Why Hecla Mining Stock Rocketed 52% in May
Shares of silver- and gold-miner Hecla Mining (NYSE: HL) rose an amazing 52% in May, according to data from S&P Global Market Intelligence. The five-month gain between January and May was just about 39%, so the one-month advance in May was basically the big move here for the year. The upside was likely driven by a string of solid news out of the company, in addition to elevated commodity prices.
Hecla reported first-quarter 2021 earnings in early May, and the reading was excellent. For example, sales increased 54% year over year and were the second highest in the company's history. Gross profit of $64.8 million represented an increase of $53.4 million. And earnings per share of $0.03 per share were up from a loss of $0.03 in the same period of the prior year.
Higher commodity prices and strong production both helped support results. The earnings news led to a price-target increase from $6.75 to $7.50 at CIBC.
Source Fool.com
