Why Hudbay Minerals Inc. (HBM) Went Down Last Week

We recently compiled a list of the 10 Stocks That Underperformed Last Week. In this article, we are going to take a look at where Hudbay Minerals Inc. (NYSE:HBM) stands against the other stocks.

Wall Street’s main indices ended in a bloodbath on Friday, as investors soured on a flurry of macroeconomic factors such as concerns over a slowing economy and a sticky inflation that tempered buying appetite.

Friday’s finish saw the Dow Jones decline by 1.69 percent, the S&P drop by 1.71 percent, and the tech-heavy Nasdaq nosedive by 2.20 percent.

Ten companies, in particular, were heavily hit, registering mostly double-digit losses on a week-on-week basis.

We have listed 10 names that performed poorly last week and detailed the reasons behind their declines. Please note that shares performances were based on the companies’ closing prices last Friday, February 21, as against their prices on February 14, or a week earlier.

To come up with last week’s biggest losers, we considered only the stocks with $2 billion in market capitalization and $5 million in daily trading volume.

An aerial view of a copper mine, showing the intricate workings of heavy machinery.

Hudbay Minerals Inc. (NYSE:HBM)

Hudbay Minerals Inc. (NYSE:HBM) fell by 21.7 percent last week, after finishing Friday’s trading at $7.10 versus the $9.07 registered on February 14, as investors soured on the company’s weak outlook guidance for 2025.

Following the release of its earnings performance where attributable net income fell in both fourth quarter and full-year 2024, Hudbay Minerals Inc. (NYSE:HBM) said it expects consolidated gold production to be lower than in 2024, while consolidated copper production is projected to remain stable as with 2024.

The company said attributable net income declined by 30.9 percent to $21.2 million in the fourth quarter of 2024 from $30.7 million in the same period last year, as revenues dipped 2.87 percent to $584.9 million from $602.2 million.

However, attributable net income for full-year 2024 increased by 15.5 percent to $76.7 million from $66.4 million in 2023, as revenues grew by 19.6 percent to $2.02 billion from $1.69 billion.

Overall HBM ranks 3rd on our list of the stocks that underperformed last week. While we acknowledge the potential of HBM as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is as promising as HBM but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.