Why TMC The Metals Company Skyrocketed Last Week
TMC The Metals Company stock surged 16.5% and is now up more than 580% year to date.
The stock's big gains are being driven by expectations that the company will receive approval to begin its seabed mining operations.
Adversarial relations between the U.S. and China have created a backdrop that has made TMC's seabed mining capabilities more valuable.
10 stocks we like better than TMC The Metals Company ›
TMC The Metals Company (NASDAQ: TMC) stock posted strong gains over the past week of trading. The seabed mining specialist's share price rose 16.3% over the stretch. Meanwhile, the S&P 500 index climbed 0.6%.
While there wasn't any major news for the company in the week, TMC stock continued to see strong bullish momentum thanks to the possibility that the company will score a major regulatory approval in the not-too-distant future. Its share price has skyrocketed 158% over the past three months and 582% year to date.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Learn More »
Investors stay bullish on TMC's seabed mining bet
In light of tense relations between the U.S. and China, access to rare earth minerals has become a key strategic priority for the Trump administration. The dynamic has helped to power huge gains for TMC stock, and its share price booked another week of big gains this week despite no fresh bullish news developments.
In April, President Trump signed an executive order to accelerate the the review process for mining applications. TMC quickly submitted its first application for seabed mining approval, and investors have been betting that the company could soon be given the go-ahead to commence operations.
Could recent Nvidia news derail TMC's rally?
Despite posting strong gains in this week's trading, there may have actually been a significant bearish development for the mining specialist. After a meeting between Nvidia CEO Jensen Huang and President Trump, the artificial intelligence (AI) hardware leader announced that it was on track to receive export licenses to sell its H20 processors in China. The sale of the processors into the Chinese market was effectively banned by the Trump administration earlier this year, but it looks like the export licenses are now being granted as part of ongoing trade negotiations.
U.S. government officials have said that the shift on the export license stance is connected to negotiations to secure access to Chinese rare earth minerals. While a deal on rare earth minerals could cause substantial volatility for TMC stock, it's also likely that the U.S. will still continue making moves to bolster its domestic mineral sourcing capabilities.
Should you invest $1,000 in TMC The Metals Company right now?
Before you buy stock in TMC The Metals Company, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and TMC The Metals Company wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $652,133!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,056,790!*
Now, it's worth noting Stock Advisor's total average return is 1,048% — a market-crushing outperformance compared to 180% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor.
See the 10 stocks »
*Stock Advisor returns as of July 15, 2025
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Globe and Mail
39 minutes ago
- Globe and Mail
Pre-Markets Up Again on Big News Morning
Tuesday, July 29, 2025 Pre-market futures are up at this hour on a bevy of new information this morning — from a vast array of earnings reports to key economic prints to a massive railway merger likely to pass its government board. The Dow is currently dipping a tad, +12 points, the S&P 500 is +11 points and the Nasdaq is +88 at this hour. The small-cap Russell 2000 is also up +12 points presently. Trans-Continental Railway Deal Struck In what would never have passed regulatory muster under the previous presidential administration, this morning we hear of a deal where Union Pacific UNP will be purchasing Norfolk Southern NSC for a reported price of $72 billion, or $320 per share. This would create the first-ever trans-continental railroad in the U.S. Of course, this deal would first need to pass via the Surface Transportation Board, but President Trump is likely to see this deal as favorable for the U.S. (despite monopolistic considerations), and has the power to appoint a new member to the board who would view this merger as favorable, as well. Both UNP and NSC are lower on this announcement. Trade Balance Eases on Tariff Outlook The Advanced U.S. Trade Balance in Goods for June to a healthy pullback month over month to -$86 billion. This pullback is greater than expected, although it was led by a decline in imports (-4.2%),which analysts were looking toward. We're seeing a slow-down in trade based on higher tariff expectations; as deals are made with U.S. trading partners and tariff deadlines fade, we're thankfully well off the record-low trade balance of -$162 billion in March of 2025. Q2 Earnings Roundup: Boeing, P&G, Spotify & More So many companies reporting earnings, so little time! We'll pull together a quick roundup on this busiest day of Q2 earnings season so far: Boeing BA continues to make improvements to its previously dire business situation: negative earnings in Q2 of -$1.24 per share improved over the Zacks consensus by 30 cents, or a +19.5% bottom-line surprise. On the top line, revenues of $22.75 billion outpaced estimates by +4.1%, as deliveries improved in the quarter. Shares are up another +1.4% in early trading, adding to its +33.6% gains year to date. For more on BA's earnings, click here. UnitedHealth's UNH struggles continue, on the other hand, missing on its bottom line — $4.08 per share versus $4.84 expected — by -15.7%. Revenues of $111.6 billion eked out a beat over estimates by +0.06%. Guidance has been revised somewhat lower, and the -44.2% share price year to date is now another -3.3% in the pre-market. For more on UNH's earnings, click here. It wasn't all bad news: Royal Caribbean RCL demonstrated strength in cruise-line business, and the company's earnings of $4.38 per share in the quarter surged past the Zacks consensus by +6.8%, even as revenues of $4.54 billion marginally missed projections. The stock's -6.7% sell-off ahead of the bell looks to be a bit of profit-taking, as RCL had been up +52.6% year to date. For more on RCL's earnings, click here. But Spotify SPOT took a big slide on both top and bottom lines this morning, even as paying subscriptions and monthly active users grew. A negative -$0.48 per share swung to a loss from the +$2.13 Zacks consensus estimate, for a negative earnings surprise of -122.5%. Revenues of $4.76 billion came in lower than expected by -3.47%. Shares had been +56.7% year to date, but are -7.3% in pre-market at this hour. For more on SPOT's earnings, click here. Questions or comments about this article and/or author? Click here>> Higher. Faster. Sooner. Buy These Stocks Now A small number of stocks are primed for a breakout, and you have a chance to get in before they take off. At any given time, there are only 220 Zacks Rank #1 Strong Buys. On average, this list more than doubles the S&P 500. We've combed through the latest Strong Buys and selected 7 compelling companies likely to jump sooner and climb higher than any other stock you could buy this month. You'll learn everything you need to know about these exciting trades in our brand-new Special Report, 7 Best Stocks for the Next 30 Days. Download the report free now >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report The Boeing Company (BA): Free Stock Analysis Report UnitedHealth Group Incorporated (UNH): Free Stock Analysis Report Union Pacific Corporation (UNP): Free Stock Analysis Report Norfolk Southern Corporation (NSC): Free Stock Analysis Report Royal Caribbean Cruises Ltd. (RCL): Free Stock Analysis Report Spotify Technology (SPOT): Free Stock Analysis Report
Globe and Mail
39 minutes ago
- Globe and Mail
Should You Buy, Sell, or Hold MSTR Stock Before Q2 Earnings?
MicroStrategy MSTR, doing business as 'Strategy,' is set to report its second-quarter 2025 results on July 31. The Zacks Consensus Estimate for second-quarter revenues is currently pegged at $112.15 million, indicating growth of 0.64% year over year. The consensus mark for loss is currently pegged at 12 cents per share, unchanged over the past 30 days. The company reported a loss of 76 cents per share in the year-ago quarter. MicroStrategy Incorporated Price and EPS Surprise Let's see how things are shaping up prior to this announcement. Factors to Note for MSTR's Q2 Earnings Strategy is the world's largest bitcoin treasury company, holding 607,770 Bitcoins as of July 20, 2025. In July, Strategy acquired 6,220 Bitcoins for $739.8 million. In early June, Strategy acquired 10,100 bitcoins for $1.05 billion. Strategy is expected to have benefited from the Trump administration's announcement of the establishment of a strategic bitcoin reserve. Bitcoin, the most popular cryptocurrency, has been soaring due to increasing acceptance as a non-sovereign asset, as well as higher institutional and corporate adoption. MSTR is expected to have benefited from increasing bitcoin yield, which was 13.7% year to date (as of April 28, 2025). This is expected to keep the company on track to reach the full-year target of 25% and the bitcoin dollar gain target of $15 billion. Bitcoin gains in dollar terms were $4.1 billion in the first quarter of 2025 and $5.8 billion as of April 28, 2025. Strategy is expected to have benefited from growing software subscription revenues that surged 62% year over year to $37.1 million and accounted for 33% of first-quarter 2025 total revenues. Subscription billings grew 38% year over year to $24.5 million. The trend is expected to have continued in the to-be-reported quarter. MSTR Shares Outperform Sector, Industry Strategy shares have returned 39.4% year to date (YTD), outperforming the Zacks Computer & Technology sector's return of 11.3% and the Zacks Computer Software industry's 19.4%. MSTR shares have outperformed MARA Digital MARA and Tesla TSLA YTD, but lag Riot Platform RIOT. While MARA Digital and Riot Platform shares returned 2.3% and 42.1%, respectively, Tesla dropped 19.4%. MSTR Stock's Performance Strategy stock is not so cheap, as the Value Score of F suggests a stretched valuation at this moment. In terms of Price/Book, MSTR is trading at 3.43X, higher than MARA Digital's 1.62X and Riot Platform's 1.76X. MSTR's Benefits Growing From Growing Bitcoin Holding The passing of the GENIUS Act on July 17 provides a legal background to stablecoins. Other pending regulations — The CLARITY Act and The Anti-CBDC Surveillance State Act — bode well for cryptocurrency enthusiasts. The improving favorable regulatory environment bodes well for Strategy, although Bitcoin's volatility is a headache. Strategy estimates to generate net proceeds of $2.474 billion from the initial public offering of 28,011,111 shares of Variable Rate Series A Perpetual Stretch Preferred Stock (the 'STRC Stock'), at a public offering price of $90 per share. Strategy has issued $20.9 billion in equities and $6.4 billion in fixed income securities as part of its 21/21 plan since Oct. 30, 2024. The company has $14.6 million remaining under fixed income securities and $0.1 million under equities as part of the existing plan. Strategy currently plans to raise $42 billion through equity issuance and $42 billion through fixed income securities by the end of 2027. Under the current plan, the company has $21.1 billion in equity and $35.6 billion in fixed income securities remaining to be issued. Strategy is expanding AI capabilities with the general availability of Mosaic, an AI-powered Universal Intelligence Layer. This launch aligns with the company's shift toward cloud-first, subscription-based services. The company benefits from continuing cloud demand with its flagship Strategy One that powers some of the largest analytics deployments in the world. Strategy One supports varied industries, including retail, banking, technology, manufacturing, insurance, consulting, healthcare, telecommunications and the public sector. Conclusion Bitcoin's inherent volatility, along with Strategy's stretched valuation, makes the MSTR stock a risky bet ahead of the second quarter of 2025. Strategy currently has a Zacks Rank #3 (Hold), which implies that investors should wait for a better entry point to accumulate the stock. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Higher. Faster. Sooner. Buy These Stocks Now A small number of stocks are primed for a breakout, and you have a chance to get in before they take off. At any given time, there are only 220 Zacks Rank #1 Strong Buys. On average, this list more than doubles the S&P 500. We've combed through the latest Strong Buys and selected 7 compelling companies likely to jump sooner and climb higher than any other stock you could buy this month. You'll learn everything you need to know about these exciting trades in our brand-new Special Report, 7 Best Stocks for the Next 30 Days. Download the report free now >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Tesla, Inc. (TSLA): Free Stock Analysis Report MicroStrategy Incorporated (MSTR): Free Stock Analysis Report Marathon Digital Holdings, Inc. (MARA): Free Stock Analysis Report Riot Platforms, Inc. (RIOT): Free Stock Analysis Report
Globe and Mail
2 hours ago
- Globe and Mail
Stock Market News for Jul 29, 2025
Wall Street closed mixed on Monday, pulled up by tech and energy stocks. Markets cautiously considered the new trade framework agreed upon by the European Union and the Trump administration while waiting for the Fed's July meeting. Two of the three benchmark indexes closed in the green, while one finished in the red. How Did the Benchmarks Perform? The Dow Jones Industrial Average (DJI) slid 0.1%, or 64.36 points, to close at 44,837.56. Sixteen components of the 30-stock index ended in negative territory, while 14 ended in positive. The tech-heavy Nasdaq Composite gained 70.27 points, or 0.3%, to close at 21,178.58. The S&P 500 added 1.13 points, or less than 0.1%, to remain virtually unchanged at 6,389.77. Eight of the 11 broad sectors of the benchmark index closed in the red. The Real Estate Select Sector SPDR (XLRE), the Materials Select Sector SPDR (XLB) and the Utilities Select Sector SPDR (XLU) declined 1.7%, 1.5% and 1.1%, respectively, while the Energy Select Sector SPDR (XLE) gained 1.1%. The fear gauge CBOE Volatility Index (VIX) increased 0.7% to 15.03. A total of 17.58 billion shares were traded on Monday, lower than the last 20-session average of 17.84 billion. Decliners outnumbered advancers by a 1.81-to-1 ratio on the NYSE, and by a 1.48-to-1 on the Nasdaq. Markets Cautiously Weigh Tariff Developments On Monday, global markets responded positively but cautiously to the newly agreed trade framework between the European Union ('EU') and the United States. The deal, which averted a potential tariff escalation set for Aug. 1, brought relief to investors worried about a renewed transatlantic trade war. Equity markets in both regions opened higher, with particular gains in sectors directly tied to the agreement, such as automobiles, aerospace and energy. The framework outlined a 15% U.S. import tariff on most EU goods, significantly lower than the threatened 30%, while preserving higher duties on steel and aluminum. The EU, in turn, committed to purchasing $750 billion worth of U.S. energy and investing heavily in American infrastructure and technology sectors. These moves reassured markets that key supply chains would remain intact and that cross-border investments would continue to flow. However, despite the initial rally, gains were pared as investors digested the broader implications. Much of the optimism had probably already been priced in, and concerns lingered over the long-term impact of persistent tariffs on strategic industries. The euro saw a brief uptick against the U.S. dollar before stabilizing, while commodity and industrial stocks exposed to metal tariffs showed limited enthusiasm. Overall, the trade framework provided a near-term boost to sentiment, driven largely by relief that the worst-case tariff scenario had been avoided. Investors are currently keeping a keen eye on the outcome of the Fed's July meeting, though it is widely expected that interest rates will not come down before September. Consequently, shares of Advanced Micro Devices, Inc. AMD and Williams-Sonoma, Inc. WSM added 4.3% and 3.6%, respectively. Both currently carry a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Oil Prices Rise 2% on the U.S.-EU Deal Oil prices jumped 2% on Monday on reports of a trade deal between the United States and the EU, and President Trump's announcement that he would shorten the deadline for Russia to end its war in Ukraine. Brent crude increased by $1.60, or 2.3%, to close at $70.04 a barrel. WTI crude rose $1.55, or 2.4%, to close at $66.71. No economic data was released on Monday. Higher. Faster. Sooner. Buy These Stocks Now A small number of stocks are primed for a breakout, and you have a chance to get in before they take off. At any given time, there are only 220 Zacks Rank #1 Strong Buys. On average, this list more than doubles the S&P 500. We've combed through the latest Strong Buys and selected 7 compelling companies likely to jump sooner and climb higher than any other stock you could buy this month. You'll learn everything you need to know about these exciting trades in our brand-new Special Report, 7 Best Stocks for the Next 30 Days. Download the report free now >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Williams-Sonoma, Inc. (WSM): Free Stock Analysis Report
