The precious metals market has been buzzing this year, with both silver and gold showing impressive returns. Silver, in particular, has returned almost 40% year-to-date, but recent technical analysis indicates it may have more room to run. With key support and resistance levels lining up, and long-term momentum building, silver could outperform gold in the weeks ahead. Below are three silver-related stocks that are worth keeping an eye on, especially as silver appears poised for a potential breakout.
Pan American Silver (PAAS)
Strong Earnings Growth in the Silver Surge
Pan American Silver has benefitted significantly from the recent rise in silver prices, with the metal trading around $33 an ounce. PAAS has surged due to a confluence of factors, including rising tensions in the Middle East, safe-haven demand, and positive economic data from China that has boosted silver’s demand outlook. Analysts expect the company to report strong earnings in its upcoming quarterly report, with an EPS forecast of $0.22—representing a year-over-year increase of 2100%. The company’s revenue is also projected to rise by 18.4%, hitting $729.87 million. These impressive earnings expectations, along with a recent 6.5% upward revision in EPS estimates, make Pan American Silver a stock to watch as the silver market heats up.
Silvercorp Metals (SVM)
Production Gains and Rising Revenues
Silvercorp Metals has seen its shares rally in recent weeks, thanks in part to strong production numbers. The company reported a 26% increase in revenue year-over-year, totaling $68 million for the second quarter of fiscal 2025, ending September 30, 2024. Silvercorp’s silver production rose 4% to 1.7 million ounces, while zinc production jumped 26% compared to the same quarter last year. While lead production dipped by 18%, the overall silver equivalent production remained robust at 1.8 million ounces. With a strong operational quarter behind them and rising commodity prices, Silvercorp could continue its upward momentum in the near term.
First Majestic Silver Corp (AG)
Increased Silver Equivalent Production and High-Grade Discovery
First Majestic Silver has had a productive third quarter of 2024, producing 5.5 million silver equivalent ounces, a 4% increase from the prior quarter. The company’s exploration efforts have also yielded promising results, with the discovery of a new high-grade gold and silver vein system at its Santa Elena property. Furthermore, First Majestic has taken control of the silver bullion process by opening First Mint, LLC in Nevada. This state-of-the-art minting facility allows the company to refine and sell its own silver products, giving it greater control over production costs and distribution. With 72% of its revised 2024 production guidance already achieved and ongoing expansion efforts, First Majestic looks well-positioned to benefit from further silver price gains.
Silver’s Breakout Potential: What to Watch For
Silver’s performance in 2024 has been stellar, but it appears to be setting up for even stronger gains as technical factors point toward a breakout. With key support at $29.60 and resistance near $34.00 for SLV (iShares Silver Trust), silver is positioned to outperform gold in the near term. Keep an eye on these silver-related stocks as the market reacts to both geopolitical tensions and broader macroeconomic trends, which could provide the next leg up for silver prices.
