Comstock Mining (LODE) Q2 Earnings & Revenues Miss Estimates

Comstock Mining LODE recently announced selected financial results for the second quarter of 2022. LODE reported a loss per share of 20 cents in the quarter, comparing unfavorably with the Zacks Consensus Estimate of a loss of 6 cents. LODE had reported a loss per share of 15 cents in the year-ago quarter. Results were primarily affected by increases in research and development expenditures, and changes in fair values of derivatives.

Revenues of $0.05 million missed the Zacks Consensus Estimate of $1 million. The figure also compared unfavorably with the year-ago revenues of $0.06 million.

Operating expenses came in at $5.9 million in the second quarter of 2022. The figure includes selling, general and administrative expenses of $2.5 million, and research and development expenses of $2.6 million, and depreciation of $0.8 million.

Comstock Inc. Price, Consensus and EPS Surprise

Comstock Inc. price-consensus-eps-surprise-chart | Comstock Inc. Quote

As of Jun 30, 2022, Comstock Mining had $4.34 million worth cash and equivalents. As of the end of second-quarter 2022 end, total assets were around $118 million compared with $115 million as of Mar 31, 2022. LODE initiated non-strategic asset monetization efforts expected to generate $20 million from asset sales over the next two quarters.

Comstock Mining recently filed for a new patent covering breakthrough pathways to produce renewable diesel, sustainable aviation fuel gasoline and marine fuel from woody biomass. t is expected to have better yield, efficiency and cost than other known methods.. This move will significantly expand LODE’s leading cellulosic technology portfolio.

LODE also recently commissioned its proprietary lithium-ion battery (“LIB”) pilot crushing, separation and conditioning system. Comstock Mining expects production of high-purity black mass to start in its battery metal recycling facility by the second quarter of 2023. Production of battery-grade lithium carbonate is expected to commence in its battery metal recycling plant by the third quarter of next year.

Price Performance

Image Source: Zacks Investment Research

Shares of Comstock Mining have plunged 79.2% in the past year compared with the industry’s decline of 11%.

Zacks Rank & Stocks to Consider

Comstock Mining currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the basic materials space are Cabot Corporation CBT, Ashland Global Holdings Inc. ASH and Albemarle Corporation ALB.

Cabot, currently sporting a Zacks Rank #1 (Strong Buy), has an expected earnings growth rate of 22.5% for the current fiscal year. The Zacks Consensus Estimate for CBT's earnings in the current fiscal year has been revised 0.8% upward in the past 60 days. You can see the complete list of today’s Zacks #1 Rank stocks here.

Cabot’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, the average being 16.2%. CBT has gained around 35% over a year.

Ashland, currently carrying a Zacks Rank #2 (Buy), has a projected earnings growth rate of 50.9% for fiscal 2022. The Zacks Consensus Estimate for ASH’s fiscal 2022 earnings has been revised 10.5% upward in the past 60 days.

ASH’s earnings beat the Zacks Consensus Estimate in three of the trailing four quarters and missed the same once. Ashland has a trailing four-quarter earnings surprise of roughly 1.82%, on average. Its shares have been up around 22.1% in a year.

Albemarle has a projected earnings growth rate of 247% for the current year. The Zacks Consensus Estimate for ALB’s current-year earnings has been revised 7.8% upward in the past 60 days.

Albemarle’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, the average being 20%. ALB has gained roughly 18% in a year and has a Zacks Rank of 2 at present.

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