First Majestic Silver (NYSE:AG) Releases Quarterly Earnings Results, Misses Estimates By $0.04 EPS

First Majestic Silver (NYSE:AG) (TSE:FR) released its quarterly earnings data on Thursday. The mining company reported $0.21 earnings per share for the quarter, missing the consensus estimate of $0.25 by ($0.04), Zacks reports. First Majestic Silver had a net margin of 19.51% and a return on equity of 11.19%. During the same period in the prior year, the firm posted $0.11 EPS. The company’s revenue was up 57.3% compared to the same quarter last year.

Here are the key takeaways from First Majestic Silver’s conference call:

• Positive Sentiment: First Majestic reported strong Q2 results, with revenue up 53% year over year to $416 million, EBITDA up 110% to $252 million, and 3.8 million ounces of silver production. First-half production reached 7.3 million ounces, representing about half of the company’s recently increased full-year guidance.
• Positive Sentiment: The company ended June with approximately $1.25 billion in treasury assets, generated $195 million in quarterly free cash flow, increased its dividend by 270% year over year, and repurchased 1.2 million shares for $22 million.
• Positive Sentiment: Growth projects are advancing at Santa Elena and Jerritt Canyon. Santo Niño development has begun, with first ore targeted for late 2027, Navidad expected roughly 18 months later, and Jerritt Canyon production targeted for Q3 2027 with approximately 80% of planned new positions filled.
• Positive Sentiment: Operating performance remained favorable, including record throughput of 4,070 tonnes per day at Los Gatos and improving throughput at Santa Elena and La Encantada. Metallurgical testing for Santo Niño and Navidad indicated recoveries above 95% for both gold and silver, with higher expected silver grades.
• Negative Sentiment: Capital spending is expected to be heavily back-end loaded in 2026, with Los Gatos slightly behind its development budget. Management also cited potential large future cash requirements for the Mexico tax settlement and the Jerritt Canyon restart, while finished silver inventory rose above 1 million ounces after the company deferred sales during a sharp price decline.

First Majestic Silver Stock Down 0.0%

First Majestic Silver stock traded down $0.01 during mid-day trading on Thursday, reaching $15.21. The company’s stock had a trading volume of 15,550,474 shares, compared to its average volume of 18,108,555. The company has a market capitalization of $7.50 billion, a price-to-earnings ratio of 25.39 and a beta of 0.91. First Majestic Silver has a 12 month low of $7.74 and a 12 month high of $32.03. The business’s 50 day simple moving average is $17.62 and its 200 day simple moving average is $20.84. The company has a debt-to-equity ratio of 0.08, a quick ratio of 2.54 and a current ratio of 2.73.

First Majestic Silver Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, May 29th. Investors of record on Wednesday, May 20th were issued a dividend of $0.0171 per share. The ex-dividend date was Wednesday, May 20th. This is a positive change from First Majestic Silver’s previous quarterly dividend of $0.01. This represents a $0.07 annualized dividend and a yield of 0.4%. First Majestic Silver’s dividend payout ratio is currently 11.67%.

Analyst Ratings Changes

Several analysts have commented on the stock. ATB Cormark Capital Markets upgraded shares of First Majestic Silver from a “hold” rating to a “moderate buy” rating in a report on Friday, July 10th. Wall Street Zen downgraded shares of First Majestic Silver from a “buy” rating to a “hold” rating in a research report on Saturday, July 25th. Weiss Ratings lowered shares of First Majestic Silver from a “hold (c+)” rating to a “hold (c)” rating in a report on Friday, June 5th. Scotiabank cut their price objective on shares of First Majestic Silver from $23.00 to $22.50 and set a “sector perform” rating on the stock in a research report on Tuesday, July 14th. Finally, HC Wainwright reduced their target price on shares of First Majestic Silver from $30.75 to $26.00 and set a “buy” rating for the company in a research note on Friday, July 10th. One analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating and three have issued a Hold rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $23.50.

Hedge Funds Weigh In On First Majestic Silver

A number of large investors have recently modified their holdings of the business. EFG International AG bought a new position in shares of First Majestic Silver in the 4th quarter valued at about $25,000. Quarry LP bought a new stake in First Majestic Silver during the third quarter worth about $57,000. Northwestern Mutual Wealth Management Co. boosted its position in First Majestic Silver by 12,500.0% during the third quarter. Northwestern Mutual Wealth Management Co. now owns 5,040 shares of the mining company’s stock valued at $62,000 after purchasing an additional 5,000 shares during the last quarter. Garton & Associates Financial Advisors LLC acquired a new position in First Majestic Silver during the fourth quarter valued at approximately $83,000. Finally, Banque Cantonale Vaudoise grew its stake in First Majestic Silver by 1,024.6% in the third quarter. Banque Cantonale Vaudoise now owns 9,368 shares of the mining company’s stock valued at $115,000 after purchasing an additional 8,535 shares in the last quarter. 27.16% of the stock is currently owned by institutional investors and hedge funds.

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.