NEW YORK, August 6, 2026, 18:06 EDT — The main U.S. market session had ended.
- Hecla shares ended Thursday at $15.86, down 4.1% for the day, but up 12.3% since July 31.
- Free cash flow for the second quarter fell only 5.5% from the prior quarter, even as revenue dropped 18.9%.
- Initial estimates indicate the receivables gain accounted for 46.4% of stated free cash flow.
Hecla declined by 4.1% on Thursday after rallying 7.5% on Wednesday following its results. Over the week to July 31, shares dropped 6.7%. The stock then climbed 12.3% by Thursday and stood 3.1% higher than Tuesday’s closing level before the announcement.
The move indicates investors tolerated softer headline sales as cash remained stable. The key issue is if that conversion endures after factoring in typical working capital and increased capital expenditure.
Hecla’s latest quarterly results highlight the importance of that question.
| Metric | Q2 2026 | Q1 2026 | Q2 2025 | Q/Q | Y/Y |
|---|---|---|---|---|---|
| Revenue | $333.9 mln | $411.4 mln | $219.0 mln | -18.9% | +52.4% |
| Adjusted EBITDA | $199.2 mln | $265.1 mln | $92.6 mln | -24.9% | +115.2% |
| Free cash flow | $135.8 mln | $143.7 mln | $65.7 mln | -5.5% | +106.6% |
| Free-cash-flow margin | 40.7% | 34.9% | 30.0% | +5.8 pp | +10.7 pp |
| Silver production | 4.21 mln oz | 3.90 mln oz | 4.51 mln oz | +7.8% | -6.8% |
| Realized silver price | $63.06/oz | $82.70/oz | $34.82/oz | -23.7% | +81.1% |
Source: Hecla. Calculations for changes and margins are based on provided data.
The company reported that operating cash flow was positively impacted by a $63 million reduction in receivables. In initial estimates, this accounted for 46.4% of the second quarter’s free cash flow. The improvement was driven by shipment schedules, payment collections, and decreased concentrate values.
The second metric is capital expenditure. In the first half, Hecla reported spending $78.4 million. With annual guidance set at $208 million-$223 million, the implied capital spending for the second half is $129.6 million-$144.6 million. This represents a projected increase of 65%-84% over first-half levels, according to initial estimates.
With a market capitalization of $10.72 billion on Thursday, annualized free cash flow from Q2 implies a straightforward yield of 5.1%. This figure is not based on company guidance. It also does not factor in any receivables reversal or increased investment anticipated in the second half.
Hecla’s balance-sheet strain has eased significantly. The company reported $483 million in cash at quarter-end and had no debt, apart from finance leases. An additional $225 million revolving credit line was available and unused. “We ended the quarter with the strongest balance sheet in the Company’s history,” Chief Executive Rob Krcmarov said. Hecla Mining Company
Operations showed mixed results. Lucky Friday achieved a quarterly record, but Keno Hill continued to fall short of commercial production status.
| Mine | Q2 silver output | Q/Q | Milled grade | Cash cost/oz | AISC/oz |
|---|---|---|---|---|---|
| Greens Creek | 2.051 mln oz | -5.8% | 12.0 oz/t | -$17.11 | -$10.71 |
| Lucky Friday | 1.533 mln oz | +23.9% | 15.6 oz/t | $3.95 | $17.08 |
| Keno Hill | 0.625 mln oz | +27.9% | 19.3 oz/t | N/A | N/A |
Figures reflect costs after accounting for by-product credits. Keno Hill is not included as it has not yet reached commercial production.
Lucky Friday achieved a production record, propelled by a 31% grade rise. Management stated this higher grade would not continue. Silver concentrate stockpiled at Greens Creek by quarter-end was dispatched in early August.
Focus shifted to established mines, reducing emphasis on Keno Hill.
| 2026 silver guidance | Previous range | Current range | Midpoint change |
|---|---|---|---|
| Greens Creek | 7.5–8.1 mln oz | 8.0–8.3 mln oz | +4.5% |
| Lucky Friday | 4.7–5.2 mln oz | 4.9–5.2 mln oz | +2.0% |
| Keno Hill | 2.9–3.2 mln oz | 2.2–2.6 mln oz | -21.3% |
| Consolidated | 15.1–16.5 mln oz | 15.1–16.1 mln oz | -1.3% |
Source: Hecla. Calculations for midpoint changes provided.
The consolidated midpoint declined by just 1.3%. In contrast, Keno Hill’s midpoint decreased 21.3%. Improved projections at Greens Creek and Lucky Friday are offsetting much of the slower ramp.
Sector activity on Thursday was also selective. Hecla trailed the silver-miner fund but outpaced Coeur.
| Security | Latest price | Thursday move |
|---|---|---|
| Hecla Mining Company NYSE:HL | $15.86 | down 4.1% |
| Coeur Mining NYSE:CDE | $15.65 | fell 10.2% |
| Pan American Silver NYSE:PAAS | $48.05 | off 0.3% |
| First Majestic Silver NYSE:AG | $17.28 | slid 1.9% |
| Global X Silver Miners ETF NYSEARCA:SIL | $83.26 | dropped 0.7% |
Most recent available figures as of about 17:20 EDT.
The most recent published price-target changes came before the results were released. They reflect differing opinions.
| Firm and analyst | Date | Recommendation | Price target |
|---|---|---|---|
| Scotiabank — Bank of Nova Scotia NYSE:BNS, Eric Winmill | July 14 | Sector Perform; target lowered | $21 from $25 |
| H.C. Wainwright, Heiko Ihle | May 6 | Buy; target lowered | $26.75 from $36.50 |
| Canaccord Genuity Group (TSE:CF), Dalton Baretto | April 29 | Upgraded to Buy from Hold | $24 |
| CIBC — Canadian Imperial Bank of Commerce NYSE:CM, Cosmos Chiu | January 28 | Neutral; target increased | $32 from $27 |
| BMO Capital Markets — Bank of Montreal NYSE:BMO, Kevin O’Halloran | January 27 | Market Perform; target increased | $28 from $16 |
Source: Analyst action data from MarketBeat, updated at 18:00 EDT.
Methods for compiling consensus ratings vary. Barron’s reported six buy ratings and five holds, setting the average price target at $23.53. According to Investing.com, analysts issued four buys and five holds. Meanwhile, MarketBeat listed two buys, five holds and one sell, with the average target at $24.13.
Key upcoming events are macroeconomic. U.S. July employment figures will be released on Friday at 08:30 EDT. July consumer price data arrives on August 12, with producer prices set for August 13.
Risks: Declines in silver or gold prices may impact margins. Delays in the Keno Hill ramp-up, shipment scheduling, increased capital expenditures in the second half, and the unwinding of the receivables benefit could also negatively affect cash conversion.
Lower expenses and decreased leverage have been met with investor approval. The next key test will be maintaining free cash flow as working capital levels return to normal and capital expenditures increase.
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