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Silvercorp Metals (TSE:SVM)
:SVM
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Silvercorp Metals (SVM) AI Stock Analysis

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TSE:SVM

Silvercorp Metals

(NYSE MKT:SVM)

Rating:74Outperform
Price Target:
C$7.00
▲(12.54% Upside)
Silvercorp Metals' strong financial performance and strategic project progress are the most significant factors driving the stock score. While technical indicators and valuation suggest moderate market positioning, the mixed sentiment from the earnings call highlights both opportunities and challenges.
Positive Factors
Financial Performance
Silvercorp reported record quarterly revenue of $83.6M, which was pre-reported and exceeded expectations.
Operational Efficiency
Production costs were below forecast, boosting profitability and operational efficiency.
Negative Factors
Production Results
Silvercorp's FYQ1 production results were below the forecast, with silver production of 1.83Moz vs. the 2.06Moz estimate and revenue of $81.3M below the $93.7M estimate.
Silver Grades
Lower-than-forecast grades at Ying drove the miss, with silver production of 1.70Moz below the 1.90Moz estimate due to average silver grades of 199g/t, 11% below the 225g/t forecast.

Silvercorp Metals (SVM) vs. iShares MSCI Canada ETF (EWC)

Silvercorp Metals Business Overview & Revenue Model

Company DescriptionSilvercorp Metals Inc. is a Canadian mining company primarily engaged in the acquisition, exploration, and development of silver-related mineral properties. The company focuses on silver mining in China, with its flagship operations located in the Guangdong province. Silvercorp is recognized for its sustainable mining practices and commitment to responsible resource extraction, providing silver, lead, and zinc as its core products. The company aims to enhance shareholder value through efficient production and strategic exploration initiatives.
How the Company Makes MoneySilvercorp Metals generates revenue primarily through the mining and sale of silver, lead, and zinc concentrates. The majority of its revenue comes from the sale of silver, with lead and zinc acting as significant by-products. The company operates several mining projects, with the key revenue streams arising from the extraction and processing of ore from its mines. Additionally, Silvercorp benefits from strategic partnerships and joint ventures that enhance its exploration capabilities and resource development. Market fluctuations in silver and other metal prices significantly impact the company’s earnings, alongside operational efficiency and cost management strategies.

Silvercorp Metals Earnings Call Summary

Earnings Call Date:Aug 11, 2025
(Q1-2026)
|
% Change Since: 0.16%|
Next Earnings Date:Nov 06, 2025
Earnings Call Sentiment Neutral
The earnings call presented a mixed sentiment, with strong revenue and cash flow growth, increased metal sales, and significant progress in construction projects. However, these positives were offset by a decrease in net income, increased cash costs, a fatal accident impacting production, and a decrease in zinc production.
Q1-2026 Updates
Positive Updates
Revenue and Cash Flow Growth
Revenues reached $81.3 million, up 13% from last year, with cash flow from operating activities setting a new quarterly record at $48.3 million, a 21% increase year-over-year.
Increase in Metal Sales and Prices
Silver and gold sales increased by 5% and 95%, respectively, with selling prices also rising by 12% for silver and 45% for gold compared to Q1 of the previous year.
Strong Cash Position
Ended the quarter with a cash position of $377.1 million, up $8 million from March, excluding investments in associates valued at $72.2 million.
Production Increases
Produced 1.8 million ounces of silver (up 6%), over 2,000 ounces of gold (up 79%), and 16 million pounds of lead (up 1%).
Construction and Legal Progress
El Domo and Condor projects in Ecuador progressing well, with legal challenges to environmental licenses dismissed.
Negative Updates
Decrease in Net Income
Net income decreased to $18.1 million from $21.9 million in Q1 2025, impacted by a $5 million noncash accounting charge related to derivative liabilities.
Increase in Cash Costs
Consolidated cash cost per ounce of silver net of by-product credits increased to $1.11 from a negative $1.67, driven by higher production costs and mineral rights royalties.
Fatal Accident and Production Impact
A fatal accident at the HZG mine led to regulatory investigations, temporary closures, and a potential 20% to 25% production shortfall for the current quarter.
Decrease in Zinc Production
Zinc production decreased by 19% compared to the previous year.
Company Guidance
During the Silvercorp First Quarter Fiscal 2026 Financial Results Conference Call, several key metrics were highlighted. The company reported a 13% increase in revenues to $81.3 million and a record cash flow from operating activities of $48.3 million, up 21% from the previous year. The quarter saw a 5% and 95% increase in silver and gold sales, respectively, with silver contributing 66% of total revenue. Net income stood at $18.1 million, or $0.08 per share, down from $21.9 million or $0.12 per share in Q1 of fiscal 2025, primarily due to a noncash $5 million accounting charge. Adjusted net income was $21 million, or $0.10 per share. Free cash flow was $22.5 million after investing $18.8 million in China and $7.6 million in Ecuador. The quarter ended with a cash position of $377.1 million. Production figures included approximately 1.8 million ounces of silver, just over 2,000 ounces of gold, and 16 million pounds of lead. However, zinc production decreased by 19%. Production costs averaged $83 per tonne, with a consolidated cash cost per ounce of silver at $1.11, and an all-in sustaining cost of $13.49 per ounce, reflecting a 37% increase from the prior year.

Silvercorp Metals Financial Statement Overview

Summary
Silvercorp Metals has strong financial performance with notable revenue growth, robust profitability metrics, and effective financial management. The company maintains a strong balance sheet with low leverage and effective cash flow generation.
Income Statement
82
Very Positive
Silvercorp Metals has demonstrated strong revenue growth, with the most recent annual data showing a 38.93% increase from the previous year. This is accompanied by solid profitability metrics, including a Gross Profit Margin of 41.33% and a Net Profit Margin of 19.46%, indicating efficient cost management. The EBIT and EBITDA margins are also robust at 34.51% and 47.76%, respectively, showcasing strong operational performance. However, slight variability in profit margins over the years suggests some exposure to market fluctuations.
Balance Sheet
78
Positive
The company maintains a strong equity position, with a Debt-to-Equity Ratio of 0.16, indicating low leverage and prudent financial management. The Return on Equity stands at a healthy 8.28%, reflecting effective use of equity financing. The Equity Ratio of 61.68% further underscores the company's solid financial structure. While these metrics portray stability, the slight increase in liabilities over time should be monitored to maintain this strength.
Cash Flow
85
Very Positive
Silvercorp Metals exhibits excellent cash flow performance, with a significant Free Cash Flow growth rate of 87.21% year-over-year. The Operating Cash Flow to Net Income Ratio is 2.38, suggesting strong cash generation relative to earnings. The Free Cash Flow to Net Income Ratio of 0.90 indicates efficient capital expenditure management. While these metrics reflect strong liquidity and cash management, maintaining consistent free cash flow growth will be key to sustaining this performance.
BreakdownMar 2025Mar 2024Mar 2023Mar 2022Mar 2021
Income Statement
Total Revenue298.89M215.19M208.13M217.92M192.10M
Gross Profit123.55M125.81M70.78M84.30M84.16M
EBITDA142.76M99.14M64.80M98.04M97.07M
Net Income58.19M36.31M20.61M30.63M46.38M
Balance Sheet
Total Assets1.14B702.82M676.80M723.54M652.64M
Cash, Cash Equivalents and Short-Term Investments369.06M184.89M203.32M212.93M199.09M
Total Debt111.98M1.31M583.00K1.26M1.74M
Total Liabilities305.55M105.81M96.97M103.42M86.91M
Stockholders Equity702.73M507.25M489.05M512.40M467.57M
Cash Flow
Free Cash Flow52.60M28.10M30.69M40.17M33.71M
Operating Cash Flow138.63M91.57M85.64M107.38M85.91M
Investing Cash Flow-44.67M-65.71M-26.52M-106.63M-40.97M
Financing Cash Flow115.12M-16.80M-17.98M-7.43M-1.45M

Silvercorp Metals Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price6.22
Price Trends
50DMA
6.14
Positive
100DMA
5.69
Positive
200DMA
5.34
Positive
Market Momentum
MACD
0.02
Positive
RSI
49.14
Neutral
STOCH
38.55
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:SVM, the sentiment is Neutral. The current price of 6.22 is below the 20-day moving average (MA) of 6.34, above the 50-day MA of 6.14, and above the 200-day MA of 5.34, indicating a neutral trend. The MACD of 0.02 indicates Positive momentum. The RSI at 49.14 is Neutral, neither overbought nor oversold. The STOCH value of 38.55 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:SVM.

Silvercorp Metals Peers Comparison

Overall Rating
UnderperformOutperform
Sector (44)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
77
Outperform
C$496.73M7.8032.65%30.08%-67.68%
74
Outperform
C$1.36B17.698.70%0.55%39.43%-6.41%
57
Neutral
$3.31B22.8917.75%1.68%73.65%
55
Neutral
C$1.78B152.08-4.59%88.60%-684.16%
48
Neutral
C$3.13B-3.52%-16.28%
44
Neutral
AU$1.54B-7.28-26.52%4.40%-3.13%-36.41%
42
Neutral
C$422.38M-21.78%31.42%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:SVM
Silvercorp Metals
6.30
1.63
34.96%
TSE:MAG
MAG Silver
31.68
14.97
89.62%
TSE:DSV
Discovery Silver
3.97
3.15
384.15%
TSE:DV
Dolly Varden Silver
5.05
0.69
15.83%
TSE:AYA
Aya Gold & Silver
12.39
-2.42
-16.34%
TSE:SCZ
Santacruz Silver Mining
1.39
1.11
396.43%

Silvercorp Metals Corporate Events

Business Operations and StrategyFinancial Disclosures
Silvercorp Metals Reports Strong Q1 Fiscal 2026 Results with Increased Cash Flow
Positive
Aug 7, 2025

Silvercorp Metals reported its financial results for Q1 Fiscal 2026, highlighting an adjusted net income of $21.0 million and cash flow from operating activities of $48.3 million. The company produced approximately 1.8 million ounces of silver and 2,050 ounces of gold, with total revenues reaching $81.3 million. Despite a slight decrease in net income compared to the previous year, Silvercorp increased its cash and cash equivalents to $377.1 million. The company also invested in exploration and development in China and Ecuador, and maintained a strong financial position with a stream financing commitment from Wheaton Precious Metals for the El Domo project.

The most recent analyst rating on (TSE:SVM) stock is a Buy with a C$6.00 price target. To see the full list of analyst forecasts on Silvercorp Metals stock, see the TSE:SVM Stock Forecast page.

Legal ProceedingsBusiness Operations and StrategyRegulatory Filings and Compliance
Silvercorp’s El Domo Project Secures Environmental License in Ecuador
Positive
Aug 5, 2025

Silvercorp Metals Inc. announced that the Constitutional Court of Ecuador has upheld the environmental license for the El Domo mining project, dismissing all legal challenges against it. The project, which has received overwhelming local support, is expected to bring significant socio-economic benefits to the Las Naves community. Despite ongoing unlawful activities by anti-mining groups, Silvercorp remains committed to advancing the project responsibly and in compliance with Ecuadorian law, reinforcing its dedication to ethical and sustainable practices.

The most recent analyst rating on (TSE:SVM) stock is a Buy with a C$6.00 price target. To see the full list of analyst forecasts on Silvercorp Metals stock, see the TSE:SVM Stock Forecast page.

Business Operations and StrategyFinancial Disclosures
Silvercorp Reports Strong Q1 Fiscal 2026 Results with Increased Revenue and Production
Positive
Jul 15, 2025

Silvercorp Metals Inc. reported strong operational results for the first quarter of fiscal 2026, with a 13% increase in revenue to approximately $81.3 million compared to the same period last year. The company achieved a 6% rise in silver production to 1.8 million ounces and a 79% increase in gold production. However, zinc production saw a decline of 19%. The ongoing exploration and development activities at the Ying Mining District and GC Mine, along with the construction progress at the El Domo and Kuanping mines, indicate Silvercorp’s strategic focus on growth and expansion. These results underscore Silvercorp’s robust operational performance and its potential for future growth, which could positively impact its market positioning and stakeholder value.

The most recent analyst rating on (TSE:SVM) stock is a Buy with a C$6.00 price target. To see the full list of analyst forecasts on Silvercorp Metals stock, see the TSE:SVM Stock Forecast page.

Business Operations and StrategyRegulatory Filings and Compliance
Silvercorp Updates Mineral Resource Estimate for Condor Project
Neutral
Jun 12, 2025

Silvercorp Metals Inc. has filed an updated mineral resource estimate for its Condor gold project in Ecuador, prepared by SRK Consulting. This filing, done voluntarily, indicates that the Condor Project is not currently a material property for the company, suggesting limited immediate impact on its operations. However, it reflects Silvercorp’s ongoing efforts to maintain transparency and compliance with industry standards.

The most recent analyst rating on (TSE:SVM) stock is a Buy with a C$6.00 price target. To see the full list of analyst forecasts on Silvercorp Metals stock, see the TSE:SVM Stock Forecast page.

Financial DisclosuresRegulatory Filings and Compliance
Silvercorp Metals Files Fiscal 2025 Annual Report
Positive
Jun 5, 2025

Silvercorp Metals Inc. has filed its fiscal 2025 annual report on Form 40-F with the U.S. Securities and Exchange Commission. This filing, which includes audited financial statements and management’s discussion, is accessible on both the company’s and the SEC’s websites. This move underscores Silvercorp’s transparency and commitment to keeping stakeholders informed, potentially impacting its market positioning by reinforcing investor confidence.

The most recent analyst rating on (TSE:SVM) stock is a Buy with a C$5.10 price target. To see the full list of analyst forecasts on Silvercorp Metals stock, see the TSE:SVM Stock Forecast page.

DividendsBusiness Operations and Strategy
Silvercorp Declares Semi-Annual Dividend Amidst Strategic Growth Focus
Positive
May 26, 2025

Silvercorp Metals Inc. has announced a semi-annual dividend of US$0.0125 per share, payable to shareholders of record by June 6, 2025, with payment by June 26, 2025. This dividend declaration reflects the company’s ongoing commitment to returning value to shareholders, although future dividends will depend on various factors such as commodity prices and market conditions.

The most recent analyst rating on (TSE:SVM) stock is a Buy with a C$6.00 price target. To see the full list of analyst forecasts on Silvercorp Metals stock, see the TSE:SVM Stock Forecast page.

M&A TransactionsBusiness Operations and StrategyFinancial Disclosures
Silvercorp Metals Reports Strong Fiscal 2025 Results and Strategic Expansion
Positive
May 22, 2025

Silvercorp Metals Inc. reported a strong fiscal year 2025, with an adjusted net income of $75.1 million and cash flow from operations reaching $138.6 million. Despite a loss attributable to equity shareholders in Q4, the company achieved significant revenue growth and operational efficiency, highlighted by a 76% increase in quarterly revenue and a 101% rise in mine operating earnings. The acquisition of Adventus Mining Corporation and investments in projects like El Domo and Condor demonstrate Silvercorp’s strategic expansion efforts. The company also strengthened its financial position with increased cash reserves and a stream financing credit for future project development.

The most recent analyst rating on (TSE:SVM) stock is a Buy with a C$6.00 price target. To see the full list of analyst forecasts on Silvercorp Metals stock, see the TSE:SVM Stock Forecast page.

Product-Related AnnouncementsBusiness Operations and Strategy
Silvercorp Updates Mineral Resource Estimate for Ecuador’s Condor Project
Positive
May 12, 2025

Silvercorp Metals has announced an updated mineral resource estimate for its Condor Project in Ecuador, highlighting a shift towards higher-grade underground mining. The updated estimate, prepared by SRK Consulting, reveals significant indicated and inferred underground resources at the Camp and Los Cuyes deposits, with favorable metallurgical test results indicating high gold recoveries. This update is expected to enhance Silvercorp’s operational efficiency and strengthen its position in the mining industry.

The most recent analyst rating on (TSE:SVM) stock is a Buy with a C$6.00 price target. To see the full list of analyst forecasts on Silvercorp Metals stock, see the TSE:SVM Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 11, 2025