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Why TMC the Metals Company Stock Is Soaring Today

July 10, 2025
03:10 PM
2 min read
AI Enhanced
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S of TMC the Metals Company (TMC 8. 93%) are jumping on Thursday, up 8. 6% as of 2:46 p. The rise comes as the S&P 500 (^GSPC 0. 27%)...

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investment

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Published

July 10, 2025

03:10 PM

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S of TMC the Metals Company (TMC 8. 93%) are jumping on Thursday, up 8. 6% as of 2:46 p

The rise comes as the S&P 500 (^GSPC 0. 27%) and Nasdaq Composite (^IXIC 0. 09%) gained 0. 1%, respectively

TMC's stock is getting a boost from a major deal announced this morning between the Pentagon and another mining company

The Trump administration is backing rare earths Last week, President Trump mused the possibility of the federal government in domestic rare earth mining

Is extremely dependent on foreign rare earth elements -- especially from China -- which are critical to many key defense systems

This morning, MP Materials, which owns the only operational rare earth mine in the U. , announced that the Department of Defense (DoD) is $400 million in the company

The deal will see the DoD become the largest holder, controlling nearly twice the s of CEO James Litinsky and the next-largest holder, BlackRock Advisors

Image source: Getty Images

More deals could be coming Rare earth and critical mineral mining companies across the board saw their s lifted by the news on the hope that the Trump administration would make additional deals

Although the administration hasn't explicitly stated it will, it has indicated as much

TMC could very well be the beneficiary of a similar deal

Still, this is pure speculation

There are no guarantees

There's a lot of hype behind TMC -- it is entirely pre-revenue -- and I would stay away from the stock unless you have a particularly high risk tolerance and are willing to lose your investment

However, there is a significant upside if things pan out

Johnny Rice has no position in any of the stocks mentioned

The Motley Fool recommends MP Materials

The Motley Fool has a disclosure policy.