10 Best Cheap Stocks to Buy Under $10

8. Hudbay Minerals Inc. (NYSE:HBM)

Share Price as of April 22: $6.93

Forward P/E Ratio as of April 22: 9.6

Number of Hedge Fund Holders: 39

Hudbay Minerals Inc. (NYSE:HBM) is a mining company that explores, develops, operates, and optimizes properties in North and South America. It produces and sells copper concentrates that contain copper, gold, and silver; silver/gold doré; zinc concentrates that contain zinc and gold; and molybdenum concentrates. Its flagship project is the Constancia mine located in Cusco in Peru.

In 2024, the company’s Manitoba operations achieved a record annual gold production of 214,000 ounces, which was a 14% increase from 2023. This was attributed to higher metallurgical recoveries at the New Britannia and Stall mills, along with the allocation of more gold ore feed to the New Britannia mill. The Lalor mine within the Manitoba operations also averaged 4,600 tons of ore production per day in Q4, which was its highest quarterly output in 2024. In December, Lalor produced a total of one million ounces of gold.

In 2025, Hudbay anticipates a gold production guidance midpoint of 200,000 ounces in Manitoba, which is an 8% improvement from the previous guidance. Hudbay Minerals Inc. (NYSE:HBM) plans to invest $15 million in growth capital for exploration and haulage drifts at the 1901 deposit. It expects capital expenditures to increase to $60 million for underground capitalized development costs.

L1 Long Short Fund stated the following regarding Hudbay Minerals Inc. (NYSE:HBM) in its Q2 2024 investor letter:

“Hudbay Minerals Inc. (NYSE:HBM) (Long +31%) shares rallied over the quarter driven by rising copper and gold prices, as well as strong production results. The company’s first quarter results showed higher gold production and robust operating performance at both its major assets, which exceeded consensus expectations. In addition, the company announced a ~US$400m equity raise to support balance sheet de-leveraging and fund its key growth projects. Hudbay is a mid-tier mining company primarily producing copper, alongside gold and zinc, with its key assets located in Canada and Peru. We are attracted to Hudbay due to our positive medium-term outlook for copper and the company’s strong near-term free cash flow generation. This cash generation potential will allow the company to de-lever and recycle capital back into its highly prospective exploration program and major growth projects, most notably its Copper World project in Arizona.”