On March 08, Westwater Resources Inc. (WWR) stock rallied in the after-hours to add a huge 15.24%. While there was no official announcement or SEC filing, there were multiple new developments in the market. Reports regarding increasing focus on electric and alternative fuel vehicles and networks along with the expected growth of the graphite industry resulted in the bullishness of the stock.
During the regular trading session, the stock remained in the green with a gain of 2.94%. Intraday trading, WWR varied between $1.96 and $2.39 while 12.08 million shares exchanged hands. The day’s volume remained super active at 1,317% of the average 917.39K shares. In the following after-hours session, the stock’s bullishness escalated as it increased by a further 15.24% or $0.32. Hence, the stock was trading at a price of $2.42 per share in the after-hours as 635.78K shares traded.
The mineral resources developer, Westwater Resources Inc. is focused on battery graphite business development in Alabama state. Currently, its 35.37 million outstanding shares trade at a market capitalization of $72.12 million.
Market News and Developments
On March 8, National Governors Association (nga.com) reported a detailed article on the growing focus of electric and alternative fuel vehicles and networks among governors in 2022. According to the report, in the Governors’ 2022 State of the State addresses, the adoption of electric and alternative fuel vehicles and charging infrastructure has been a focus. The article further stated that battery-powered EVs are expected to grow to at least 20 million near the end of this decade. The number was approximately 2 million last year. Furthermore, it was only recently that President Joe Biden signed an Executive Order for a 50% zero-emission vehicle target by 2030.
Additionally, another report on GlobalNewswire detailed the graphite market growth in the upcoming years. The graphite market is expected to grow from USD 14.83 billion in 2021 to USD 25.70 billion in 2028. While recently the market had suffered from a massive decline in 2020, it is back on a bullish roll for the future. Therefore, graphite being the lithium-ion battery industry’s major component, is expecting huge growth in the near future.
WWR’s 2021 Year-end Results
On February 14, WWR provided its year-end results for 2021.
In fiscal 2021, the company incurred a net loss of $16.1 million or $0.49 per share, from continuing operations. Moreover, the net loss from discontinuing operations was $9.7 million in 2021.
The net cash used in operations increased $1.7 million as a result of increased graphite product development and related costs.
