Is The Metals Company Stock a Millionaire-Maker?

Key Points

• The Metals Company is focused on deep-sea mining, specifically extracting valuable polymetallic nodules from the Clarion Clipperton Zone.

• These contain essential minerals such as nickel, copper, and cobalt, which are vital for various industries.

• The company has made significant progress this year by choosing a U.S.-based regulatory route for mining permits.

• 10 stocks we like better than TMC The Metals Company ›

Amid geopolitical uncertainty and trade tensions, the U.S. has a renewed focus on invaluable natural resources. One stock investors have been buzzing over is The Metals Company (NASDAQ: TMC). Since November 2024, the stock has skyrocketed by 437%.

Investors have reason to be optimistic. Under U.S. President Donald Trump, the company appears well-positioned to advance in a relatively unexplored deep-sea mining industry. The metals it can extract from the ocean floor are vital for a wide range of industries, including energy, national defense, and infrastructure.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue »

But a big question remains: Can this emerging company become a millionaire-maker stock? Let's dive into the business and the long-term outlook for it.

The Metals Company looks to the ocean for precious minerals

The Metals Company operates a deep-sea minerals exploration company, looking to mine precious minerals found on the deep ocean floor. Exploration takes place in the Clarion Clipperton Zone, an expansive region of the Eastern Pacific that is roughly 1,500 miles southwest of San Diego.

The company is on a mission to discover and refine unique polymetallic nodules. These nodules are treasure troves that contain precious minerals like nickel, copper, cobalt, and manganese. These essential metals play a vital role in the modern world, powering everything from cutting-edge electric vehicle batteries to the robust infrastructure of power grids, electric generators, gas turbines, and even nuclear reactors.

A major de-risking took place this year

This year has been an eventful one for the company. In March, it opted for a U.S.-based regulatory route, aligning itself with the Deep Seabed Hard Mineral Resources Act (DSHMRA) and the National Oceanic and Atmospheric Administration (NOAA). This decision followed over 10 years of stagnation due to delays from the International Seabed Authority (ISA) in establishing a mining code. Industry experts saw this move as a major de-risking event, offering a potentially expedited path for The Metals Company to secure essential permits.

The Trump administration has been vocal in its support for deep-sea mining initiatives. In April, Trump signed an executive order titled "Unleashing America's Offshore Critical Minerals and Resources."

This directive called on the Department of Commerce to speed up permitting processes while empowering the Departments of Defense and Energy to tap into the National Defense Stockpile and forge agreements for seabed minerals. Following the announcement, Alliance Global Partners noted that The Metals Company is "poised to play a key role in the onshoring of the complete critical minerals supply chain."

Image source: Getty Images.

Keep an eye on its capital position

While the news flow has been positive, investors should keep in mind that The Metals Company is currently pre-revenue and does not anticipate earning significant revenues (aside from potential service revenue) until it receives an exploitation contract or commercial recovery permit.

For a pre-revenue company, capital is crucial. In May, The Metals Company raised $37 million in gross proceeds through a registered direct offering with investors included. In June, Korea Zinc, a major non-ferrous metal refiner, made a strategic investment of approximately $85.2 million, acquiring 19.6 million common shares and warrants.

While recent financing has improved its cash position, The Metals Company will require substantial additional funds to complete its programs and start commercial operations. It projects that it could begin production in the fourth quarter of 2027. When it does start steady-state production, it expects to generate approximately $600 per dry ton of nodules.

The company anticipates being profitable in nearly any nickel price environment. The EBITDA margin per ton is expected to be approximately 43%, or $254, during steady-state production, potentially increasing to almost 50% by 2040 with the operation of U.S. refineries. Over the life of its projects, TMC projects an undiscounted revenue of approximately $369 billion and EBITDA exceeding $200 billion.

Is The Metals Company a millionaire-maker stock?

The Metals Company is an intriguing stock that has garnered attention due to its potential role in helping the U.S. secure control over precious resources and minerals. It is positioned as a first mover in the deep-sea mineral collection industry and plans to move from its current exploration stage to commercial production, targeting a 2027 production start.

Whether it can make you a millionaire remains to be seen. Many things would have to go right, including obtaining a permit, moving into production, scaling up, and ultimately achieving profitability. If it does, the stock has solid upside potential.

That said, it is pre-revenue and speculative. If you decide to invest, limit the amount to what you are comfortable with in a high-risk, high-reward stock that will likely take years to pay off. Most importantly, ensure you consistently invest in a diversified portfolio of stocks on your journey toward building long-term wealth.

Should you invest $1,000 in TMC The Metals Company right now?

Before you buy stock in TMC The Metals Company, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and TMC The Metals Company wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $662,520!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,043,346!*

Now, it’s worth noting Stock Advisor’s total average return is 1,056% — a market-crushing outperformance compared to 188% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.

See the 10 stocks »

*Stock Advisor returns as of September 15, 2025

Courtney Carlsen has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.