In a report released today, Heiko Ihle from H.C. Wainwright reiterated a Buy rating on First Majestic Silver (AG – Research Report), with a price target of $11.00.
Heiko Ihle has given his Buy rating due to a combination of factors, primarily driven by First Majestic Silver’s impressive production results and strategic acquisitions. The company’s acquisition of a 70% share in the Cerro Los Gatos mine significantly contributed to a 49% year-over-year increase in silver equivalent ounces produced in the first quarter of 2025. Additionally, improvements in operational efficiencies across their asset base, including notable production growth at San Dimas, further support the positive outlook.
Moreover, updated mineral reserve and resource estimates indicate substantial growth, with the addition of Cerro Los Gatos being a key driver. The company’s strategic drilling efforts and the discovery of new deposits, such as the Navidad gold-silver deposit at Santa Elena, bolster its resource base. Ihle also highlights the potential for meaningful free cash flow generation, supported by favorable commodity pricing and operational enhancements, such as the planned conversion to LNG at San Dimas, which is expected to reduce carbon emissions and lower costs. These factors collectively underpin the Buy rating with a price target of $11.00 per share.