Core Insights - Generative AI is viewed as a transformative technology by Amazon's CEO Andy Jassy, indicating its potential to reinvent customer experiences across the company [1] - Elon Musk predicts that by 2040, humanoid robots could create a market worth $250 trillion, reshaping the global economy through an ecosystem of AI innovators [2][3] - Major firms like PwC and McKinsey recognize the multi-trillion-dollar potential of AI, suggesting a significant economic impact [3] Company and Industry Analysis - A breakthrough in AI technology is driving interest among hedge funds and top investors, with a particular under-owned company identified as pivotal to the $250 trillion revolution [4] - Notable billionaires, including Bill Gates and Warren Buffett, are positioning themselves around AI, highlighting its potential to improve various sectors such as healthcare and education [8] - The narrative suggests that a smaller company, rather than industry giants like Nvidia or Tesla, may hold the key to unlocking the full potential of AI technology [6][8]

Core Viewpoint - Endeavour Silver Corp. (NYSE:EXK) is highlighted as a top investment opportunity in the mining sector, with analysts raising price targets significantly based on strong performance indicators and strategic initiatives [1][2][3]. Group 1: Analyst Ratings and Price Targets - B. Riley analyst Nick Giles increased the price target for Endeavour Silver to $16 from $7 while maintaining a Buy rating [2]. - Alliance Global raised its price target on Endeavour Silver to $15.50 from $11, also keeping a Buy rating, citing strong 2025 results with increased production and revenue [3]. Group 2: Company Performance and Developments - Endeavour reported Q4 adjusted EPS of 2 cents, below the consensus estimate of 5 cents, but CEO Dan Dickson described 2025 as a transformative year with production growth and record revenue [4]. - Key milestones for Endeavour include the commissioning of the Terronera project, acquisition of Kolpa, and sale of the Bolanitos Mine, indicating a focus on strategic growth [4]. - The company’s balance sheet is positioned to support further exploration and technical work, particularly at the Pitarrilla project [4]. Group 3: Company Overview - Endeavour Silver Corp. engages in the acquisition, exploration, development, extraction, processing, and refining of silver and other mineral properties across Mexico, Chile, Peru, and the United States [5].

Financial Performance - Endeavour Silver Corp. reported record annual revenue of $467.5 million for the full year 2025, representing a 115% increase over 2024, driven by a 48% surge in silver equivalent production to 11 million ounces [1][2] - The company reported a net loss of $119.1 million for the year, primarily due to $126.2 million in derivative contract losses and increased finance costs following the start of commercial operations at the Terronera mine [2] Operational Highlights - The commencement of commercial production at the Terronera mine began in October 2025, and the company finalized a definitive agreement to sell the Bolañitos mine [2] - Consolidated cash costs rose to $19.05 per silver ounce, while all-in sustaining costs reached $41.19 per ounce, reflecting initial high costs associated with ramping up operations at Terronera and the impact of a stronger Mexican peso [3] - Despite increased throughput across the portfolio, initial efficiency at Terronera was affected by electrical disruptions, which are being addressed through new operational initiatives [3] - Operations at Terronera were briefly paused in February 2026 due to local security concerns and blockades, but normal activities resumed shortly thereafter [3] Company Overview - Endeavour Silver Corp. is a silver mining company engaged in acquiring, exploring, developing, extracting, processing, refining, and reclaiming mineral properties in Mexico, Chile, Peru, and the US, focusing on gold and silver deposits as well as precious metals and polymetals [4]

Core Viewpoint - Endeavour Silver Corp. announces significant changes in its Board of Directors and senior management team, marking a new phase of growth and execution as it aims to become a senior silver producer [1][12]. Management Changes - George Paspalas has been appointed to the Board of Directors, effective March 1, 2026, bringing over 40 years of international leadership experience in the mining sector, including his role as President and CEO of MAG Silver Corp. [2][4] - Don Gray, the current Chief Operating Officer, will retire on April 30, 2026, after playing a crucial role in transforming the Terronera project and shaping the company's operational success [5][8]. - Luis Castro has been appointed as the new Chief Operating Officer, effective March 1, 2026, having over 22 years of experience with Endeavour and a strong background in exploration and geology [7][9]. - Gord Bussieres has been appointed as Vice President, Projects, bringing more than 40 years of experience in project development and technical oversight [10][12]. Company Operations and Strategy - Endeavour Silver operates three underground mines in Mexico and Peru, supported by a robust development pipeline aimed at advancing its long-term strategy [1][12]. - The company is focused on building momentum and driving strategic priorities forward under the new leadership, particularly with the development of the Pitarrilla project [9][12].

Core Viewpoint - Endeavour Silver Corp. is entering a new phase of growth with key appointments to its Board of Directors and senior management team, aiming to advance its long-term strategy and move closer to becoming a senior silver producer [1]. Management Changes - George Paspalas has been appointed to the Board of Directors effective March 1, 2026, bringing over 40 years of international leadership experience in precious and base metals, including his role in developing the Juanicipio silver mine [2][4]. - Don Gray, the current Chief Operating Officer, will retire on April 30, 2026, after significantly contributing to the Terronera project and shaping the Pitarrilla mine's development [5][8]. - Luis Castro has been appointed as the new Chief Operating Officer effective March 1, 2026, having over 22 years of experience with Endeavour and a strong background in exploration and geology [7][9]. - Gord Bussieres has been appointed as Vice President, Projects, bringing over 40 years of experience in project development and technical oversight, which will be crucial for advancing Endeavour's development portfolio [9][10]. Company Overview - Endeavour Silver operates three underground mines in Mexico and Peru and has a robust pipeline of exploration projects across Mexico, Chile, and the United States, positioning itself for organic growth and value creation [11].

Financial Data and Key Metrics Changes - In 2025, Endeavour Silver produced 11 million ounces of silver equivalent metal, a 48% increase compared to 2024 [5] - The company reported record revenue of $468 million, up 115% from 2024, with cost of sales at $385 million and mine operating earnings of $83 million [7] - Cash costs increased to $19 per ounce of payable silver, primarily due to changes in the production profile [7] Business Line Data and Key Metrics Changes - In Q4 2025, Endeavour produced 2 million ounces of silver and 14,000 ounces of gold, totaling just shy of 4 million silver equivalent ounces, representing a 146% increase compared to Q4 2024 [6] - Excluding Coba and Terronera, production increased by 27% compared to the same period last year [6] Market Data and Key Metrics Changes - Silver and gold prices have seen exceptional gains, with gold trading above $5,000 and silver above $90, reflecting ongoing confidence in precious metals [4] - The company is well-positioned to benefit from current silver prices, indicating substantial runway remaining in this cycle [4] Company Strategy and Development Direction - Endeavour Silver's strategic initiatives include the acquisition of Kolpa, achieving commercial production at Terronera, and advancing the Pitarrilla development asset [4][5] - The company plans to invest $68 million in Pitarrilla in 2026, focusing on exploration and technical studies [12] Management's Comments on Operating Environment and Future Outlook - Management highlighted the impact of security events in Mexico on operations, emphasizing the safety of employees as a top priority [3] - The company anticipates a substantial reduction in direct operating costs as it transitions to liquefied natural gas in Q2 2026 [8] Other Important Information - As of December 31, 2025, the company's cash position was $215 million, providing financial strength to advance strategic initiatives [10] - The company expects to achieve improved cost efficiency at Kolpa as its plant expands to 2,500 tons per day [11] Q&A Session Summary Question: Can you discuss the mill availability and electrical interruptions at Terronera? - Management confirmed improvements in January and February, with stabilization in throughput and recovery rates [16][17] Question: What is the guidance on grades at Terronera for 2026? - Management indicated a gradual increase in grades throughout the year, with higher grades expected in the second half [24] Question: How will costs at Terronera drop in 2026? - Management expects costs to decrease as one-time expenditures are reduced and operational efficiencies are realized [56][60] Question: What changes in security protocols have been implemented at Terronera? - Management stated that while there will be increased presence around transportation lines, no dramatic changes in security costs are anticipated [65] Question: What is the status of the Bolanitos sale and its accounting impact? - The sale closed on January 15, and an accounting gain is anticipated in Q1 [70] Question: What are the permitting timelines for Pitarrilla? - Management aims for a Q1 2027 permit for the tailings storage facility, with ongoing work on engineering and permitting [84][87]

Financial Data and Key Metrics Changes - In 2025, Endeavour Silver produced 11 million ounces of silver equivalent metal, a 48% increase compared to 2024 [5] - The company reported record revenue of $468 million, up 115% from 2024, with cost of sales at $385 million and mine operating earnings of $83 million [7] - Mine operating cash flow before taxes rose by 116%, while cash costs increased to $19 per ounce of payable silver [7][8] - Adjusted net earnings for Q4 were $4.8 million, or $0.02 per share, impacted by realized losses from derivative contracts and higher financing costs [7][8] Business Line Data and Key Metrics Changes - In Q4, Endeavour Silver produced 2 million ounces of silver and 14,000 ounces of gold, totaling just shy of 4 million silver equivalent ounces, representing a 146% increase compared to Q4 of 2025 [6] - Excluding Coba and Terronera, production was up 27% compared to the same period last year [6] Market Data and Key Metrics Changes - Silver and gold prices have seen exceptional gains, with gold trading above $5,000 and silver above $90, reflecting ongoing confidence in precious metals [4] - The company is well-positioned to benefit from current silver prices, indicating substantial runway remaining in this cycle [4] Company Strategy and Development Direction - Endeavour Silver's strategic initiatives include the acquisition of Kolpa, achieving commercial production at Terronera, and advancing the Pitarrilla development asset [4][5] - The company plans to invest $68 million in Pitarrilla in 2026, including completing a feasibility study and advancing construction [12] - The focus remains on operational investment priorities across main operations and projects to drive growth in 2026 [10] Management's Comments on Operating Environment and Future Outlook - Management highlighted the importance of safety and operational stability, especially in light of recent security events in Mexico [3] - The transition from diesel to liquefied natural gas is expected to significantly reduce operating costs starting in Q2 2026 [8][17] - Management expressed confidence in achieving a steady state of operations at Terronera by mid-year 2026, with expectations for improved throughput and recoveries [11][91] Other Important Information - The company raised $350 million through a convertible debt offering in December, strengthening its balance sheet [5] - As of December 31, 2025, the company's cash position was $215 million, providing financial strength for strategic initiatives [10] Q&A Session Summary Question: Updates on operational issues at Terronera - Management confirmed improvements in mill availability and electrical disruptions, with expectations to transition to LNG for better stability and cost efficiency [15][17] Question: Grade profile at Terronera - Management indicated that lower grades were due to mining lower grade stockworks initially, with expectations for higher grades in the second half of 2026 [19][23] Question: Capital spending and development at Terronera - Management acknowledged being slightly behind on development but expects costs to decrease as operations stabilize [26][28] Question: Impact of silver prices on costs - Management noted that higher silver prices would increase direct costs due to royalties and duties, but margins remain strong [41][43] Question: Derivative hedge and risk management - Management discussed the remaining gold hedge and the company's policy to remain unhedged on silver, focusing on managing exposure to currency fluctuations [48][50] Question: Accounting implications of Bolanitos sale - Management confirmed an accounting gain from the sale of Bolanitos and discussed the impact of construction costs on taxes [70][72]

Financial Data and Key Metrics Changes - In 2025, Endeavour Silver produced 11 million ounces of silver equivalent metal, a 48% increase compared to 2024 [5] - The company reported record revenue of $468 million, up 115% from 2024, with cost of sales at $385 million and mine operating earnings of $83 million [6] - Adjusted net earnings for Q4 were $4.8 million, or $0.02 per share, impacted by realized losses from derivative contracts and higher financing costs [6][7] Business Line Data and Key Metrics Changes - In Q4, Endeavour produced 2 million ounces of silver and 14,000 ounces of gold, totaling just shy of 4 million silver equivalent ounces, representing a 146% increase compared to Q4 of 2025 [5] - Excluding Coba and Terronera, production increased by 27% compared to the same period last year [6] Market Data and Key Metrics Changes - Silver and gold prices have seen exceptional gains, with gold trading above $5,000 and silver above $90, driven by inflationary pressures and global economic uncertainty [4] - The company is well-positioned to benefit from current silver prices, indicating substantial runway remaining in this cycle [4] Company Strategy and Development Direction - Endeavour Silver's strategic initiatives include the acquisition of Kolpa, achieving commercial production at Terronera, and advancing the Pitarrilla development asset [4][5] - The company plans to invest $68 million in Pitarrilla in 2026, focusing on exploration and technical studies [12] Management's Comments on Operating Environment and Future Outlook - Management emphasized the importance of safety and operational stability, particularly in light of recent security events in Mexico [3] - The company anticipates a substantial reduction in direct operating costs as it transitions to liquefied natural gas in Q2 2026 [8][10] Other Important Information - As of December 31, 2025, the company's cash position was $215 million, providing financial strength to advance strategic initiatives [10] - The company expects to see improvements in throughput and recoveries as operations stabilize at Terronera [11] Q&A Session Summary Question: Can you discuss the mill availability and electrical interruptions at Terronera? - Management confirmed improvements in January and February, with stabilization of electrical disruptions and plans to transition to an LNG plant for better reliability and cost [15][17] Question: What is the guidance on grades at Terronera? - Management indicated that lower grades were due to mining stockwork, with expectations for higher grades in the second half of the year as operations progress [19][22] Question: How will costs drop in 2026? - Management explained that Q1 costs would be higher due to one-time expenditures, but costs are expected to decrease as operations stabilize and higher grades are processed [56][60] Question: What changes in security protocols have been implemented due to recent events in Jalisco? - Management stated that while there would be no dramatic changes in security costs, there would be increased monitoring of transportation lines [64][66] Question: What is the status of the Bolanitos sale and its accounting impact? - The sale closed on January 15, and the company anticipates recognizing an accounting gain in Q1 [72][73]

Core Insights - The company has successfully identified high-conviction investment opportunities and has provided members with strategies to hedge and capitalize on market corrections [1] - The investment group BAD BEAT Investing has a long-term investment history, initially buying shares at a basis of $1.35 in 2019 and becoming more aggressive in May 2020 [1] - The team consists of seven analysts with diverse expertise, focusing on both long and short trades, and aims to educate investors on proficient trading [1] Investment Strategy - BAD BEAT Investing emphasizes a blended trading and income approach to enhance savings and retirement timelines [1] - The group has maintained an average position of 95% long and 5% short since May 2020, showcasing a strategic market stance [1] - The investment strategy includes short- and medium-term investments, income generation, special situations, and momentum trades [1] Educational Focus - The company aims to teach investors about market dynamics and provide well-researched trade ideas weekly [1] - Members benefit from access to multiple chat rooms, daily analyst upgrade/downgrade summaries, and resources for learning basic options trading [1] - The goal is to save time for investors by delivering high-quality research with clear entry and exit targets [1]

Growth on the Horizon CORPORATE PRESENTATION FEBRUARY 2026 TSX: EDR | NYSE: EXK TSX: EDR | NYSE: EXK 2 edrsilver.com Cautionary Note Non-IFRS Financial Measures The Company has included certain performance measures that are not defined under International Financial Reporting Standards (IFRS). The Company believes that these measures, in addition to conventional measures prepared in accordance with IFRS, provide investors an improved ability to evaluate the underlying performance of Kolpa. The non-IFRS measu ...