First Majestic Silver Corp. (NYSE:AG – Get Free Report) (TSE:FR) shares rose 9.3% during mid-day trading on Thursday after the company announced better than expected quarterly earnings. The stock traded as high as $24.86 and last traded at $24.6980. Approximately 7,144,423 shares traded hands during trading, a decline of 74% from the average daily volume of 27,307,006 shares. The stock had previously closed at $22.60.
The mining company reported $0.30 earnings per share for the quarter, topping the consensus estimate of $0.27 by $0.03. First Majestic Silver had a net margin of 13.12% and a return on equity of 7.41%. The company had revenue of $463.92 million for the quarter, compared to analysts’ expectations of $561.30 million. During the same period in the prior year, the business earned $0.03 earnings per share. First Majestic Silver’s revenue for the quarter was up 169.2% compared to the same quarter last year.
First Majestic Silver Increases Dividend
The business also recently announced a quarterly dividend, which will be paid on Monday, March 16th. Investors of record on Friday, February 27th will be given a $0.0083 dividend. This represents a $0.03 annualized dividend and a yield of 0.1%. This is a boost from First Majestic Silver’s previous quarterly dividend of $0.01. The ex-dividend date is Friday, February 27th. First Majestic Silver’s dividend payout ratio (DPR) is presently 5.71%.
Key First Majestic Silver News
- Positive Sentiment: Earnings beat & return to profitability — First Majestic reported Q4 EPS of $0.30 vs. $0.27 consensus and swung to profit for the year, which is the primary catalyst investors are rewarding. This underpins the rally and supports sentiment that operational leverage to silver is working in a rising-price environment. Earnings Press Release
- Positive Sentiment: Dividend hike — the company raised its quarterly payout ~59.6% to $0.0083 (annualized yield ~0.1%), signaling stronger cash flow and returning capital to shareholders, which supports the bullish narrative. Dividend & Results Release
- Positive Sentiment: Unusually large call option activity — traders bought ~109,053 call options (≈+51% vs. average), indicating short-term bullish positioning that can amplify upside intraday/near-term. (No external link provided)
- Neutral Sentiment: Revenue missed expectations — Q4 revenue was $463.9M versus ~$561.3M consensus, a notable shortfall that tempers the EPS beat and reminds investors that volumes/realizations matter; keep an eye on guidance and silver price sensitivity. Earnings Snapshot
- Neutral Sentiment: Media coverage and investor notes highlighted the turnaround and dividend, helping momentum but also attracting short-term traders; monitor volume and whether buying is sustained. Example coverage: Yahoo Article and Insidermonkey Article
- Negative Sentiment: Analyst downgrade — Seeking Alpha published a “double downgrade” note warning that leverage to silver can cut both ways, which could pressure sentiment if silver prices pull back or operational metrics disappoint. Seeking Alpha Downgrade
Analysts Set New Price Targets
AG has been the topic of a number of research reports. Cormark raised First Majestic Silver from a “hold” rating to a “moderate buy” rating in a report on Thursday, November 6th. Weiss Ratings reiterated a “hold (c-)” rating on shares of First Majestic Silver in a research report on Wednesday, January 21st. HC Wainwright lifted their price target on shares of First Majestic Silver to $30.00 and gave the stock a “buy” rating in a research note on Friday. Wall Street Zen lowered shares of First Majestic Silver from a “buy” rating to a “hold” rating in a report on Sunday, November 16th. Finally, Scotiabank increased their target price on shares of First Majestic Silver from $12.50 to $23.00 and gave the company a “sector perform” rating in a report on Monday, January 26th. One equities research analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating and three have given a Hold rating to the company’s stock. According to MarketBeat.com, First Majestic Silver presently has an average rating of “Moderate Buy” and a consensus price target of $25.00.
Institutional Inflows and Outflows
Several hedge funds have recently made changes to their positions in the company. Lodestone Wealth Management LLC purchased a new stake in First Majestic Silver during the 4th quarter valued at $25,000. EFG International AG purchased a new stake in shares of First Majestic Silver during the fourth quarter worth about $25,000. Bogart Wealth LLC bought a new stake in shares of First Majestic Silver in the third quarter worth about $28,000. Spire Wealth Management bought a new stake in shares of First Majestic Silver in the fourth quarter worth about $35,000. Finally, Sound Income Strategies LLC increased its holdings in First Majestic Silver by 29,900.0% during the 3rd quarter. Sound Income Strategies LLC now owns 3,000 shares of the mining company’s stock valued at $37,000 after purchasing an additional 2,990 shares during the period. 27.16% of the stock is owned by hedge funds and other institutional investors.
First Majestic Silver Price Performance
The company has a debt-to-equity ratio of 0.07, a quick ratio of 2.96 and a current ratio of 3.38. The business has a 50-day simple moving average of $20.51 and a 200 day simple moving average of $14.76. The firm has a market cap of $13.57 billion, a P/E ratio of 78.68 and a beta of 0.85.
First Majestic Silver Company Profile
First Majestic Silver Corp. (NYSE:AG) engages in the production of silver from its wholly owned operations in Mexico. Headquartered in Vancouver, British Columbia, the company focuses on acquiring, developing and operating high-grade silver projects. Established in 2002, First Majestic has built a multi-mine portfolio to supply silver primarily for the global industrial and investment markets while generating by-products such as gold, lead and zinc concentrates.
First Majestic’s principal operations are located in the historic Mexican Silver Belt, with producing mines including La Encantada in Coahuila, Santa Elena in Sonora and La Parrilla in Durango.
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