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

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

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 Trading Down 0.0%

NYSE AG traded down $0.01 on Thursday, reaching $15.21. The company had a trading volume of 15,550,474 shares, compared to its average volume of 18,108,555. First Majestic Silver has a 52 week low of $7.74 and a 52 week high of $32.03. The stock’s 50 day moving average is $17.62 and its 200-day moving average is $20.84. The company has a quick ratio of 2.54, a current ratio of 2.73 and a debt-to-equity ratio of 0.08. The stock has a market cap of $7.50 billion, a price-to-earnings ratio of 25.39 and a beta of 0.91.

First Majestic Silver Increases Dividend

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

Analyst Ratings Changes

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

Hedge Funds Weigh In On First Majestic Silver

Several institutional investors have recently modified their holdings of the stock. Tidal Investments LLC boosted its stake in First Majestic Silver by 14.0% during the 3rd quarter. Tidal Investments LLC now owns 21,014,859 shares of the mining company’s stock worth $258,273,000 after acquiring an additional 2,581,023 shares during the last quarter. Morgan Stanley boosted its position in shares of First Majestic Silver by 63.2% during the fourth quarter. Morgan Stanley now owns 3,809,109 shares of the mining company’s stock worth $63,460,000 after purchasing an additional 1,474,412 shares in the last quarter. Dimensional Fund Advisors LP grew its holdings in shares of First Majestic Silver by 11.0% in the 4th quarter. Dimensional Fund Advisors LP now owns 3,028,487 shares of the mining company’s stock valued at $50,463,000 after buying an additional 299,077 shares during the period. Mackenzie Financial Corp increased its position in shares of First Majestic Silver by 67.3% in the 4th quarter. Mackenzie Financial Corp now owns 2,869,121 shares of the mining company’s stock valued at $48,502,000 after buying an additional 1,154,430 shares in the last quarter. Finally, BNP Paribas Financial Markets raised its stake in First Majestic Silver by 964.5% during the 2nd quarter. BNP Paribas Financial Markets now owns 2,334,147 shares of the mining company’s stock worth $19,303,000 after buying an additional 2,114,874 shares during the period. 27.16% of the stock is currently owned by institutional investors and hedge funds.

About First Majestic Silver

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.