Americas Silver (TSE:USA) Share Price Passes Below 50 Day Moving Average - Time to Sell?

Key Points

• Americas Silver shares fell below their 50-day moving average on Friday, trading as low as C$5.58 and last changing hands at C$5.60, signaling recent weakness in the stock.
• Analysts remain broadly bullish despite the pullback, with a consensus rating of “Buy” and an average target price of C$11.57; several firms recently reiterated positive ratings, including BMO, TD, and Desjardins.
• The company’s financial metrics remain weak, including a negative PE ratio, high debt-to-equity ratio, and negative return on equity, while analysts expect it to post a loss for the current year.

Americas Silver Corp (TSE:USA - Get Free Report) shares crossed below its 50-day moving average during trading on Friday . The stock has a 50-day moving average of C$7.05 and traded as low as C$5.58. Americas Silver shares last traded at C$5.60, with a volume of 1,494,132 shares changing hands.

Analyst Upgrades and Downgrades

A number of analysts have recently commented on USA shares. BMO Capital Markets set a C$10.00 price target on Americas Silver and gave the company an "outperform" rating in a research note on Wednesday, April 1st. TD reduced their price objective on shares of Americas Silver from C$12.00 to C$11.00 and set a "buy" rating on the stock in a research note on Monday, June 29th. Finally, Desjardins set a C$16.00 target price on Americas Silver and gave the stock a "buy" rating in a report on Thursday, April 23rd. One analyst has rated the stock with a Strong Buy rating and four have issued a Buy rating to the company's stock. Based on data from MarketBeat, Americas Silver has a consensus rating of "Buy" and an average target price of C$11.57.

Americas Silver Stock Down 1.9%

The firm has a market capitalization of C$1.89 billion, a PE ratio of -25.45 and a beta of 2.91. The company has a quick ratio of 0.19, a current ratio of 1.69 and a debt-to-equity ratio of 24.66. The stock has a 50-day simple moving average of C$7.05 and a 200-day simple moving average of C$8.63.

Americas Silver (TSE:USA - Get Free Report) last announced its earnings results on Thursday, May 14th. The company reported C$0.08 earnings per share for the quarter. Americas Silver had a negative return on equity of 41.43% and a negative net margin of 36.39%.The business had revenue of C$94.26 million for the quarter. Analysts forecast that Americas Silver Corp will post -0.08 EPS for the current year.

Americas Silver Company Profile

Americas Gold and Silver Corporation engages in the acquisition, evaluation, exploration, development, and operation of mineral properties. The company explores for silver, lead, zinc and copper. It principally owns 100% interests in the Cosalá Operations consisting of 67 mining concessions that cover approximately 19,385 hectares located in the state of Sinaloa, Mexico; and Galena Complex situated near the town of Wallace in the state of Idaho, the United States. The company was formerly known as Americas Silver Corporation and changed its name to Americas Gold and Silver Corporation in September 2019.

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