Hecla Mining Q4 Earnings on the Deck: How to Approach the Stock Now?

Hecla Mining Company HL is scheduled to release fourth-quarter 2025 results on Feb. 17, after market close. The Zacks Consensus Estimate for earnings is currently pegged at 14 cents per share on revenues of $358.5 million.

Fourth-quarter earnings estimates have increased a penny over the past 60 days. The bottom-line projection indicates an increase of 250% from the year-ago number. Also, the Zacks Consensus Estimate for quarterly revenues indicates a year-over-year increase of 43.6%.

HL’s Earnings Surprise History

Hecla Mining’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters. The company has a trailing four-quarter earnings surprise of 25.6%, on average.

Earnings Whispers for HL

Our proven model does not conclusively predict an earnings beat for HL this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here, as elaborated below.

Earnings ESP: HL has an Earnings ESP of 0.00% as both the Most Accurate Estimate and the Zacks Consensus Estimate are pegged at 14 cents per share. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.

Zacks Rank: HL presently carries a Zacks Rank of 2. 

You can see the complete list of today’s Zacks #1 Rank stocks here.

Factors Likely to Have Shaped Hecla Mining’s Q4 Performance

HL is strengthening its position as a leading North American precious metals producer, supported by strong silver prices, stable operations and disciplined capital deployment. The company recently released its 2025 production update, offering an insight into its expected performance. In the year, HL produced 17.0 million ounces of silver, up 5% from the previous year. 

The increase in silver production was mainly driven by Hecla Mining’s core operating assets, led by the Greens Creek mine in Alaska. During 2025, Greens Creek produced 8.7 million ounces of silver, up 3% compared with 2024. Also, capital investment at Greens Creek in the fourth quarter of 2025 is expected to have increased due to ongoing projects and early-stage work on the dry-stack tailings expansion project.

HL’s Lucky Friday project also delivered improved performance during the year. The mine produced 5.3 million ounces of silver, driven by higher milled grades and throughput. The surface cooling project at the mine continues to progress and is expected to be completed in the first half of 2026, which should allow access to deeper, higher-grade ore and extend the mine life.

In 2025, the Keno Hill project produced 3.02 million ounces of silver in the year (up 9% year over year), supported by improved power reliability and higher milling rates. HL continues to advance Keno Hill toward commercial production through ongoing investment in critical infrastructure. Overall, in the fourth quarter, the company’s revenues are expected to have benefited from higher silver volumes.

However, the company continues to face cost pressures. Hecla Mining reported an increase in its all-in-sustaining costs (AISC) per ounce, a key indicator of cost efficiency in mining. Higher labor costs and increased sustaining capital spending led to elevated operating expenses over the past few quarters. All these factors are anticipated to have weighed on margins in the fourth quarter.

HL’s Price Performance

The company’s shares have surged 172.8% in the past six months, outperforming the industry and the S&P 500, which have returned 137% and 9.4%, respectively. In comparison, the company’s peers like Avino Silver & Gold Mines Ltd. ASM and First Majestic Silver Corp. AG have gained 144.3% and 143.7%, respectively, over the same time frame.

Six-Month Price Performance

Valuation

From a valuation standpoint, Hecla Mining is trading at a trailing price-to-earnings ratio of 33.17X compared with the industry average of 19.77X. In comparison, Avino Silver and First Majestic are trading at 26.07 and 55.03X, respectively.

Price-to-Earnings (Forward 12 Months)

Investment Thesis

Hecla Mining is strengthening its position as a leading North American silver producer, supported by higher production from key assets, along with favorable silver prices that should drive revenue growth. Ongoing investments in infrastructure and mine-life extensions improve long-term production visibility and operational stability. While rising labor and sustaining capital costs are pressuring the margins, disciplined capital deployment and improved mine performance are providing a tailwind to fourth-quarter performance.

Should You Buy HL Now?

Strong performance at Greens Creek, Lucky Friday and Keno Hill mines and exploration projects positions Hecla Mining for sustained growth in the quarters ahead. With a positive analyst sentiment and robust growth prospects, Hecla Mining is well-positioned to deliver sustained growth and shareholder value. We believe that HL stock is an ideal candidate for an investor's portfolio addition.

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This article originally published on Zacks Investment Research (zacks.com).

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