Scotiabank Has Negative Outlook for AG FY2027 Earnings

Key Points

• Scotiabank lowered its FY2027 EPS forecast for First Majestic Silver to $0.90 from $0.91, while maintaining a “Sector Perform” rating and a $22.50 price target.
• First Majestic’s latest quarterly results fell short of expectations, with EPS of $0.21 versus the $0.25 consensus and revenue of $415.5 million versus $496 million estimated, despite 57.3% year-over-year revenue growth.
• Analyst sentiment remains broadly positive but mixed: the stock carries a “Moderate Buy” consensus rating and a $24 average target, while its quarterly dividend was reduced to $0.0152 per share.

First Majestic Silver Corp. (NYSE:AG - Free Report) TSE: FR - Stock analysts at Scotiabank dropped their FY2027 earnings per share (EPS) estimates for First Majestic Silver in a research note issued on Tuesday, October 13th. Scotiabank analyst E. Winmill now anticipates that the mining company will post earnings per share of $0.90 for the year, down from their prior forecast of $0.91. Scotiabank currently has a "Sector Perform" rating and a $22.50 price target on the stock. The consensus estimate for First Majestic Silver's current full-year earnings is $0.80 per share.

First Majestic Silver (NYSE:AG - Get Free Report) TSE: FR last posted its quarterly earnings data on Thursday, July 30th. The mining company reported $0.21 earnings per share for the quarter, missing analysts' consensus estimates of $0.25 by ($0.04). The company had revenue of $415.50 million for the quarter, compared to analyst estimates of $496.00 million. First Majestic Silver had a return on equity of 13.36% and a net margin of 21.18%. The firm's revenue was up 57.3% compared to the same quarter last year. During the same period in the previous year, the business posted $0.11 earnings per share.

A number of other equities analysts have also weighed in on AG. HC Wainwright lowered their price objective on shares of First Majestic Silver from $27.00 to $25.50 and set a "buy" rating on the stock in a research report on Friday, October 9th. Weiss Ratings restated a "hold (c)" rating on shares of First Majestic Silver in a research report on Wednesday, September 2nd. 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. Finally, ATB Cormark Capital Markets upgraded shares of First Majestic Silver from a "hold" rating to a "moderate buy" rating in a research note on Friday, July 10th. Four analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company. According to MarketBeat, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $24.00.

First Majestic Silver Price Performance

First Majestic Silver stock opened at $16.08 on Friday. The company has a debt-to-equity ratio of 0.08, a current ratio of 2.57 and a quick ratio of 2.38. The business has a 50 day simple moving average of $19.17 and a 200-day simple moving average of $18.97. First Majestic Silver has a 12 month low of $10.19 and a 12 month high of $32.03. The stock has a market capitalization of $7.93 billion, a PE ratio of 22.65 and a beta of 0.97.

Institutional Trading of First Majestic Silver

Several hedge funds have recently modified their holdings of AG. Harbor Investment Advisory LLC acquired a new position in First Majestic Silver during the first quarter worth $32,000. PNC Financial Services Group Inc. raised its position in First Majestic Silver by 184.5% in the first quarter. PNC Financial Services Group Inc. now owns 1,508 shares of the mining company's stock worth $32,000 after acquiring an additional 978 shares in the last quarter. Fortitude Family Office LLC purchased a new position in First Majestic Silver in the third quarter worth $39,000. Parallel Advisors LLC lifted its holdings in First Majestic Silver by 36.4% in the first quarter. Parallel Advisors LLC now owns 2,100 shares of the mining company's stock valued at $45,000 after acquiring an additional 560 shares during the period. Finally, Bard Associates Inc. acquired a new stake in First Majestic Silver in the second quarter valued at $53,000. 27.16% of the stock is owned by institutional investors and hedge funds.

First Majestic Silver Cuts Dividend

The firm also recently announced a quarterly dividend, which was paid on Monday, August 31st. Stockholders of record on Friday, August 14th were paid a dividend of $0.0152 per share. This is a negative change from First Majestic Silver's previous quarterly dividend of $0.0171. The ex-dividend date of this dividend was Friday, August 14th. This represents a $0.06 dividend on an annualized basis and a dividend yield of 0.4%. First Majestic Silver's dividend payout ratio (DPR) is currently 8.45%.

About First Majestic Silver

First Majestic Silver Corp. is a mining company focused on the exploration, development and production of silver, gold and related metals. The company also produces and sells investment-grade silver bullion through its own minting and retail operations.

Founded in 2002 and headquartered in Vancouver, British Columbia, First Majestic has historically operated a portfolio of silver-producing mines in Mexico, including San Dimas in Durango, Santa Elena in Sonora and La Encantada in Coahuila.

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