First Majestic Silver (AG) AI Stock Analysis

• Market Cap: C$15.04B
• Dividend Yield: 0.12%
• Average Volume (3M): 2.39M
• Price to Earnings (P/E): 179.3
• Beta (1Y): 3.04
• Revenue Growth: 88.70%
• EPS Growth: N/A
• Country: CA
• Employees: 4,000
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Silver
• EPS (TTM): 0.10
• Shares Outstanding: 491,228,850
• 10 Day Avg. Volume: 3,302,557
• 30 Day Avg. Volume: 2,392,173
• PEG Ratio: 0.60
• Price to Book (P/B): 1.17
• Price to Sales (P/S): 2.95
• P/FCF Ratio: 192.99
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: C$27.92
• Price Target Upside: -8.80% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 62 Neutral
• Price Target: C$36.00 ▲(17.61% Upside)

The score is driven primarily by improved TTM fundamentals (return to profitability and stronger cash flow) and a strong technical uptrend. Offsetting these positives are historically volatile earnings/cash generation and a very high P/E, while overbought momentum signals add near-term risk.

Positive Factors

Improved profitability

The company returned to profitability with healthier gross and net margins in the TTM period, indicating improved cost structure and pricing capture. Sustained margins would support reinvestment and cover fixed costs, enhancing resilience across commodity cycles.

Strengthened cash generation

Material positive operating and free cash flow in the TTM demonstrates the business can generate internal funding for capex, working capital and strategic initiatives. Durable cash generation improves financial flexibility and reduces reliance on external financing.

Low financial leverage

Conservative leverage provides a strong buffer during commodity downturns, lowering interest burden and default risk. A low debt load supports continuity of operations, access to capital, and the capacity to fund projects without excessive refinancing risk.

Negative Factors

Historic earnings volatility

The firm has a record of erratic profitability and cash conversion across the cycle, which undermines predictability of earnings and planning. Persistent volatility increases execution risk for projects and complicates long-term capital allocation decisions.

Low return on equity

A low TTM ROE indicates the business is generating limited returns on shareholder capital. Over time this constrains value creation versus capital employed and may require structural improvements in margins, asset productivity, or scale to materially boost investor returns.

Inconsistent free cash flow

Historic negative FCF and FCF trailing net income imply heavy reinvestment or cash volatility tied to metal prices and costs. This limits the firm's ability to sustainably fund dividends, buybacks or deleveraging without relying on higher metal prices or external capital.

First Majestic Silver Business Overview & Revenue Model

Company Description

First Majestic Silver Corp. engages in the acquisition, exploration, development, and production of mineral properties with a focus on silver and gold production in North America. Its projects include the San Dimas mine covering an area of approximately 71,867 hectares located in Durango State, Mexico; the Santa Elena that covers an area of approximately 102,244 hectares located in Sonora State, México; and the La Encantada covering an area of approximately 4,076 hectares located in Coahuila State, México. The company was formerly known as First Majestic Resource Corp. and changed its name to First Majestic Silver Corp. in November 2006. First Majestic Silver Corp. was incorporated in 1979 and is headquartered in Vancouver, Canada.

How the Company Makes Money

First Majestic Silver generates revenue primarily through the sale of silver and other precious metals produced at its mining operations. The company has a diversified revenue model that includes the sales of silver bullion, gold, and by-products like lead and zinc. The price of silver is a significant driver of revenue, as the company sells its output on the open market, where prices can fluctuate based on global demand and supply dynamics. Additionally, First Majestic may enter into hedging contracts to manage price volatility and secure revenue streams. The company also benefits from partnerships and agreements with other mining firms for processing and distribution, further contributing to its earnings. Key factors influencing its revenue include operational efficiency, production levels, metal prices, and the overall economic environment affecting mining operations.

First Majestic Silver Financial Statement Overview

Summary

TTM performance shows a meaningful rebound with revenue up 16.8%, a return to profitability (about 26% gross margin and 7% net margin), and stronger operating/free cash flow. However, multi-year results have been volatile with multiple loss-making years and uneven cash conversion, reducing confidence in durability through a full commodity cycle.

Income Statement

Profitability has meaningfully improved in TTM (Trailing-Twelve-Months), with revenue up 16.8% and solid margins (about 26% gross margin and 7% net margin) versus deep losses and negative margins in 2022–2024. That said, results have been volatile over the past five years, with multiple loss-making years and sharp margin swings, which raises durability risk in a cyclical silver price/cost environment.

Balance Sheet

Leverage is conservative, with low debt relative to equity in TTM (Trailing-Twelve-Months) (debt-to-equity ~0.09) and similarly moderate levels in prior years, which supports resilience through commodity cycles. The key weakness is inconsistent shareholder returns: return on equity is positive but modest in TTM (~3%), following several years of negative returns, indicating profitability has not been consistently strong relative to the capital base.

Cash Flow

Cash generation strengthened in TTM (Trailing-Twelve-Months), with operating cash flow of ~$354M and positive free cash flow of ~$161M, up sharply versus the prior year. However, the company’s history shows uneven cash conversion—free cash flow was negative in several years (2020–2023) and free cash flow remains less than net income in TTM (Trailing-Twelve-Months), suggesting ongoing reinvestment needs and potential sensitivity to metal prices and costs.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	966.22M	533.69M	583.10M	605.64M	574.31M	382.33M
Gross Profit	250.94M	76.92M	16.07M	8.75M	94.90M	116.55M
EBITDA	403.48M	118.13M	-46.92M	92.22M	161.20M	105.54M
Net Income	69.33M	-96.99M	-137.30M	-110.87M	-4.84M	24.26M
Balance Sheet
Total Assets	4.24B	1.98B	1.96B	2.13B	2.10B	1.24B
Cash, Cash Equivalents and Short-Term Investments	575.21M	251.81M	186.61M	187.79M	274.38M	274.34M
Total Debt	236.84M	236.88M	254.67M	250.38M	219.01M	172.93M
Total Liabilities	1.23B	628.34M	613.79M	705.56M	707.30M	386.50M
Stockholders Equity	2.60B	1.35B	1.35B	1.43B	1.40B	848.53M
Cash Flow
Free Cash Flow	161.07M	8.17M	-100.05M	-198.17M	-75.27M	-40.95M
Operating Cash Flow	353.96M	117.76M	48.29M	13.03M	110.52M	79.34M
Investing Cash Flow	-36.69M	-108.68M	-156.50M	-207.43M	-177.72M	-133.56M
Financing Cash Flow	-19.66M	48.72M	74.31M	113.57M	114.19M	126.90M

First Majestic Silver Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 30.61
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:AG, the sentiment is Positive. The current price of 30.61 is above the 20-day moving average (MA) of 30.49, above the 50-day MA of 25.36, and above the 200-day MA of 16.00, indicating a bullish trend. The MACD of 1.75 indicates Positive momentum. The RSI at 55.08 is Neutral, neither overbought nor oversold. The STOCH value of 21.15 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:AG.

First Majestic Silver Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FVI	76 Outperform	$4.44B	12.25	15.63%	―	7.61%	915.74%
PAAS	74 Outperform	C$33.16B	32.47	11.27%	0.88%	25.04%	―
SVM	69 Neutral	C$3.20B	90.59	3.54%	0.29%	37.50%	-60.92%
DSV	63 Neutral	C$8.13B	220.54	11.03%	―	―	―
AG	62 Neutral	C$15.04B	179.32	3.44%	0.12%	88.70%	―
AYA	62 Neutral	C$3.28B	1,247.02	0.71%	―	241.04%	-80.07%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%

First Majestic Silver Corporate Events

First Majestic Silver Announces $60M Sale of Del Toro Mine

First Majestic Silver Corp. has entered an agreement to sell its 100%-owned Del Toro Silver Mine in Zacatecas, Mexico, to Sierra Madre Gold & Silver Ltd. for up to $60 million through a combination of cash and shares. This transaction allows First Majestic to streamline its operations while providing Sierra Madre with an opportunity to enhance its asset base through a significant mining project, subject to several conditions including private placement financing and regulatory approvals.

The most recent analyst rating on (TSE:AG) stock is a Hold with a C$23.00 price target. To see the full list of analyst forecasts on First Majestic Silver stock, see the TSE:AG Stock Forecast page.

First Majestic Silver Completes $350 Million Convertible Notes Offering

First Majestic Silver Corp. has successfully completed a US$350 million offering of convertible senior notes, which includes an additional US$50 million from an over-allotment option. The proceeds will partially be used to repurchase existing notes due in 2027, with the remainder allocated for general corporate purposes and strategic opportunities. This financial maneuver aims to optimize the company’s capital structure and support its growth initiatives, potentially impacting its market positioning and stakeholder interests.

The most recent analyst rating on (TSE:AG) stock is a Hold with a C$23.00 price target. To see the full list of analyst forecasts on First Majestic Silver stock, see the TSE:AG Stock Forecast page.

First Majestic Silver Announces Pricing of $300 Million Convertible Notes Offering

First Majestic Silver Corp. has announced the pricing of its offering of unsecured convertible senior notes due 2031, aiming to raise $300 million, with an option to increase to $350 million. The proceeds will be used to repurchase a portion of its existing convertible notes due 2027 and for general corporate purposes, potentially impacting its financial flexibility and strategic positioning.

The most recent analyst rating on (TSE:AG) stock is a Buy with a C$21.00 price target. To see the full list of analyst forecasts on First Majestic Silver stock, see the TSE:AG Stock Forecast page.

First Majestic Silver Announces $300 Million Convertible Notes Offering

First Majestic Silver Corp. has announced an offering of $300 million in unsecured convertible senior notes due 2031, with an option for initial purchasers to buy an additional $45 million. The proceeds will be used to repurchase existing notes due 2027 and for general corporate purposes. This strategic financial move aims to strengthen the company’s financial position and support its ongoing operations and growth opportunities.

The most recent analyst rating on (TSE:AG) stock is a Buy with a C$21.00 price target. To see the full list of analyst forecasts on First Majestic Silver stock, see the TSE:AG Stock Forecast page.