Core Insights - The metal and mining stocks, particularly silver, gold, and copper, have shown significant performance in 2025, with silver prices surging due to high industrial demand and supply shocks [1][10]. Silver Price Performance - iShares Silver Trust (SLV) has gained 126.3% year-to-date as of December 19, 2025, outperforming SPDR Gold Trust (GLD), which has advanced about 63% [3][10]. - The surge in silver prices is attributed to persistent supply tightness and increased industrial usage [3]. Industrial Demand and Applications - Approximately 50% of silver's total demand comes from industrial applications, with a notable rise in demand driven by green energy initiatives [4]. - The automotive industry is expected to drive higher silver demand due to increased vehicle sophistication and electrification of powertrains [5]. - China's solar boom and the global rollout of 5G technology have positively impacted silver demand [5]. Economic Factors Influencing Silver Prices - The Federal Reserve's three rate cuts in 2025 and a softer labor market have contributed to a weaker U.S. dollar, which typically supports non-yielding assets like silver and gold [6][8]. - The U.S. dollar index (UUP) has decreased by 5.4% in 2025, reflecting trade uncertainties and a trend towards de-dollarization [7]. Safe-Haven Demand - Silver has maintained a safe-haven appeal amid moderate trade tensions, although it is not as strong as gold [11]. ETF Holdings and Market Trends - Holdings in silver-backed ETFs have reached their highest level since 2022, indicating continued investor interest [12]. - Speculative flows have intensified supply pressures, with inventories at the Shanghai Futures Exchange dropping to their lowest point in a decade [12]. Top Performing Stocks in SLVP - Hecla Mining Co has increased by 274% YTD and holds 15.90% of SLVP's basket [14]. - Industrias Peñoles has risen by 217.1% and accounts for 11.84% of SLVP [14]. - Fresnillo plc has surged by 396.7% and represents about 10.35% of SLVP [15]. - First Majestic Silver has gained 180.5% and has an 8.29% weight in SLVP [16]. - Discovery Silver Corp has skyrocketed by 963.3% and constitutes about 4.91% of SLVP [17]. - Endeavour Silver Corp has increased by 138.0% and has a 4.46% weight in SLVP [18]. - Wheaton Precious Metals has risen by 106.1% and holds a 4.08% weight in SLVP [19].

Group 1 - Gold stocks experienced a pre-market surge, with Hycroft Mining (HYMC.US) rising over 21%, Coeur Mining (CDE.US) up over 5%, AngloGold Ashanti (AU.US) increasing over 4%, and Newmont Corporation (NEM.US) gaining over 3% [1] - Silver stocks also saw collective gains in pre-market trading, with First Majestic Silver (AG.US) rising nearly 4%, Endeavour Silver (EXK.US), and Dolly Varden Silver (DVS.US) both increasing over 4% [1] Group 2 - The price of spot gold rose nearly 2% to surpass $4420 per ounce, reaching new highs, with a year-to-date increase of over 68% [1] - Spot silver prices increased by 2.6% to exceed $69 per ounce, also hitting new highs, with a year-to-date rise of over 140% [1]

Core Viewpoint - First Majestic Silver Corp. has entered into a definitive agreement to sell the Del Toro Silver Mine to Sierra Madre Gold & Silver Ltd. for a total consideration of up to $60 million, which includes cash and shares [1][2][9]. Group 1: Deal Structure - The agreement includes an initial payment of $20 million in cash and $10 million in common shares at a price of $1.30 per share upon closing [2]. - An additional $10 million will be paid within 18 months of closing [2]. - If the mine reports mineral resources of 100 million ounces within 48 months of closing, Sierra Madre will pay another $10 million [3]. - If Del Toro produces 4,000 tons per day for 30 consecutive days within 60 months of the deal closing, First Majestic will receive an extra $10 million [3]. Group 2: Conditions and Financing - The deal is contingent upon Sierra Madre completing a concurrent private placement financing to raise CAD$40 million (approximately $29 million) and meeting other closing conditions [4]. - Sierra Madre previously acquired the La Guitarra mine from First Majestic in 2023, indicating a history of collaboration between the two companies [4]. Group 3: Market Performance - First Majestic's stock has increased by 196.7% this year, outperforming the industry average growth of 170% [5]. - The company currently holds a Zacks Rank of 2 (Buy), indicating a positive outlook [6][10].

Group 1: Market Overview - The Dow Jones Industrial Average, S&P 500, and Nasdaq Composite have seen year-to-date gains of 14%, 16%, and 20% respectively as of December 12, 2025 [1] - The focus of investing should be on future opportunities rather than past performance [2] Group 2: Investment Strategy - The company has increased cash reserves for future investments while maintaining a long-term focus on 36 positions, with the top 10 holdings accounting for over 81% of invested assets [3] Group 3: Company Highlights - **SSR Mining**: The stock has gained 219% year-to-date, driven by rising gold and silver prices and potential reinstatement of its environmental license at the Copler mine [5][6] - **Teva Pharmaceutical Industries**: The company is shifting focus to high-margin drug development, with the drug Austedo expected to generate over $2 billion in sales for 2025 [7][8] - **iShares 0-3 Month Treasury Bond ETF**: This ETF is used to manage cash reserves, offering a yield around 4% compared to a negligible yield on uninvested cash [9][10] - **Meta Platforms**: The company has significant ad-pricing power and closed September with approximately $44.5 billion in cash, on track to generate over $100 billion in cash from operations in 2025 [11][13] - **Bank of America**: The bank has been a long-term holding, facing challenges from recent Federal Reserve rate cuts but still generating profitable loans [15][16] - **PubMatic**: Positioned well in digital advertising, with connected TV ad growth exceeding 50% year-over-year and positive operating cash flow [17][19] - **First Majestic Silver**: The company has seen profit projections rise due to higher silver prices, but management struggles with mining costs have led to a reduction in holdings [21][22] - **Pinterest**: The platform has reached 600 million monthly active users and has potential for improved monetization, with a forward P/E ratio of 13 [24][26] - **PayPal Holdings**: Despite stalling active account growth, payment transactions per account have increased by 41%, and the company has initiated a quarterly dividend program [29][30] - **Alphabet**: The company maintains a dominant market share in internet search and is expected to see growth from its Google Cloud platform, particularly with AI integration [31][33]

Core Viewpoint - First Majestic Silver Corp. has entered into a definitive agreement to sell its 100%-owned Del Toro Silver Mine to Sierra Madre Gold & Silver Ltd. for total consideration of up to US$60 million, which includes US$30 million upfront and an additional US$30 million in delayed and contingent payments [1][2]. Transaction Details - The agreement stipulates that Sierra Madre will acquire all shares of First Majestic Del Toro, S.A. de C.V., which holds a 100% interest in Del Toro, in exchange for the specified cash and share consideration [2]. - All Sierra Madre Shares issued to First Majestic will be subject to a hold period of four months and one day from the date of issuance, along with additional resale restrictions [2]. Conditions for Transaction - The transaction is contingent upon Sierra Madre completing a concurrent private placement financing of at least CAD$40 million and obtaining various approvals, including acceptance by the TSXV and Mexican Antitrust approval [3]. - Sierra Madre plans to conduct an offering of up to CAD$50 million in subscription receipts, expected to be completed in January 2026 [3]. Shareholder Approval - Sierra Madre will seek shareholder approval for the transaction at a meeting anticipated by the end of April 2026, requiring a simple majority of votes cast, excluding votes from First Majestic and other specified persons [4]. Company Background - The Del Toro Silver Mine is a past producing operation that was placed under care and maintenance by First Majestic in January 2020 [5]. - First Majestic is a publicly traded mining company focused on silver and gold production in Mexico and the U.S., operating four producing underground mines and holding various development and exploration assets [6]. Additional Information - First Majestic operates its own minting facility, First Mint, LLC, offering a portion of its silver production for public sale [7].

Core Insights - Silver is experiencing a significant bull run, with prices recently reaching $64 an ounce, translating to a year-to-date gain of 114.8%, outperforming gold's 63.9% rally [2][3] - The macro environment for silver is expected to improve in 2026, driven by a dovish Federal Reserve, strong demand, and a persistent supply deficit [3] - The U.S. Geological Survey has classified silver as a critical mineral, which may lead to policy support and efforts to strengthen domestic supply chains [5] Silver Market Dynamics - The total global silver supply is projected to rise by 1% in 2025 to 1.022 billion ounces, while total demand is expected to drop by 4% to around 1.117 billion ounces [6] - The silver market is anticipated to record a deficit of approximately 95 million ounces in 2025, marking the fifth consecutive year of deficit [7] - Industrial demand for silver is expected to decline by 2% in 2025 due to global economic uncertainties [6] Growth Drivers - The increasing adoption of solar technology is driving demand for silver in photovoltaic applications, with global renewable power capacity expected to double between 2025 and 2030 [8] - The electrification of the automotive industry is boosting silver demand, particularly in battery electric vehicles [9] - Rapid digitalization and the rise of AI are emerging as new demand drivers for silver [10] Featured Companies - **Fresnillo plc**: The company is acquiring Probe Gold, which has the potential to produce over 200,000 ounces annually. The Zacks Consensus Estimate for Fresnillo's earnings indicates a year-over-year growth of 380.6% for 2025 [12][14] - **Hecla Mining**: The company is focusing on reducing debt and enhancing operational efficiency. The Zacks Consensus Estimate for Hecla's earnings indicates a year-over-year growth of 245.5% for 2025 [15][18] - **First Majestic Silver**: The acquisition of Gatos Silver is expected to boost free cash flow and production. The Zacks Consensus Estimate for First Majestic's earnings indicates a year-over-year growth of 279% for 2025 [19][22]

Core Insights - Warren Buffett's prediction regarding silver prices has materialized, with a significant increase in silver prices over the past three years, approximately 150% [4][7] - The imbalance between silver supply and demand continues, with the world consuming 149 million more ounces of silver than produced last year [6][14] Industry Overview - The silver market has experienced a bull run, driven by robust industrial demand and inelastic supply, as mine production has increased by less than 1% in 2024 [4][6] - The ongoing trend of silver demand outpacing supply is expected to persist, marking the fifth consecutive year of this deficit, with over 100 million ounces expected [14] Company Analysis: First Majestic Silver - First Majestic Silver is positioned as a near pure-play silver miner, with 57% of its revenue derived from silver, significantly higher than its peers [11] - The company reported a record quarter with 3.9 million ounces produced, reflecting a 96% year-over-year increase in production [11][12] - First Majestic's all-in sustaining costs for silver range between $14.80 to $15.80 per ounce, ensuring profitability as long as silver prices remain above this threshold [11] - The company's revenue surged by $139 million in Q3, with $73 million attributed to increased silver production and $66 million from rising silver prices, indicating strong operational performance [12] - Despite a high price-to-earnings ratio of 113, the company's significant revenue growth positions it well for future valuation adjustments [13]

Market Overview - Silver is projected to have its strongest year, with prices recently reaching a high of $64 an ounce and currently around $63, resulting in a year-to-date gain of 114.8%, surpassing gold's 63.9% increase [1][10] - The silver market is expected to face a supply deficit for the fifth consecutive year in 2025, estimated at around 95 million ounces, which is likely to support higher prices [6][10] Demand and Supply Dynamics - Total global silver supply is expected to rise by 1% in 2025 to 1.022 billion ounces, primarily due to a 1% increase in recycling activity, while mine production is anticipated to remain flat [5] - Total demand for silver is projected to be approximately 1.117 billion ounces in 2025, reflecting a 4% decrease from 2024, with industrial demand expected to decline by 2% due to global economic uncertainties [5] Investment Opportunities - Companies such as Fresnillo plc (FNLPF), Hecla Mining (HL), and First Majestic Silver (AG) are recommended for investors, as they are backed by positive earnings revisions and strong growth visibility through 2026 [2] - Fresnillo is expanding its portfolio through the acquisition of Probe Gold, which is expected to enhance its production capabilities and align with its growth strategy [14] - Hecla Mining is focusing on operational excellence and has promising exploration results that could extend its production profile [16] - First Majestic Silver's acquisition of Gatos Silver is expected to boost its free cash flow and enhance its position as a primary silver producer [18] Future Trends - The U.S. Geological Survey has included silver in its 2025 List of Critical Minerals, highlighting its strategic importance in various sectors, which may lead to policy support and efforts to strengthen domestic supply chains [4] - The increasing use of silver in photovoltaic applications and the automotive industry, particularly in electric vehicles, is expected to drive demand as the world transitions to renewable energy and digital infrastructure [7][8][9]

Core Insights - First Majestic Silver Corp. has announced significant expansions in gold and silver mineralization at the Santo Niño and Navidad discoveries, with new drilling results exceeding the previously declared 2024 Inferred Resources [1][5][7] - The company is initiating scoping-level studies for potential mining strategies at both discoveries, which will guide future development [2][4] - Metallurgical testing indicates excellent recovery rates for gold and silver, exceeding 95%, confirming compatibility with the Santa Elena processing plant [3][16] Exploration and Drilling Highlights - At Santo Niño, 15,307 meters of drilling over 32 holes have defined extensive mineralization, extending over 1,100 meters by 400 meters, with true thickness ranging from 2.5 meters to 5.0 meters [5][13] - At Navidad, 10,161 meters of drilling has been completed, revealing significant intercepts that extend over 1,200 meters by 400 meters, with an average true thickness of 3.0 meters to 4.0 meters [7][19] - The Luna Zone has seen 11,190 meters of infill drilling, enhancing geological understanding and supporting the conversion of Inferred Mineral Resources to Indicated Mineral Resources [8][19] Management and Strategic Developments - Mani Alkhafaji has been promoted to President & Chief Corporate Development Officer, effective January 1, 2026, as part of the company's growth strategy [31][32] - The company plans to increase throughput at the Santa Elena plant from approximately 3,200 tonnes per day to 3,500 tonnes per day by the end of 2026, reflecting confidence in long-term operations [4][11] District Exploration - The Santa Elena District has completed approximately 66,800 meters of exploration drilling in 2025, exceeding the planned 64,000 meters, indicating a proactive approach to exploration success [11][19] - The exploration program continues to yield positive results across multiple targets, reinforcing the district's potential for further mineral resource additions [11][19]

Core Viewpoint - First Majestic Silver Corp. has successfully closed an offering of US$300 million in unsecured convertible senior notes, with an additional US$50 million from an over-allotment option, aimed at refinancing existing debt and supporting corporate strategies [1][2]. Group 1: Offering Details - The offering consists of US$300 million aggregate principal amount of 0.125% unsecured convertible senior notes due in 2031 [1]. - The initial conversion rate for the notes is set at 44.7227 common shares per US$1,000 principal amount, translating to an initial conversion price of approximately US$22.36 per share [1]. Group 2: Use of Proceeds - Approximately US$174.7 million of the proceeds will be used to repurchase existing 0.375% convertible senior notes due in 2027, with a total payment of about US$214.7 million [2]. - The remaining net proceeds from the offering will be allocated for general corporate purposes, including potential strategic opportunities [2]. Group 3: Company Overview - First Majestic is a publicly traded mining company focused on silver and gold production, operating four underground mines in Mexico and holding a portfolio of development and exploration assets, including the Jerritt Canyon Gold project in Nevada, U.S.A. [5].