Pan American Silver Corp. [NASDAQ: PAAS] stock went on a downward path that fall over -6.35% on Thursday, amounting to a one-week price decrease of less than -8.85%. The company report on April 13, 2022 that Pan American Silver (PAAS): Initiation – Lean, Mean Silver Machine.
Pan American Silver (PAAS) is one of the world largest primary silver producers, with key operations in the Americas. While the well-timed acquisition of Tahoe Resources in 2019 boosted exposure to gold, given the quality and the calibre of its key silver assets, PAAS remains predominantly a silver play. Although the COVID-19 pandemic and current geopolitical tensions have supported investment demand and driven commodity prices, in the longer term, normalising economic conditions and monetary policy signal a gradual shift to physical demand. With ongoing expansion in renewables, which could intensify due to energy security concerns, we expect solar photovoltaics and general e-mobility to become the main areas of growth for silver.
Our discounted cash flow to equity valuation of PAAS is US$26.2/share, including Escobal at c US$7/share. Combined with an in-situ value of the greenfield projects, a 17% interest in Maverix Metals and Morococha at book value, it implies a total valuation of US$31.0/share. Given the strength in commodity prices, a 10% increase in our silver/gold price deck would boost our valuation by c 20%. Other near-term price catalysts include progress on the Escobal consultation process.
Over the last 12 months, PAAS stock dropped by -19.35%. The one-year Pan American Silver Corp. stock forecast points to a potential upside of 29.98. The average equity rating for PAAS stock is currently 2.00, trading closer to a bullish pattern in the stock market.
The market cap for the stock reached $5.76 billion, with 210.35 million shares outstanding and 210.24 million shares in the current float. Compared to the average trading volume of 2.74M shares, PAAS stock reached a trading volume of 3047624 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Guru’s Opinion on Pan American Silver Corp. [PAAS]:
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for PAAS shares is $38.99 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on PAAS stock is a recommendation set at 2.00. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
Canaccord Genuity have made an estimate for Pan American Silver Corp. shares, keeping their opinion on the stock as Hold, with their previous recommendation back on February 25, 2022. While these analysts kept the previous recommendation, RBC Capital Mkts raised their target price to Sector Perform. The new note on the price target was released on June 02, 2021, representing the official price target for Pan American Silver Corp. stock.
The Average True Range (ATR) for Pan American Silver Corp. is set at 1.08, with the Price to Sales ratio for PAAS stock in the period of the last 12 months amounting to 3.53. The Price to Book ratio for the last quarter was 2.18, with the Price to Cash per share for the same quarter was set at 1.59. Price to Free Cash Flow for PAAS in the course of the last twelve months was 74.77 with Quick ratio for the last quarter at 1.30.
PAAS Stock Performance Analysis:
Pan American Silver Corp. [PAAS] fell into the red zone at the end of the last week, falling into a negative trend and dropping by -8.85. With this latest performance, PAAS shares dropped by -0.98% in over the last four-week period, additionally plugging by 5.41% over the last 6 months – not to mention a drop of -19.35% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for PAAS stock in for the last two-week period is set at 45.96, with the RSI for the last a single of trading hit 39.48, and the three-weeks RSI is set at 49.62 for Pan American Silver Corp. [PAAS]. The present Moving Average for the last 50 days of trading for this stock 26.61, while it was recorded at 28.91 for the last single week of trading, and 25.48 for the last 200 days.
Insight into Pan American Silver Corp. Fundamentals:
Operating Margin for any stock indicates how profitable investing would be, and Pan American Silver Corp. [PAAS] shares currently have an operating margin of +17.32 and a Gross Margin at +21.40. Pan American Silver Corp.’s Net Margin is presently recorded at +5.97.
Return on Equity for this stock inclined to 3.68, with Return on Assets sitting at 2.77.
Pan American Silver Corp.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 1.30 and a Current Ratio set at 2.60.
PAAS Stock EPS
The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for PAAS. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Pan American Silver Corp. go to 17.14%.
Pan American Silver Corp. [PAAS] Insider Position Details
There are presently around $2,745 million, or 60.90% of PAAS stock, in the hands of institutional investors. The top three institutional holders of PAAS stocks are: VAN ECK ASSOCIATES CORP with ownership of 20,926,026, which is approximately -4.226% of the company’s market cap and around 1.60% of the total institutional ownership; VANGUARD GROUP INC, holding 6,570,593 shares of the stock with an approximate value of $191.53 million in PAAS stocks shares; and MIRAE ASSET GLOBAL INVESTMENTS CO., LTD., currently with $117.23 million in PAAS stock with ownership of nearly -1.113% of the company’s market capitalization.
Positions in Pan American Silver Corp. stocks held by institutional investors increased at the end of May and at the time of the May reporting period, where 145 institutional holders increased their position in Pan American Silver Corp. [NASDAQ:PAAS] by around 7,838,959 shares. Additionally, 120 investors decreased positions by around 10,401,873 shares, while 57 investors held positions by with 75,924,885 shares. The mentioned changes placed institutional holdings at 94,165,717 shares, according to the latest SEC report filing. PAAS stock had 45 new institutional investments in for a total of 3,802,553 shares, while 27 institutional investors sold positions of 1,298,065 shares during the same period.