After closing yesterday 4.7% higher from where it ended on Friday, shares of United States Antimony Company (UAMY +6.05%) are continuing to rise today. With an analyst expressing a more bullish outlook on the mining stock, investors are reaching for the buy button.
As of 11:53 a.m. ET, shares of U.S. Antimony are up 4.4%, pulling back slightly from an earlier 7.9% climb.
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After the announcement of a joint venture, price targets rise
Optimistic about the joint venture that U.S. Antimony and Americas Gold and Silver Corporation announced earlier this month, B. Riley raised its price target on U.S. Antimony stock to $11 from $9 and maintained a buy rating, according to Thefly.com.
NYSE: UAMY
Key Data Points
U.S. Antimony holds a 49% stake in the joint venture that plans to develop a new processing facility adjacent to assets that Americas Gold and Silver currently operates. According to U.S. Antimony, the new facility will help the joint venture achieve higher recoveries of copper, silver, and antimony at lower costs, thereby boosting profitability.
Two weeks ago, Alliance Global hiked its price target on U.S. Antimony stock to $13.50 from $9.75 in response to news of the joint venture.
Is U.S. Antimony stock a buy on news of the higher price target?
While B. Riley's new price target is noteworthy, it's not enough to motivate savvy investors to buy U.S. Antimony shares. The company is currently unprofitable, so growth investors will need to conduct their due diligence and examine the company's fundamentals to determine whether an investment in the mining stock is right for them.
