beauty market, notably, the Consumer Beauty market was underperforming, margins were compressed by increased marketing investments and there was slowing growth in its Prestige fragrance segment. Such statements absent these material facts caused Plaintiff and other shareholders to purchase Coty's securities at artificially inflated prices.
After the market closed on February 4 and 5, 2026, Coty announced its financial results for the second quarter fiscal year 2026, unveiling disappointing earnings results with worsening performance in the Consumer Beauty segment. The Company also noted the recent transition of its Chief Executive Officer in conjunction with the below-expectation results. Coty further withdrew its fiscal year 2026 guidance for EBITDA and revised the Company's near-term outlook downward. Coty attributed its results and lowered guidance to a combination of macroeconomic factors including rising costs and uncertain consumer demand and lack of "operational discipline" in both Prestige and Consumer Beauty segments.
Investors and analysts reacted immediately to Coty's revelation. The price of Coty's common stock declined from a closing market price of $3.43 per share on February 4, 2026, to $2.66 per share on February 6, 2026, a decline of about 22%.
The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not.
Faruqi & Faruqi, LLP also encourages anyone with information regarding Coty's conduct to contact the firm, including whistleblowers, former employees, shareholders and others.
To learn more about the Coty class action, go to www.faruqilaw.com/COTY or call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).
Follow us for updates on LinkedIn, on X, or on Facebook.
Attorney Advertising. The law firm responsible for this advertisement is Faruqi & Faruqi, LLP (www.faruqilaw.com). Prior results do not guarantee or predict a similar outcome with respect to any future matter. We welcome the opportunity to discuss your particular case. All communications will be treated in a confidential manner.
LOS ANGELES, May 21, 2026 (GLOBE NEWSWIRE) -- The Schall Law Firm, a national shareholder rights litigation firm, reminds investors of a class action lawsuit against Coty Inc. (“Coty” or “the Company”) (NYSE: COTY) for violations of §§10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder by the U.S. Securities and Exchange Commission.
Investors who purchased the Company’s securities between November 5, 2025 and February 4, 2026, inclusive (the “Class Period”), are encouraged to contact the firm before May 22, 2026.
If you are a shareholder who suffered a loss, click here to participate.
We also encourage you to contact Brian Schall of the Schall Law Firm, 2049 Century Park East, Suite 2460, Los Angeles, CA 90067, at 310-301-3335, to discuss your rights free of charge. You can also reach us through the firm's website at www.schallfirm.com, or by email at [email protected].
The class, in this case, has not yet been certified, and until certification occurs, you are not represented by an attorney. If you choose to take no action, you can remain an absent class member.
According to the Complaint, the Company made false and misleading statements to the market. Coty made overwhelmingly positive statements about its growth prospects for fiscal year 2026. Despite its promises, the Company’s growth was slowing and its Consumer Beauty segment was underperforming. The Company’s increasing marketing spend impacts its margins. Based on these facts, the Company’s public statements were false and materially misleading throughout the class period. When the market learned the truth about Coty, investors suffered damages.
Join the case to recover your losses.
The Schall Law Firm represents investors around the world and specializes in securities class action lawsuits and shareholder rights litigation.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and rules of ethics.
CONTACT:
The Schall Law Firm
Brian Schall, Esq.,
www.schallfirm.com
Office: 310-301-3335 [email protected]
