TMC the metals company (TMC) Drops 9.7% After 4-Day Run, Here’s Why

We recently published 10 Stocks Already Hurting in December. TMC the metals company Inc. (NASDAQ:TMC) is one of the top performers on Monday.

TMC the metals company finished 9.70 percent lower on Monday at $6.28 apiece as investors resorted to profit-taking following four straight days of rally.

The recent boost was driven by copper hitting a new record high amid tighter supply and a weaker US dollar.

TMC the metals company Inc. (NASDAQ:TMC) is a Canada-based deep-sea mining exploration company focusing on nickel, copper, cobalt, and manganese nodules in the Clarion Clipperton Zone.

Despite being a Canadian firm, TMC the metals company Inc. (NASDAQ:TMC)—through its US subsidiary—submitted its interest with the US government earlier this year to engage in deep-sea mining in the international seabed.

In recent news, the company reported a dismal earnings performance in the third quarter of the year, having widened its net loss and comprehensive loss by 800 percent to $189.39 million from $20.5 million in the same period last year.

Operating loss expanded by 177 percent to $55.36 million from $19.96 million year-on-year, dragged by non-cash and non-recurring items, including share-based compensation impacted by one-time grants, fair value changes in the royalty and warrant liabilities, and the recognition of warrant costs associated with updated sponsorship agreements.

While we acknowledge the risk and potential of TMC as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than TMC and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.