First Majestic Silver Corp. [AG] is -21.78% lower this YTD. Is it still time to buy?

First Majestic Silver Corp. [NYSE: AG] gained 5.33% on the last trading session, reaching $8.69 price per share at the time. The company report on December 7, 2022 that First Majestic Announces Proposed Sale of The La Parrilla Silver Mine for Up To US$33.5 Million.

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Vancouver, British Columbia–(Newsfile Corp. – December 7, 2022) – First Majestic Silver Corp. (NYSE: AG) (TSX: FR) (FSE: FMV) (the “Company” or “First Majestic”) is pleased to announce that it has entered into an Asset Purchase Agreement dated December 7, 2022 to sell its 100% owned past producing La Parrilla Silver Mine located in the state of Durango, Mexico to Golden Tag Resources Ltd. (TSXV: GOG)  (“Golden Tag”) for total consideration of up to US$33.5 million (the “Transaction”).

On closing of the Transaction, First Majestic will receive 143,673,684 Golden Tag shares at a deemed price of CDN$0.19 per share having an aggregate value of US$20.0 million (the “Consideration Shares”) and representing approximately 40% of the outstanding shares in Golden Tag. First Majestic will receive up to US$13.5 million (see terms below) in the form of three milestone payments in either cash or shares in Golden Tag with the share price and number of shares to be determined upon the anniversary date (where applicable).

First Majestic Silver Corp. represents 265.46 million in outstanding shares, while the company has a total market value of $2.31 billion with the latest information. AG stock price has been found in the range of $8.45 to $8.87.

If compared to the average trading volume of 7.35M shares, AG reached a trading volume of 6833769 in the most recent trading day, which is why market watchdogs consider the stock to be active.

Here is what top equities market gurus are saying about First Majestic Silver Corp. [AG]:

Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for AG shares is $10.63 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on AG stock is a recommendation set at 2.30. 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.

TD Securities have made an estimate for First Majestic Silver Corp. shares, keeping their opinion on the stock as Buy, with their previous recommendation back on December 07, 2021. The new note on the price target was released on October 20, 2020, representing the official price target for First Majestic Silver Corp. stock.

The Average True Range (ATR) for First Majestic Silver Corp. is set at 0.44, with the Price to Sales ratio for AG stock in the period of the last 12 months amounting to 3.39. The Price to Book ratio for the last quarter was 1.70.

Trading performance analysis for AG stock

First Majestic Silver Corp. [AG] fell into the red zone at the end of the last week, falling into a negative trend and dropping by -3.66. With this latest performance, AG shares dropped by -4.30% in over the last four-week period, additionally plugging by 11.13% over the last 6 months – not to mention a drop of -19.98% 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 AG stock in for the last two-week period is set at 47.10, with the RSI for the last a single of trading hit 45.82, and the three-weeks RSI is set at 48.66 for First Majestic Silver Corp. [AG]. The present Moving Average for the last 50 days of trading for this stock 8.78, while it was recorded at 8.59 for the last single week of trading, and 9.08 for the last 200 days.

First Majestic Silver Corp. [AG]: A deeper dive into fundamental analysis

Operating Margin for any stock indicates how profitable investing would be, and First Majestic Silver Corp. [AG] shares currently have an operating margin of +8.01 and a Gross Margin at +16.52. First Majestic Silver Corp.’s Net Margin is presently recorded at -0.84.

Return on Equity for this stock declined to -0.43, with Return on Assets sitting at -0.29.

First Majestic Silver Corp. [AG]: An earnings per share (EPS) analysis

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 AG. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for First Majestic Silver Corp. go to 46.80%.

An analysis of insider ownership at First Majestic Silver Corp. [AG]

There are presently around $710 million, or 34.98% of AG stock, in the hands of institutional investors. The top three institutional holders of AG stocks are: VAN ECK ASSOCIATES CORP with ownership of 25,980,114, which is approximately -1.202% of the company’s market cap and around 9.75% of the total institutional ownership; ETF MANAGERS GROUP, LLC, holding 9,986,328 shares of the stock with an approximate value of $86.78 million in AG stocks shares; and VANGUARD GROUP INC, currently with $67.28 million in AG stock with ownership of nearly 3.672% of the company’s market capitalization.

105 institutional holders increased their position in First Majestic Silver Corp. [NYSE:AG] by around 6,942,431 shares. Additionally, 77 investors decreased positions by around 7,467,795 shares, while 48 investors held positions by with 67,303,763 shares. The mentioned changes placed institutional holdings at 81,713,989 shares, according to the latest SEC report filing. AG stock had 31 new institutional investments in for a total of 1,994,437 shares, while 27 institutional investors sold positions of 863,949 shares during the same period.

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