Discovery Silver (DSV) AI Stock Analysis

• Market Cap: C$8.13B
• Dividend Yield: N/A
• Average Volume (3M): 3.64M
• Price to Earnings (P/E): 220.5
• Beta (1Y): 2.37
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: CA
• Employees: 35
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Silver
• EPS (TTM): 0.11
• Shares Outstanding: 806,933,960
• 10 Day Avg. Volume: 4,850,012
• 30 Day Avg. Volume: 3,639,702
• PEG Ratio: -0.72
• Price to Book (P/B): 3.63
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -13.31
• 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$12.14
• Price Target Upside: 36.22% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): 0.61
• Revenue Forecast (FY): C$1.56B

• Rating: 63 Neutral
• Price Target: C$10.00 ▲(12.23% Upside)

The score is primarily supported by improved TTM financial performance (strong revenue/margins and positive cash flow) and a clear upward price trend. It is held back by sustainability concerns (negative net/ROE vs strong operating line) and a very high P/E that makes the stock look richly valued.

Positive Factors

Conservative Capital Structure

Zero reported debt materially reduces financial risk for a capital-intensive mining developer. Conservative leverage gives flexibility to fund project studies, permitting and staged construction at Cordero, lowers refinancing and insolvency risk, and supports durable operational execution.

Improved Cash Generation

TTM positive operating and free cash flow demonstrate the company can convert operations into internal funding. This durable cash generation reduces reliance on external financing, supports ongoing capex and exploration spend, and improves the ability to advance Cordero project stages without immediate capital raises.

Revenue and Margin Inflection

A step-change into meaningful revenue with healthy gross and operating margins suggests the operating model is scaling. Durable operating profitability supports sustained cash generation, strengthens project economics, and provides a structural base for reinvestment and reserve conversion if the company maintains production and cost discipline.

Negative Factors

Negative Net Income and ROE

Persistent negative net income and ROE despite stronger operating performance means shareholders have not yet seen returns. This points to non-operating charges, taxes or timing effects that erode reported earnings, complicating long-term return expectations and making durable shareholder value realization uncertain.

Prior Revenue Absence and Burn History

A history of no revenue and recurring cash burn underscores execution and project development risk common in mining. The recent revenue inflection may be project-specific; sustaining production, margins and cashflow depends on ongoing operational execution, permitting and commodity cycles, keeping medium-term uncertainty elevated.

Earnings Quality Mismatch

A material divergence between operating cash flow and reported net income signals earnings quality issues or volatile accounting impacts. Such mismatches reduce confidence in forecasted free cash flow, increase the risk of future write-downs or adjustments, and make durable cash generation and financing plans harder to predict.

Discovery Silver Business Overview & Revenue Model

Company Description

Discovery Silver Corp., a mineral exploration company, engages in the exploration and development of polymetallic mineral deposits. The company's flagship property is the Cordero silver project, comprising 26 contiguous claims that covers an area of 34,909 contiguous hectares located in the Chihuahua state, Mexico. The company was formerly known as Discovery Metals Corp. and changed its name to Discovery Silver Corp. Discovery Silver Corp. was incorporated in 1986 and is headquartered in Toronto, Canada.

How the Company Makes Money

Discovery Silver generates revenue by exploring, developing, and eventually mining silver deposits, primarily from its Cordero project. The company invests in the exploration and evaluation of mineral properties to delineate substantial silver resources. Once these resources are confirmed and economically viable, Discovery Silver advances to the mining phase, where it extracts and sells silver to generate income. The company may also engage in strategic partnerships or joint ventures with other mining companies to share the costs and risks associated with large-scale mining operations. Revenue is further influenced by global silver prices, which can impact profitability significantly.

Discovery Silver Financial Statement Overview

Summary

TTM shows a major operational inflection with strong revenue growth and healthy gross/EBITDA/EBIT margins plus positive operating and free cash flow. Offsetting this, net results and ROE remain negative and prior years had no revenue and recurring losses/cash burn, creating uncertainty around earnings quality and sustainability.

Income Statement

TTM (Trailing-Twelve-Months) shows a sharp step-change into meaningful revenue ($430.4M; revenue growth +122.5%) with strong gross and operating profitability (gross margin ~48.6%, EBITDA margin ~31.7%, EBIT margin ~22.4%). However, net results are inconsistent versus the operating line (net margin shown negative) and the prior annual periods show no revenue and recurring losses, indicating earnings quality and sustainability still carry elevated uncertainty.

Balance Sheet

Leverage is very conservative in the latest period (total debt at $0; debt-to-equity 0.0), which materially reduces financial risk. Equity and assets are sizable ($563.4M equity; $1.72B assets). The key drawback is profitability on equity remains negative (return on equity is below zero), suggesting the balance sheet strength has not yet consistently translated into shareholder returns.

Cash Flow

TTM (Trailing-Twelve-Months) cash generation is a major improvement, with operating cash flow of $274.3M and positive free cash flow of $137.3M (free cash flow growth strongly positive). That said, cash flow support relative to reported earnings looks uneven (operating cash flow to net income and free cash flow to net income appear low in the latest period), and earlier annual periods show persistent cash burn, highlighting volatility and execution risk.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	430.39M	0.00	0.00	0.00	0.00	0.00
Gross Profit	184.70M	0.00	0.00	0.00	0.00	0.00
EBITDA	183.57M	-13.33M	-15.55M	-32.53M	-29.24M	-14.85M
Net Income	59.59M	-14.52M	-11.86M	-30.63M	-27.81M	-13.91M
Balance Sheet
Total Assets	1.72B	85.39M	109.98M	68.25M	84.53M	87.39M
Cash, Cash Equivalents and Short-Term Investments	475.09M	20.60M	44.63M	34.84M	55.59M	64.93M
Total Debt	0.00	1.02M	309.01K	409.75K	32.22K	68.83K
Total Liabilities	1.60B	7.57M	12.53M	1.81M	1.34M	801.64K
Stockholders Equity	563.44M	77.82M	97.44M	66.45M	83.20M	86.59M
Cash Flow
Free Cash Flow	137.27M	-21.25M	-26.63M	-29.45M	-29.27M	-12.68M
Operating Cash Flow	274.25M	-14.42M	-1.15M	-29.14M	-24.65M	-12.45M
Investing Cash Flow	-394.11M	-6.83M	-25.42M	10.87M	-4.62M	-11.80M
Financing Cash Flow	475.00M	715.14K	36.78M	10.79M	18.99M	58.40M

Discovery Silver Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 8.91
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:DSV, the sentiment is Neutral. The current price of 8.91 is below the 20-day moving average (MA) of 10.00, below the 50-day MA of 8.94, and above the 200-day MA of 5.27, indicating a neutral trend. The MACD of 0.29 indicates Positive momentum. The RSI at 44.26 is Neutral, neither overbought nor oversold. The STOCH value of 18.14 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:DSV.

Discovery Silver Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FVI	76 Outperform	C$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%

Discovery Silver Corporate Events

Discovery Silver Sets Date for Fourth-Quarter and Full-Year 2025 Results Call

Discovery Silver Corp. will release its financial and operating results for the fourth quarter and full year 2025 before markets open on February 19, 2026, followed by a conference call and webcast that afternoon to review the performance. The scheduled disclosure and investor call underline the company’s evolution into a diversified precious metals producer, providing stakeholders with an updated view on how its Mexican Cordero silver project and newly acquired Porcupine gold operations in Ontario are shaping its growth trajectory and positioning within the North American mining sector.

The most recent analyst rating on (TSE:DSV) stock is a Buy with a C$13.50 price target. To see the full list of analyst forecasts on Discovery Silver stock, see the TSE:DSV Stock Forecast page.

Discovery Silver Posts Strong Q4 as Porcupine Gold Output Reaches 234,702 Ounces in 2025

Discovery Silver reported fourth-quarter 2025 gold production of 66,718 ounces from its Porcupine operations, bringing full-year output from these mines to 234,702 ounces, including production prior to the April acquisition from Newmont. The company highlighted a 6% quarter-on-quarter production increase driven by higher grades at Hoyle Pond and increased tonnes processed from the ramp-up at the Pamour open pit, alongside strong exploration results across Hoyle Pond, Borden, Pamour and the Owl Creek district. Discovery ended 2025 with approximately $410 million in cash, no debt, and an undrawn $250 million revolving credit facility with an additional $100 million accordion, underpinning its growth plans. Management described 2025 as a transformational year in which Discovery evolved from a silver-focused developer into a Canadian gold producer with one of the sector’s more compelling growth profiles, supported by a new Resource Development Agreement with Taykwa Tagamou Nation aimed at facilitating long-term operational support within the First Nation’s traditional territory.

The most recent analyst rating on (TSE:DSV) stock is a Buy with a C$10.50 price target. To see the full list of analyst forecasts on Discovery Silver stock, see the TSE:DSV Stock Forecast page.

Discovery Silver Corp. Strengthens Leadership Team with Strategic Appointments

Discovery Silver Corp. announced key management appointments, including Raymond Yip as Chief Information Officer, Kara Byrnes as Vice President of Exploration and Geology, Gerry Stinson as Vice President of Environment, and Amanda Kasner as Vice President of Business Optimization. These appointments are aimed at supporting the company’s growth and value creation strategies at its Porcupine and Mexico operations. The new team members bring extensive experience in IT, geology, environmental management, and financial strategy, which are crucial for advancing Discovery’s investment and growth plans.

The most recent analyst rating on (TSE:DSV) stock is a Buy with a C$9.50 price target. To see the full list of analyst forecasts on Discovery Silver stock, see the TSE:DSV Stock Forecast page.

Discovery Silver Corp. Reports Strong Q3 2025 Results and Promising Exploration Outcomes

Discovery Silver Corp. reported strong financial and operational results for Q3 2025, highlighted by a 56% increase in gold sales and a significant rise in cash flow, resulting in a 35% growth in their cash position to $341.5 million. The company is well-capitalized with a new revolving credit facility, enabling further investment in exploration and production growth at the Porcupine Complex, with promising exploration results indicating potential for substantial future production increases.

The most recent analyst rating on (TSE:DSV) stock is a Buy with a C$6.75 price target. To see the full list of analyst forecasts on Discovery Silver stock, see the TSE:DSV Stock Forecast page.

Discovery Silver Reports Promising Drilling Results at Porcupine Complex

Discovery Silver Corp. announced positive drilling results from its Porcupine Complex, highlighting significant gold mineralization at Hoyle Pond, Borden, Pamour, and Owl Creek. The results indicate potential for resource expansion and increased production, with new drilling programs initiated at the Dome Mine and TVZ Zone. These developments are expected to enhance the company’s operational capabilities and strengthen its position in the mining sector.

The most recent analyst rating on (TSE:DSV) stock is a Buy with a C$6.75 price target. To see the full list of analyst forecasts on Discovery Silver stock, see the TSE:DSV Stock Forecast page.