Endeavour Silver (EDR) AI Stock Analysis

• Market Cap: $1.41B
• Dividend Yield: N/A
• Average Volume (3M): 785.63K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.24
• Revenue Growth: 4.45%
• EPS Growth: -3193.40%
• Country: CA
• Employees: 1,539
• Sector: Basic Materials
• Sector Strength: 63
• Industry: Other Precious Metals
• EPS (TTM): 0.00
• Shares Outstanding: 289,540,220
• 10 Day Avg. Volume: 832,523
• 30 Day Avg. Volume: 785,635
• PEG Ratio: 4.04
• Price to Book (P/B): 2.19
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -5.65
• 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: $7.80
• Price Target Upside: 56.63% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 7

• Rating: 51 Neutral
• Price Target: C$4.50 ▼( -9.64% Downside)

Endeavour Silver's score reflects its growth potential and strategic project developments, counterbalanced by profitability and cash flow challenges. Technical signals and valuation concerns further moderate the outlook. The company's progress on key projects and acquisition strategies provide future promise, but current financial challenges suggest a moderate risk profile.

Positive Factors

Acquisition Impact

The closing of the Minera Kolpa acquisition, including its primary asset, the Huachocolpa Uno Mine, marks a significant expansion for Endeavour Silver.

Production and Guidance

Throughput of 1,138tpd at Guanaceví exceeded the forecast by 7% in its first quarter of full capacity following August's trunnion failure.

Project Development

The commencement of wet commissioning at the Terronera Project is a key milestone as the company prepares for full-scale production.

Negative Factors

Financial Performance

The primary driver of Endeavour Silver's net loss was a $31.9M derivative liability loss during the quarter after revaluing its forward contracts.

Production Output

The company produced 1.9M Silver Equivalent Ounces, an 18% decrease year-over-year, driven by lower output from Guanaceví.

Endeavour Silver Business Overview & Revenue Model

Company Description

Endeavour Silver Corp (EDR) is a mid-tier precious metals mining company primarily focused on the exploration, development, and production of silver and gold in Mexico. The company operates three high-grade, underground, silver-gold mines located in the country: Guanacevi, Bolanitos, and El Compas. Endeavour Silver is dedicated to sustainable mining practices and strives to enhance its resource base through strategic acquisitions and exploration initiatives, ensuring long-term growth and value for its stakeholders.

How the Company Makes Money

Endeavour Silver makes money through the extraction and sale of precious metals, primarily silver and gold, from its mining operations in Mexico. The company's key revenue streams include the sale of silver and gold ores and concentrates to smelters and refiners, who then process these materials into pure metals for various industrial and commercial uses. Endeavour Silver's earnings are significantly influenced by the market prices of silver and gold, as well as its ability to efficiently mine and process ore from its operations. Strategic partnerships and joint ventures may also play a role in expanding its mining capabilities and enhancing operational efficiencies, further contributing to its revenue generation.

Endeavour Silver Financial Statement Overview

Summary

Endeavour Silver shows potential in revenue growth but faces challenges in maintaining profitability and cash flow stability. The company's balance sheet is robust, supported by strong equity, though rising debt levels should be watched closely. The financial health suggests moderate risk, with strategic focus needed to enhance operational efficiency and manage cash flows effectively.

Income Statement

Endeavour Silver has shown a consistent revenue growth trend over the years, with a notable increase from 2020 to 2024. However, the company's profitability metrics, such as the net profit margin, have been fluctuating, with recent reports indicating a negative net income for 2024. Despite a positive gross profit margin, the EBIT and EBITDA margins suggest moderate operational efficiency challenges.

Balance Sheet

The company's balance sheet reflects a strong equity base, with an improving equity ratio. However, there is a noticeable increase in total debt in recent years, leading to a moderate debt-to-equity ratio that requires monitoring. The return on equity has been inconsistent, but the firm maintains a solid asset base.

Cash Flow

Cash flow analysis indicates variability in free cash flow, with significant negative figures in recent years due to high capital expenditures. The operating cash flow has been relatively stable, but the free cash flow to net income ratio is concerning. Overall, cash flow management appears strained, necessitating cautious capital allocation.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
217.64M	205.46M	210.16M	165.32M	138.46M
	Gross Profit
42.08M	36.61M	51.52M	36.37M	27.34M
	EBIT
8.33M	8.70M	23.46M	7.02M	-808.00K
	EBITDA
10.03M	37.92M	50.23M	31.55M	28.73M
	Net Income Common Stockholders
-31.48M	6.12M	6.20M	13.96M	1.16M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
107.50M	40.42M	92.04M	114.50M	65.85M
	Total Assets
719.25M	474.81M	399.44M	294.02M	210.59M
	Total Debt
120.24M	9.53M	15.58M	11.49M	10.77M
	Net Debt
13.80M	-25.76M	-67.81M	-91.81M	-50.32M
	Total Liabilities
234.81M	88.47M	83.54M	56.62M	51.52M
	Stockholders Equity
484.44M	386.34M	315.89M	237.41M	159.07M
Cash Flow		Free Cash Flow
-176.27M	-106.02M	-54.72M	-30.63M	13.43M
	Operating Cash Flow
19.11M	11.77M	54.99M	23.46M	38.96M
	Investing Cash Flow
-183.46M	-108.00M	-111.45M	-38.01M	-29.81M
	Financing Cash Flow
236.00M	48.92M	36.76M	56.65M	27.54M

Endeavour Silver Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 4.98
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:EDR, the sentiment is Neutral. The current price of 4.98 is above the 20-day moving average (MA) of 4.86, below the 50-day MA of 5.48, and below the 200-day MA of 5.50, indicating a neutral trend. The MACD of -0.16 indicates Negative momentum. The RSI at 50.12 is Neutral, neither overbought nor oversold. The STOCH value of 62.49 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:EDR.

Endeavour Silver Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ASM	74 Outperform	$589.20M	28.83	10.93%	―	58.34%	1262.30%
GGD	66 Neutral	$568.72M	122.82	1.21%	―	74.02%	―
ITR	60 Neutral	C$366.10M	―	-2.95%	―	―	71.90%
EDR	51 Neutral	$1.41B	―	-14.41%	―	4.45%	-3193.40%
Sector *	50 Neutral	$1.98B	-1.07	-21.34%	3.71%	2.03%	-30.65%
SLVR	47 Neutral	C$119.05M	―	-4.77%	―	―	-18.89%
ABRA	41 Neutral	$589.23M	―	-67.76%	―	―	-16.69%

Endeavour Silver Corporate Events

Endeavour Silver Completes Acquisition of Minera Kolpa to Boost Production Capacity

Endeavour Silver has completed the acquisition of Minera Kolpa, a silver-focused mining operation in Peru, for $145 million, with additional contingent payments and debt obligations. The acquisition is expected to enhance Endeavour’s production capacity and exploration potential, with plans to expand the Kolpa mine’s throughput and increase production capacity by Q3 2025. The company has also secured a $35 million copper stream and a $50 million equity financing to fund the acquisition, while planning significant capital and exploration expenditures to be covered by operating cash flows.

Endeavour Silver Reports Q1 2025 Production Results

Endeavour Silver reported Q1 2025 production of 1.9 million silver equivalent ounces, with silver and gold outputs slightly below the previous year due to lower grades at its Guanaceví and Bolañitos mines. Despite the decrease in production, the company maintains a steady operational focus, preparing to bring its Terronera project into production, which could enhance its market position and benefit stakeholders.

Endeavour Silver Secures $45 Million for Strategic Acquisition

Endeavour Silver Corp. has successfully closed a US$45 million bought deal financing, issuing 11.6 million common shares at US$3.88 each. The proceeds will be used to fund the acquisition of Compañia Minera Kolpa S.A. and its Huachocolpa Uno Mine, a transaction valued at US$145 million, pending regulatory approvals and expected to close within 60 days.

Endeavour Silver Advances Terronera Project with First Concentrate Production

Endeavour Silver has announced significant progress in the construction of its Terronera Project in Jalisco, Mexico, with the first batch of concentrate produced and wet commissioning expected in early Q2. The completion of key installations and the mining of the first production stope mark important milestones, indicating the company’s commitment to advancing the project and its potential positive impacts on local communities and the mining industry.