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

First Majestic Silver (NYSE:AG) (TSE:FR) announced its quarterly earnings data on Thursday. The mining company reported $0.21 EPS for the quarter, missing the consensus estimate 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%.During the same quarter last year, the company posted $0.11 EPS. The company’s revenue for the quarter 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 Up 2.3%

First Majestic Silver stock traded up $0.34 during trading on Thursday, hitting $15.56. 17,046,174 shares of the company were exchanged, compared to its average volume of 18,116,539. The company has a current ratio of 2.73, a quick ratio of 2.54 and a debt-to-equity ratio of 0.08. The business’s 50 day moving average is $17.62 and its 200 day moving average is $20.84. First Majestic Silver has a 52 week low of $7.74 and a 52 week high of $32.03. The company has a market capitalization of $7.67 billion, a P/E ratio of 26.00 and a beta of 0.91.

First Majestic Silver Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, May 29th. Investors of record on Wednesday, May 20th were given a dividend of $0.0171 per share. The ex-dividend date of this dividend 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 dividend yield of 0.4%. First Majestic Silver’s payout ratio is presently 11.67%.

Wall Street Analyst Weigh In

Several equities analysts have recently weighed in on AG shares. 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. Weiss Ratings lowered First Majestic Silver from a “hold (c+)” rating to a “hold (c)” rating in a report on Friday, June 5th. HC Wainwright decreased 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. Scotiabank cut their target price 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, 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. One research analyst has rated the stock with a Strong Buy rating, five have given a Buy rating and three have assigned a Hold rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $23.50.

Institutional Trading of First Majestic Silver

Institutional investors and hedge funds have recently made changes to their positions in the company. EFG International AG purchased a new stake in 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 $57,000. Garton & Associates Financial Advisors LLC purchased a new position in First Majestic Silver in the fourth quarter worth $83,000. Northwestern Mutual Wealth Management Co. raised its stake in shares of First Majestic Silver by 12,500.0% during the 3rd quarter. Northwestern Mutual Wealth Management Co. now owns 5,040 shares of the mining company’s stock worth $62,000 after purchasing an additional 5,000 shares during the period. Finally, Banque Cantonale Vaudoise boosted its holdings in shares of First Majestic Silver by 1,024.6% in the 3rd quarter. Banque Cantonale Vaudoise now owns 9,368 shares of the mining company’s stock worth $115,000 after buying an additional 8,535 shares during the last quarter. Hedge funds and other institutional investors own 27.16% of the company’s stock.

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.