Almonty Industries (ALM) is positioned to benefit from a tight tungsten market supported by strong semiconductor and defense demand, Oppenheimer said Wednesday in a report.

Prices are expected to remain elevated through 2030 given limited new supply, China's status as a net importer, and recycled material unlikely to ease tight conditions in the near term, the report said.

Almonty's Sangdong project in South Korea is expected to begin generating data in June and move to Phase 1 production in July, with Phase 2 planning underway, Oppenheimer said. Longer-term growth may come from expansion at the Panasqueira mine in Portugal and development of a downstream oxide facility at Sangdong, the report said.

Upcoming catalysts include production updates from Sangdong, potential inclusion in equity indexes later this month, and progress on expansion projects and capital allocation as free cash flow improves, the report said.

Oppenheimer raised its price target on Almonty's stock to $25 from $22 and maintained its outperform rating.

Price: 20.54, Change: -0.11, Percent Change: -0.56