HudBay Minerals (NYSE:HBM) Announces Earnings Results, Misses Estimates By $0.18 EPS

HudBay Minerals (NYSE:HBM) (TSE:HBM) released its earnings results on Friday. The mining company reported $0.22 earnings per share for the quarter, missing the consensus estimate of $0.40 by ($0.18), Zacks reports. The firm had revenue of $732.90 million during the quarter, compared to analyst estimates of $730.13 million. HudBay Minerals had a net margin of 22.38% and a return on equity of 8.89%. The business’s revenue was up 25.3% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.18 earnings per share.

Here are the key takeaways from HudBay Minerals’ conference call:

• Hudbay reported a record 2025 with >$2 billion in revenues, >$1 billion of adjusted EBITDA, and ~$388 million of free cash flow, while achieving multi‑year production guidance and industry‑leading cash costs.
• The company closed a precedent‑setting Mitsubishi joint venture for Copper World (initial $420M, $180M follow‑on) and expects a definitive feasibility study mid‑2026 with a target sanction decision in 2026, materially derisking its largest growth project.
• Balance sheet metrics improved meaningfully — long‑term debt reduced by ~$185M since end‑2024, net debt/EBITDA ~0.4x (effectively 0x post‑JV), total liquidity >$1.4B — and Hudbay initiated its first dividend increase to $0.04 annually.
• The business faced material operational interruptions (Manitoba wildfires, Peru social unrest, a Manitoba power outage and BC SAG mill maintenance) and the accelerated depletion of high‑grade Pampacancha, which the company says will drive a ~9% decline in consolidated gold in 2026 and cause short‑term grade resequencing.
• Management is advancing an extensive growth/exploration pipeline (Snow Lake drilling including Talbot and 1901, New Ingerbelle permitting, pebble crushers and mill upgrades), which could extend production and value but remains subject to execution, permitting and timing risks.

HudBay Minerals Stock Up 1.0%

HBM stock traded up $0.26 during trading on Friday, hitting $25.00. 10,160,484 shares of the company’s stock were exchanged, compared to its average volume of 6,909,194. The business has a 50-day moving average price of $22.84 and a two-hundred day moving average price of $17.43. The company has a current ratio of 0.97, a quick ratio of 0.76 and a debt-to-equity ratio of 0.18. The stock has a market capitalization of $9.92 billion, a price-to-earnings ratio of 21.55 and a beta of 1.33. HudBay Minerals has a 52-week low of $5.95 and a 52-week high of $28.74.

HudBay Minerals Dividend Announcement

The firm also recently announced a dividend, which will be paid on Friday, March 27th. Stockholders of record on Tuesday, March 10th will be given a dividend of $0.01 per share. This represents a dividend yield of 8.0%. The ex-dividend date of this dividend is Tuesday, March 10th. HudBay Minerals’s dividend payout ratio (DPR) is 0.86%.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the stock. Empowered Funds LLC boosted its stake in HudBay Minerals by 104.7% in the fourth quarter. Empowered Funds LLC now owns 23,903 shares of the mining company’s stock valued at $474,000 after acquiring an additional 12,228 shares in the last quarter. Nebula Research & Development LLC purchased a new stake in shares of HudBay Minerals in the 2nd quarter valued at about $451,000. Bayesian Capital Management LP acquired a new stake in shares of HudBay Minerals in the 2nd quarter valued at about $439,000. Osaic Holdings Inc. boosted its position in shares of HudBay Minerals by 48.3% in the 4th quarter. Osaic Holdings Inc. now owns 21,822 shares of the mining company’s stock valued at $433,000 after purchasing an additional 7,106 shares during the period. Finally, Summit Securities Group LLC grew its stake in HudBay Minerals by 38.9% during the 4th quarter. Summit Securities Group LLC now owns 20,000 shares of the mining company’s stock worth $397,000 after buying an additional 5,600 shares during the last quarter. Institutional investors and hedge funds own 57.82% of the company’s stock.

Analyst Ratings Changes

Several brokerages recently weighed in on HBM. Jefferies Financial Group reaffirmed a “buy” rating on shares of HudBay Minerals in a research note on Sunday, December 7th. Citigroup increased their price objective on HudBay Minerals from $23.00 to $32.50 and gave the company a “buy” rating in a research note on Wednesday, February 11th. Zacks Research cut HudBay Minerals from a “strong-buy” rating to a “hold” rating in a research note on Tuesday. Raymond James Financial reaffirmed an “outperform” rating on shares of HudBay Minerals in a research report on Wednesday, January 14th. Finally, Weiss Ratings upgraded HudBay Minerals from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Tuesday, February 10th. Two research analysts have rated the stock with a Strong Buy rating, twelve have given a Buy rating and two have given a Hold rating to the company’s stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Buy” and an average target price of $26.00.

HudBay Minerals News Summary

Here are the key news stories impacting HudBay Minerals this week:

• Positive Sentiment: Received key permit amendments for the New Ingerbelle expansion at the Copper Mountain mine — permits (Mines Act and Environmental Management Act) were issued via B.C.’s Major Mines Office, extending mine life, lifting copper/gold production profile and protecting ~800 jobs, which strengthens project optionality and long‑term cash flow visibility. Hudbay Receives New Ingerbelle Expansion Permits for Copper Mountain
• Positive Sentiment: Posted record fourth-quarter and full-year 2025 results and confirmed 2026 production/cost guidance — achievement of consolidated copper and gold production and cost targets supports forward margin expectations and underpins the company’s growth narrative. Hudbay Delivers Record Fourth Quarter and Full Year 2025 Results
• Neutral Sentiment: Third‑party valuation/analysis notes the stock has run up materially over multiple years and is worth re‑assessing — useful for investors considering whether current valuation already reflects the recent operational gains. Assessing Hudbay Minerals (TSX:HBM) Valuation After A Strong Multi Year Share Price Surge
• Negative Sentiment: Quarterly EPS missed consensus — reported $0.22 EPS vs. Street estimates (Zacks cited $0.40 / Marketbeat cited $0.30), though revenue rose ~25% YoY; the EPS shortfall is pressuring near‑term sentiment despite underlying revenue and margin strength. HudBay Minerals (HBM) Misses Q4 Earnings and Revenue Estimates
• Negative Sentiment: Zacks downgraded the stock from “strong-buy” to “hold” — analyst rating changes can amplify short-term selling or slow further multiple expansion even as operational news is positive. Zacks Research downgrade

HudBay Minerals Company Profile

HudBay Minerals Inc is a Canada-based mining company engaged in the exploration, development and production of base and precious metals. Its primary products include copper, zinc, gold and silver concentrates, which are sold to smelters and refiners worldwide. The company’s operations span multiple stages of the mining cycle, from resource definition and feasibility studies to mine construction, extraction and reclamation.

The company traces its roots back to 1927, when it was established as Hudson Bay Mining & Smelting Co Limited.