In this article, we will discuss the 5 largest magnesium-producing companies and the best magnesium stocks to buy now. If you want to read our discussion on the growth prospects of the industry, go to the 12 Largest Magnesium Producing Companies and Best Magnesium Stocks To Buy.
5. Imerys S.A. (NK.PA)
Market Capitalization: $3.14 billion (€2.89 billion)
Imerys S.A. (NK.PA) is a Paris, France-based company that is known for producing and processing industrial minerals. One of Imerys S.A.’s (NK.PA) divisions, known as Filtration & Performance Additives, produces magnesium oxide and magnesium hydroxide. These magnesium compounds are used as additives in plastics, rubbers, adhesives, and sealants for heat resistance, flame retardation, and mechanical properties. Imerys S.A. (NK.PA) extracts its magnesium minerals from magnesite, brucite, and seawater to manufacture magnesium oxide and hydroxide. The company has magnesium oxide production facilities in Europe and Asia.
4. China Rare Earth Resources And Technology Co., Ltd. (000831.SZ)
Market Capitalization: $3.92 billion (CNY 28.48 billion)
China Rare Earth Resources And Technology Co., Ltd. (000831.SZ) is a Jiangxi, China-based company that is involved in producing and selling rare earth metals, oxides, and processed products.
The company operates a magnesium mine in Shaanxi province. In addition to primary magnesium production, China Rare Earth Resources And Technology Co., Ltd. (000831.SZ) also recycles scrap magnesium. A large portion of the magnesium output is sold domestically within China to meet the demands of the automotive, electronics, and chemical industries. China Rare Earth Resources And Technology Co., Ltd. (000831.SZ) reported an annual revenue of $521.4 million (CNY 3.79 billion) and a net income of $26.9 million (CNY 195.46 million) in 2022.
3. Jinduicheng Molybdenum Co., Ltd. (601958.SS)
Market Capitalization: $5.03 billion (CNY 36.53 billion)
Jinduicheng Molybdenum Co., Ltd. (601958.SS) is a Xi’an, China-based enterprise founded in 2007 that is focused on mining and processing molybdenum, tungsten, and other metals.
Jinduicheng Molybdenum Co., Ltd. (601958.SS) has a magnesium production subsidiary called Shaanxi Yulin Wanyou Magnesium Industry Co. Ltd. The company operates magnesium mines in the Shaanxi province with significant reserves in its portfolio. Additionally, Jinduicheng Molybdenum Co., Ltd. is involved in the production of magnesium alloy profiles. Jinduicheng Molybdenum Co., Ltd. (601958.SS) had a top line of $1.31 billion (CNY 9.5 billion) and a net income of $68.14 million (CNY 494.79 million) in 2022.
2. Albemarle Corporation (NYSE:ALB)
Market Capitalization: $23.5 billion
Number of Hedge Fund Holders: 41
Value of Hedge Fund Holdings: $436,499,820
Albemarle Corporation (NYSE:ALB) is a Charlotte, North Carolina-based producer of specialty chemicals with a headcount of around 7,400 employees.
Albemarle Corporation (NYSE:ALB) is involved in making various magnesium compounds like magnesium hydroxide and magnesium oxide. These compounds have applications as flame retardants and smoke suppressants. Albemarle Corporation (NYSE:ALB) operates magnesium production facilities in the Netherlands, China, Israel and the US. The company’s largest magnesium operation is the Dead Sea Works plant in Israel. Albemarle Corporation (NYSE:ALB) uses brines from the Dead Sea as its main raw material source for magnesium compounds production, allowing it to produce magnesium relatively cheaply.
Here’s what Aristotle Capital Boston, LLC said about Albemarle Corporation (NYSE:ALB) in its Q2 2023 investor letter:
“Albemarle Corporation (NYSE:ALB), the world’s largest lithium producer was sold from the portfolio amidst the announcement from Chile’s president that he would nationalize the country’s lithium industry and in time transfer control from SQM and Albemarle to a separate state-owned company effectively changing long-term risk/reward ratio of the stock, in our view.”
1. Martin Marietta Materials, Inc. (NYSE:MLM)
Market Capitalization: $28.3 billion
Number of Hedge Fund Holders: 47
Value of Hedge Fund Holdings: $2,995,804,700
Martin Marietta Materials, Inc. (NYSE:MLM) is a Raleigh, North Carolina-based provider of aggregates and heavy building materials. The company has a presence in 26 countries in the US, alongside Canada and the Caribbean.
Martin Marietta Materials, Inc. (NYSE: MLM) incorporates magnesium oxide as a crucial ingredient in its cement processing operations. Magnesium oxide is blended with cement to effectively control its setting time and to enhance the strength of the concrete product. The company has a proprietary cement recipe known as MagChem that comprises magnesium oxide and is used for projects like rapid road repairs.
Here’s what The London Company said about Martin Marietta Materials, Inc. (NYSE:MLM) in its Q2 2023 investor letter:
“Martin Marietta Materials, Inc. (NYSE:MLM) – Shares of MLM outperformed during Q2, driven by improving sentiment around construction activity, along with strong quarterly results that demonstrated robust pricing power and continued margin expansion. Visibility in demand is improving with tailwinds supporting heavy non-residential and infrastructure projects over the medium-term, likely offsetting any temporary weakness in residential and light commercial activity. The company’s leadership position within aggregates and exposure to financially healthy states gives us confidence that it will benefit from growth in infrastructure and construction spending for many years.”
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