ASX:NIC

Nickel Industries is under Algo Engine buy conditions. Value-accretive acquisitions and stronger long-term earnings will underpin future share price gains.

NIC is expanding further into battery materials. The company is investing US$169 million for a 17.5% stake in the TMI HPAL project and acquiring a 36% interest in the CNE HPAL project, increasing exposure to higher-value mixed hydroxide precipitate (MHP) used in EV batteries.

EBITDA to increase from US$530 million in 2026 to US$900 million in 2027 and over US$1.1 billion in 2028, driven by production growth from new HPAL assets and improving operating leverage.

net debt is expected to transition to a net cash position by 2028, providing capacity for higher dividends and future growth investments.

Nickel Industries

Nickel Mines is a nickel miner, and pig iron producer focused on several Indonesian projects in partnership with the world’s largest stainless-steel maker Tsingshan.

The share price fall is related to uncertainty regarding its JV partner Tsingshan. LME Nickel price volatility spiked, with prices doubling from $45/kg to >US$100/kg before trading was suspended. The news suggests a large nickel producer facing margin calls on nickel derivative losses caused a short squeeze due to Russian supply disruption and limited spot inventory. China’s Tsingshan is reported to be the entity with exposure.

Nickel Mines is under Algo Engine buy conditions.

Nickel Mines is under Algo Engine buy conditions.