First Majestic Silver Corp

Hecla Mining and Coeur Mining each surged 13% after the Treasury Department said it would at least double buybacks of long-dated government debt, pushing yields lower and lifting precious metals. The 10-year Treasury yield fell 5 basis points to 4.7%, while the 30-year yield declined 8 basis points to 5.2% after hitting its highest level since 2007 earlier this week. Lower yields reduce the opportunity cost of holding metals that pay no income, and miners like Hecla and Coeur carry heavy operating leverage to metal prices. Despite the rally, Hecla Mining stock was down 6% year to date through Tuesday's close, and Coeur Mining shares were up just 4%, so the move looks like a catch-up rather than a confirmed uptrend. First Majestic Silver leads silver peers with an 11% year-to-date gain, while Endeavour Silver has managed just 3%, both lagging the underlying metal.

Silver is undergoing a revaluation as a critical mineral for clean energy, electronics, and defense, with industrial demand outpacing mine supply since 2022. Three miners stand out for investors: First Majestic Silver, Hecla Mining, and Pan American Silver. First Majestic, a pure-play silver producer, reported second-quarter revenue of $415.5 million, up 57% year over year, and earnings per share of $0.22, double the prior year. Hecla Mining, the largest primary silver producer in the U.S. and Canada, posted first-quarter revenue of $411 million, up 100% year over year, and earnings per share of $0.25, up from $0.04. Pan American Silver, which doubled its scale after acquiring Yamana Gold's Latin American assets, reported first-quarter revenue of $1.2 billion, up 49.3% year over year, and earnings per share of $1.09, a 160% increase. All three companies maintain strong balance sheets with low debt-to-EBITDA ratios and offer dividend policies tied to silver prices or revenue, though their shares have fallen between 9% and 25% this year, presenting a potential value opportunity.

Silver Storm Mining has started hot commissioning of the sulphide processing circuit at its La Parrilla Silver Mine Complex in Mexico, marking a key step toward restarting operations. The company also amended its concentrate prepayment agreement with Samsung C&T, extending the grace period for initial principal and arrangement fee payments to September 2026 from May 2026, with subsequent monthly repayments deferred by four months and the concentrate supply period extended by six months to thirty months. Additionally, First Majestic Silver provided a US$5 million non-revolving unsecured term loan to fund working capital for the ramp-up, maturing in 36 months with 15% annual interest compounded quarterly and principal repayable in eight equal quarterly instalments of US$625,000 starting 15 months after closing. First Majestic holds approximately 15.69% of Silver Storm on a non-diluted basis, making the loan a related party transaction, though the company relied on exemptions from minority shareholder approval requirements.

Silver prices have fallen roughly 50% from their January 29 high of $121.64 per troy ounce and are now trading near an 11-month low around $60, leading some analysts to suggest the precious metal may be close to bottoming out. The decline was triggered by fears that new Federal Reserve Chair Kevin Warsh would adopt a hawkish stance, and those concerns have largely been priced in. Industrial demand remains a key support, with silver entering its sixth consecutive year of supply deficit, though solar panel makers have cut consumption by about 19% this year and one producer plans to switch entirely to copper. J.P. Morgan analysts forecast silver will end 2026 around $80, and the author expects prices to rise slightly in the second half of the year with further long-term gains as industrial demand outweighs macroeconomic headwinds.

First Majestic Silver Corp. announced it has received construction permits for the Santo Niño and Navidad portals at its Santa Elena mine in Mexico. The company plans to invest an additional $12 million throughout the year to accelerate underground access and prepare the Santo Niño project for near-term mining operations. The announcement follows positive infill drilling results from both vein systems, which returned significant silver and gold intercepts that outperformed initial models and confirmed high-grade mineralization. Management expects these targets to become major contributors to the Santa Elena site, with the potential to materially extend the mine's overall lifespan.

First Majestic Silver Corp. has raised its 2026 production guidance following year-over-year growth in second-quarter silver and gold output across its Mexican operations. The company is supporting the higher outlook with a larger capital program of US$318 million to US$344 million, which includes the Jerritt Canyon restart and new underground access to the Navidad and Santo Niño deposits at Santa Elena. A new CFO has been appointed from the Canada Pension Plan Investment Board and BHP. The updated guidance reinforces production growth as a key near-term catalyst, but also sharpens the risk that higher operating and capital costs could pressure margins if volumes or realized prices do not keep pace.

First Majestic Silver has agreed to sell its San Martin Silver Mine in Jalisco, Mexico, to Flextronics Supply and Service for total proceeds of $90 million. The transaction includes the transfer of all shares of the subsidiary holding the mine and the associated Jalisco Group of Properties. The payment structure consists of an upfront cash payment of $2.5 million, with the remaining $87.5 million to be paid through a series of scheduled installments over the next several years, including a concluding $35 million payment due on August 31, 2032. The sale remains subject to customary closing conditions and Mexican Antitrust approval, with the company expecting the deal to close in the fourth quarter of 2026. The San Martin operation, a past producer of silver and gold, has been held by First Majestic Silver under care and maintenance since July 2019.

First Majestic Silver's stock may be undervalued on a cash flow basis but appears fully priced on earnings, according to a Simply Wall St analysis. A discounted cash flow model, based on the company's free cash flow of about $448.9 million, estimates an intrinsic value of around CA$29.41 per share, implying an 18.3% discount to the current price. However, the stock trades at a price-to-earnings ratio of about 28.8 times, well above the industry average of roughly 14.4 times and a peer average of around 21.3 times, and also above Simply Wall St's fair P/E estimate of about 18.8 times. The mixed signals reflect a cash flow model that is more optimistic about future free cash generation, while market multiples embed richer growth expectations. The company's recent move to sell the San Martin silver mine for US$90 million aligns with a refocus on core assets, which supports the cash flow-based valuation.

The iShares MSCI Global Silver and Metals Miners ETF (SLVP) has dramatically outpaced the Sprott Gold Miners ETF (SGDM) over the trailing 12 months, returning 82.5% versus 46% as of July 2, 2026. SLVP, which focuses on global silver and metals miners, carries a lower expense ratio of 0.39% compared to SGDM's 0.46% and offers a higher dividend yield of 2.30% against 1.10%. The silver fund's top holdings include Hecla Mining at 13.83%, Industrias Penoles at 10.48%, and First Majestic Silver at 10.47%, while SGDM's largest positions are Agnico Eagle Mines at 8.86%, Barrick Mining at 7.78%, and Newmont at 7.09%. Silver's dual role as both a monetary and industrial metal, driven by demand from solar panels, AI data centers, and electronics, has amplified its rally beyond gold, making SLVP a higher-conviction bet for those already holding gold exposure, whereas SGDM offers a more defensive, lower-volatility entry point for new precious metals investors.

Orogen Royalties announced that First Majestic Silver Corp., operator of the Santa Elena/Ermitaño mine, has received permits for portal construction at the Navidad deposit, where Orogen holds a 2% net smelter return royalty. First Majestic has committed an additional US$12 million to initiate portal construction for Navidad and the non-royalty Santo Niño deposit, providing underground access and supporting decline and ramp development. Over 7,700 metres of infill drilling in ten holes of a planned 17,000-metre 2026 program has been completed at Navidad's Winter vein, with highlight intercepts including 23.59 grams per tonne gold and 359 grams per tonne silver over 2.49 metres. Portal construction is planned to start in the second half of 2026, and the drilling aims to support potential conversion of Inferred Resources to Indicated Resources.

Sierra Madre Gold and Silver and First Majestic Silver have completed the acquisition of the Del Toro Silver Mine in a deal valued at up to US$60 million. Sierra Madre paid US$20 million in cash and issued 10.87 million common shares at a deemed price of C$1.30 per share to acquire the wholly-owned First Majestic subsidiary that holds the mine. Additional contingent payments of up to US$30 million are tied to future milestones, including a US$10 million payment if a mineral resource of at least 100 million ounces of silver equivalent is demonstrated within 48 months, and another US$10 million if commercial production of at least 4,000 tonnes per day is achieved for 30 consecutive days within 60 months. Concurrent with the acquisition, Sierra Madre completed a brokered private placement of subscription receipts that raised gross proceeds of C$57.5 million to fund the transaction and future exploration. First Majestic now holds approximately 24.77% of Sierra Madre's outstanding common shares.