Pan American Silver Corp. PAAS produced 21.1 million ounces of silver in 2024, up 3.4% from 2023. The consolidated silver production came within PAAS' expected 21.0-23.0 ounces for the year. Pan American Silver’s fourth-quarter silver output was 6 million ounces, driven by solid performance in the La Colorada mine.
The La Colorada mine produced 1.6 million ounces of silver in the fourth quarter of 2024.
Pan American Silver’s Performance
The company produced 892,000 ounces of gold in 2024, which came within its expectation of 868,000-988,000 ounces. Gold production in 2024 increased 1% year over year. The fourth-quarter gold production was 224,000 ounces, excluding the December production from the La Arena mine.
The Jacobina mine produced 197,000 ounces of gold in 2024, marking the highest recorded output in the mine's history.
PAAS also reported a year-over-year increase in zinc and lead production in 2024, where zinc production rose 16% to 45,000 tons and lead increased 12.3% to 21,000 tons. Both zinc and lead production came within the company’s expectations.
Pan American Silver’s 2024 copper production was 5,000 tons, flat compared with 2023.
PAAS’ Cash Position
As of Dec. 31, 2024, the company had cash and cash equivalents of $862.8 million and short-term investments of $24.5 million. This marked a rise from $417.4 million held on Sept. 30, 2024.
The increase in cash balance is driven by $306.6 million in cash proceeds from the divestiture of Pan American Silver's fully owned interest in La Arena S.A., which includes the $245 million cash consideration as well as an amount paid for working capital that is still subject to adjustment.
At the end of 2024, Pan American Silver has a total available liquidity of $1.64 billion.
Pan American Silver Stock Price Performance
PAAS shares have gained 58.1% over the past year compared with the industry's 56.6% growth.
Image Source: Zacks Investment Research
Q4 & FY24 Preliminary Performance of Other Silver Stocks
First Majestic Silver Corp. AG announced that its total production reached 5.7 million silver-equivalent (AgEq) ounces in the fourth quarter of 2024. The figure consists of 2.4 million silver ounces and 39,506 gold ounces.
AgEq ounces produced moved up 4% from the third quarter of 2024. The increase was driven by a 20% sequential rise in silver production and growth across the company’s three operating mines.
Total production for 2024 came in at 21.7 million AgEq ounces, consisting of 8.4 million silver ounces and 156,542 gold ounces. The AgEq ounces produced marked a 19% fall from the 2023 actual. However, the total production came within the company’s revised guidance of 21.4-22.6 million AgEq ounces.
Endeavour Silver Corporation EXK produced 1.6 million silver equivalent ounces in the fourth quarter of 2024, a 29% decline from the year-ago quarter due to reduced operating capacity at the Guanaceví mine. Consolidated silver production fell 41% year over year to 824,529 ounces. This was due to a decreased operating capacity at Guanaceví following the trunnion breakdown in August.
Endeavour Silver witnessed a 6% year-over-year fall in gold production at 9,075 ounces. The downside was driven by a decrease in throughput, partially offset by higher gold grades mined at Guanaceví and Bolañitos. Gold output at the Guanaceví mine fell 29.5% year over year to 2,622 ounces, while the Bolañitos mine’s output grew 9.6% to 6,453 ounces.
PAAS’ Zacks Rank & Other Key Pick
The company currently carries a Zacks Rank #2 (Buy).
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Carpenter Technology has an average trailing four-quarter earnings surprise of 14.1%. The Zacks Consensus Estimate for CRS’ fiscal 2025 earnings is pegged at $6.61 per share. Its shares skyrocketed 177.5% last year.
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Pan American Silver Corp. (PAAS) : Free Stock Analysis Report
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