The silver price had a good performance this year, but what are the best silver stocks on the TSX? We’ve got the answers here.
Although 2019 has not seen silver reach the same heights as its counterpart gold, the white metal was still prosperous and managed to break through the US$19 per ounce level in September.
Against that backdrop, many companies in the silver space have made progress and expanded the resource potential of their assets. Now that 2019 is coming to a close, the Investing News Network has rounded up the five best silver stocks on the TSX with the biggest share price gains year-to-date.
The list below was generated on December 4, 2019, using TradingView’s stock screener, and all companies listed had market caps above C$50 million at that time.
1. Silvercorp Metals (TSX:SVM)
Year-to-date gain: 145.61 percent; current share price: C$7
Silvercorp Metals has multiple silver mines throughout China. It focuses on acquiring underdeveloped projects with resource potential and the ability to grow organically.
Over the years, Silvercorp has earned its place as China’s premier silver producer, with output of 6.4 million ounces of silver, 64.8 million pounds of lead, 22.7 million pounds of zinc and 3,500 ounces of gold during its latest fiscal year, which ended on March 31, 2019.
Most recently, the miner reported on an exploration program at its SGX mine within the Ying mining district. The company intersected 1,102 grams per metric ton silver, 16.39 percent lead and 1.55 percent zinc over 1.2 meters.
2. SilverCrest Metals (TSX:SIL)
Year-to-date gain: 102.26 percent; current share price: C$8.07
SilverCrest Metals has set its focus on new discoveries and value-added acquisitions; it is targeting production in Mexico’s prolific precious metals districts. The miner is also the first to drill test the historic, high-grade Las Chispas silver-gold project.
Towards the end of November, the company announced its best drill hole to date at Las Chispas. SilverCrest noted that it intercepted 8.6 meters (true width) at 7,873 grams per metric ton gold equivalent at the newly defined 118 zone.
On December 3, the miner entered into a C$80 million bought deal in order to fund continued exploration and development of Las Chispas.
3. First Majestic Silver (TSX:FR)
Year-to-date gain: 86.78 percent; current share price: C$14.98
First Majestic Silver is a silver-focused company producing out of Mexico. Currently, the company owns and operates seven silver-producing mines with annual production from these assets projected to be between 27 million and 30 million silver equivalent ounces per year.
The company fully owns six producing silver mines in Mexico: the San Dimas silver-gold mine, the Santa Elena silver-gold mine, the La Encantada silver mine, the San Martin silver mine, the La Parrilla silver mine and the Del Toro silver mine.
At the beginning of November, the miner released its Q3 results, stating that revenue was up 10 percent year-on-year to C$97 million due to increasing silver prices. Additionally, First Majestic produced 3,367,740 ounces of silver and 6,636,716 silver equivalent ounces during the three month period.
4. Americas Gold and Silver (TSX:USA)
Year-to-date gain: 69.96 percent; current share price: C$3.79
Formerly known as Americas Silver, this miner prides itself on creating shareholder value via near-term production and cash flow growth, as well as targeted, accretive merger and acquisition activity.
Of the company’s many assets, the Cosalá district in Sinaloa, Mexico, and the Galena complex in Idaho, US, are well-established operating platforms that are positioned to deliver sustainable and growing production and free cash flow. The newly acquired Relief Canyon mine in Nevada, US, will increase Americas Gold and Silver’s precious metal production growth throughout next year.
At the beginning of November, the miner released its Q3 results, noting that it had consolidated silver production of approximately 1.3 million silver equivalent ounces and 300,000 silver ounces.
5. MAG Silver (TSX:MAG)
Year-to-date gain: 42.3 percent; current share price: C$14.23
MAG Silver is focused on becoming a top-tier primary silver mining company by exploring and advancing high-grade, district-scale, silver-dominant projects in the Americas. The miner’s main asset is the Juanicipio property in Mexico.
MAG’s silver and gold Juanicipio joint venture project with Fresnillo (LSE:FRES), held through Minera Juanicipio, received final approval from both of the miners’ boards as well as from Minera Juanicipio shareholders in April of this year. Since then, further progress has been made in detailed engineering and earthmoving, as well as in the commencement of foundation preparation for the construction of a 4,000 metric ton per day beneficiation plant.
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Securities Disclosure: I, Nicole Rashotte, hold no direct investment interest in any company mentioned in this article.