Wall Street expects a year-over-year increase in earnings on higher revenues when Pan American Silver (PAAS) reports results for the quarter ended December 2024. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.The earnings report, which is expected to be released on February 19, 2025, might help the stock move higher if these key numbers are bet ...

[Table_Title] 研究报告 Research Report 7 Feb 2025 泛美白银 Pan American Silver (PAAS US) 白银领域翘楚，综合实力雄厚 The world's premier silver producer with solid fundamentals 吴旖婕 Yijie Wu 王曼琪 Manqi Wang lisa.yj.wu@htisec.com mq.wang@htisec.com [Table_yemei1] 热点速评 Flash Analysis (Please see [Table_summary] APPENDIX 1 for English summary) Pan American Silver 是一家总部位于加拿大温哥华的白银开采公司，也是全球第四大白银生产商。公司拥有并运营位 于加拿大、墨西哥、秘鲁、巴西、玻利维亚、智利和阿根廷的银矿和金矿，以及尚未投入运营的位于危地马拉的 Escobal 矿。公司业务主要集中于拉丁美洲，其资产包括位于墨西哥的 La Colorada 银矿、Dolores 金矿及 La Colorada Skarn ...

Company Overview - Pan American Silver (NYSE: PAAS) is the second largest primary silver producer globally, with a focus on developing primary deposits in the Americas [1] - For the year ending December 2024, PAAS had an output of 21.1 million ounces (Moz) of silver [1] Investment Newsletter Background - BuildingBenjamins is a free stock picking and market commentary investment newsletter, operating as the DBA for Tradition Investment Management, LLC, a registered investment adviser [1] - Benjamin Halliburton, the founder of BuildingBenjamins, has a distinguished investment career, including founding Tradition Capital Management in 2000 and earning accolades such as "PSN Manager of the Decade" for All-Cap in the 2000s and Dividend Value in the 2010s [1] - Halliburton's investment strategies, such as the "Disciplined Growth Strategy," have historically outperformed benchmarks like the S&P 500 during the 1990s bull market [1]

Pan American Silver Corp. (PAAS) produced 21.1 million ounces of silver in 2024, up 3.4% from 2023. The consolidated silver production came within PAAS' expected 21.0-23.0 ounces for the year. Pan American Silver’s fourth-quarter silver output was 6 million ounces, driven by solid performance in the La Colorada mine.The La Colorada mine produced 1.6 million ounces of silver in the fourth quarter of 2024.Pan American Silver’s PerformanceThe company produced 892,000 ounces of gold in 2024, which came within i ...

I am initiating coverage on Pan American Silver (NYSE: PAAS ) (TSX: PAAS:CA ) with a “Buy” rating and an investment horizon of 24 months. I believe that Pan American stock is attractively valued and is positioned to benefit from higher preciousAnalyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving c ...

Financial Performance - Pan American Silver reported record revenue of $716.1 million for Q3 2024, excluding approximately $30 million in finished goods and concentrated inventories [4] - Cash flow from operations before working capital changes reached a record $235.8 million, with free cash flow also at a record of $151.5 million [4] - Cash and short-term investments increased by $101.3 million to $469.9 million compared to Q2 2024, while net debt decreased to $376.2 million [5] - Net earnings for Q3 were $57.1 million or $0.16 per share, impacted by a one-time tax expense related to prior years [6] - Adjusted earnings were $115.1 million or $0.32 adjusted earnings per share [7] Operational Highlights - Silver production totaled 5.5 million ounces in Q3, with La Colorada leading production, showing a 59% increase and a 26% decrease in cash costs compared to Q2 [8] - Gold production was 225,000 ounces, with Jacobina producing 50,400 ounces at an all-in sustaining cost of $1,195 per ounce [9] - Cash costs for the gold segment were $1,195 per ounce, while all-in sustaining costs were $1,516 per ounce [11] - Silver segment cash costs were $15.88 per ounce, with all-in sustaining costs at $20.90 per ounce [12] Market and Strategic Developments - The company expects to achieve its 2024 guidance, anticipating silver production at the low end of the 21 million to 23 million ounce range [13] - Significant progress is being made on capital projects, including the new filter plant at Huaron, expected to be operational by Q1 2025 [14] - The Jacobina asset shows strong potential, with a recent mineral resource update indicating a replacement of mine production with new reserves [15] - The La Colorada Skarn project has seen a 53% increase in indicated mineral resources, with significant interest from potential partners [16] Management Commentary - Management expressed optimism about the operational improvements and production targets, particularly at La Colorada and Jacobina [19] - Current metal prices are enhancing profitability, and a strong finish to the year is anticipated due to a back-end loaded production profile [19] Other Important Information - The Guatemalan Ministry of Energy and Mines has appointed a new Vice Minister for Sustainable Development, overseeing the consultation process for the Escobal mine, which remains on care and maintenance [17][18] - The company announced a $0.10 per share dividend for Q3, with year-to-date dividend payments totaling $109.1 million [6] Q&A Session Summary Question: Implications of the La Arena offtake agreement - Management confirmed that the offtake agreement does not change the cash or contingent elements of the previously agreed NSR royalty [22] Question: 2024 guidance and production expectations - Management indicated that Cerro Moro and La Arena could drive a stronger finish to the year, with cautious optimism about reaching the midpoint of guidance [24][25] Question: Silver and gold grades at El Penon - Management noted exploration opportunities for silver at El Penon and expected slightly stronger gold grades in Q4, though variability remains [27][28] Question: Partnership discussions for La Colorada Skarn - Management reported significant interest from large companies in the La Colorada Skarn project, with ongoing technical reviews [29][30] Question: Cost impact from the new Pace plant at Timmins - Management stated that while higher gold prices extend the life of the asset, costs related to tailings disposal are increasing [35][36] Question: M&A strategy in light of recent industry activity - Management emphasized a disciplined approach to M&A, focusing on high-quality, long-life assets that fit the company's cost structure [39][42]

[Introduction, Core Business, and Strategy](index=3&type=section&id=Introduction%20Core%20Business%20and%20Strategy) [Introduction](index=3&type=section&id=INTRODUCTION) This MD&A explains Pan American Silver Corp.'s Q3 2024 performance, to be read with IFRS financial statements, and includes non-GAAP measures - This MD&A is for the three and nine months ended September 30, 2024, and should be read with the Q3 2024 Financial Statements[3](index=3&type=chunk) - The report utilizes non-GAAP financial measures such as "all-in sustaining costs per ounce sold" (AISC) and "cash costs per ounce sold" to evaluate operating performance. Detailed explanations and reconciliations are provided in the "Alternative Performance (Non-GAAP) Measures" section[4](index=4&type=chunk) [Core Business and Strategy](index=4&type=section&id=CORE%20BUSINESS%20AND%20STRATEGY) Pan American Silver focuses on silver and gold mining and exploration across the Americas, aiming to be a premier producer through sustainable profits, reserve growth, and innovation - The company's primary activities are silver and gold mining, exploration, development, extraction, processing, refining, and reclamation across the Americas[8](index=8&type=chunk) - Key strategic pillars include: generating sustainable profits, growing reserves through exploration, fostering positive long-term relationships, upgrading assets, and promoting innovation[9](index=9&type=chunk) [Strategic Disposition](index=4&type=section&id=STRATEGIC%20DISPOSITION) Pan American agreed to sell its La Arena gold mine and La Arena II project in Peru to Zijin Mining Group for $245 million cash, a 1.5% royalty, and a potential $50 million contingent payment - Pan American agreed to sell its La Arena gold mine and La Arena II project in Peru to Zijin Mining Group[10](index=10&type=chunk) Term | Details | :--- | :--- | | **Upfront Payment** | $245 million in cash | | **Royalty** | 1.5% life-of-mine gold net smelter return royalty for the La Arena II project | | **Contingent Payment** | $50 million in cash upon commencement of commercial production from La Arena II | | **Expected Closing** | Q4 2024 | [Q3 2024 Highlights](index=5&type=section&id=Q3%202024%20Highlights) [Q3 2024 Operational and Financial Highlights](index=5&type=section&id=Q3%202024%20OPERATIONAL%20AND%20FINANCIAL%20HIGHLIGHTS) Pan American reported Q3 2024 silver production of **5.47 million ounces** and gold production of **225.0 thousand ounces**, with revenue increasing to **$716.1 million** and net earnings reaching **$57.1 million** Production Overview | Metric | Q3 2024 | Q3 2023 | Change | | :--- | :--- | :--- | :--- | | Silver Production (M oz) | 5.47 | 5.69 | (3.9%) | | Gold Production (k oz) | 225.0 | 244.2 | (7.9%) | Cost Metrics | Cost Metric ($/oz) | Q3 2024 | Q3 2023 | Change | | :--- | :--- | :--- | :--- | | Silver Segment Cash Costs | $15.88 | $13.13 | +$2.75 | | Silver Segment AISC | $19.63 | $18.19 | +$1.44 | | Gold Segment Cash Costs | $1,195 | $1,187 | +$9 | | Gold Segment AISC | $1,496 | $1,451 | +$45 | Financial Performance Summary | Financial Metric ($M) | Q3 2024 | Q3 2023 | | :--- | :--- | :--- | | Revenue | $716.1 | $616.3 (derived) | | Net Earnings (Loss) | $57.1 | $(20.6) | | Adjusted Earnings | $115.1 | $5.2 | | Cash Flow from Ops | $226.2 | $114.6 | - As of September 30, 2024, the company had **$780.0 million** in working capital, including **$469.9 million** in cash and short-term investments, and **$750.0 million** available under its credit facility[14](index=14&type=chunk) [Operating Performance](index=6&type=section&id=Operating%20Performance) [Consolidated Operating Performance](index=6&type=section&id=Consolidated%20Operating%20Performance) Q3 2024 consolidated silver production decreased to **5.47 million ounces** and gold to **225.0 thousand ounces**, leading to increased AISC for both segments due to lower volumes and operational cost pressures Consolidated Production | Production | Q3 2024 | Q3 2023 | YTD 2024 | YTD 2023 | | :--- | :--- | :--- | :--- | :--- | | Silver (koz) | 5,467 | 5,687 | 15,044 | 15,602 | | Gold (koz) | 225.0 | 244.2 | 668.3 | 615.1 | | Zinc (kt) | 11.2 | 9.5 | 31.0 | 29.4 | - Q3 2024 silver production decreased mainly due to planned sequencing into lower grade zones at Cerro Moro and reduced stacking of lower grade ore at Dolores following the cessation of mining[16](index=16&type=chunk) - Q3 2024 gold production decreased due to lower grades at Cerro Moro, processing stockpiles at Dolores, and heavy rainfall impacting Minera Florida[16](index=16&type=chunk) AISC per Ounce Sold | AISC ($/oz sold) | Q3 2024 | Q3 2023 | YTD 2024 | YTD 2023 | | :--- | :--- | :--- | :--- | :--- | | Silver Segment | $19.63 | $18.19 | $18.25 | $16.05 | | Gold Segment | $1,496 | $1,451 | $1,553 | $1,350 | [Silver Segment Operations](index=8&type=section&id=Silver%20Segment%20Operations) Q3 2024 Silver Segment performance was mixed, with **La Colorada** production up **32%** and AISC down, while **Cerro Moro** production fell **36%** with higher AISC due to lower grades - **La Colorada:** Q3 silver production rose **32%** to **1.33M oz**, and AISC fell by **$8.05/oz** to **$22.25/oz**, driven by significant ventilation improvements that boosted productivity[22](index=22&type=chunk) - **Cerro Moro:** Q3 silver production fell **36%** to **0.80M oz**, and AISC increased by **$13.97/oz** to **$20.88/oz**, due to planned mining of lower-grade zones and higher dilution[23](index=23&type=chunk)[24](index=24&type=chunk) - **Huaron:** Q3 silver production was stable at **0.89M oz**, while AISC decreased by **$3.60/oz** to **$16.77/oz**, mainly due to lower treatment charges from favorable commercial terms[25](index=25&type=chunk) - **San Vicente:** Q3 silver production increased **4%** to **0.81M oz**, and AISC decreased by **$5.09/oz** to **$16.28/oz**, benefiting from higher by-product credits[26](index=26&type=chunk) [Gold Segment Operations](index=11&type=section&id=Gold%20Segment%20Operations) Q3 2024 Gold Segment results varied, with **Jacobina** and **Timmins** increasing production and **El Peñon** lowering AISC, while **Minera Florida** and **Dolores** experienced production declines and cost increases - **Jacobina:** Q3 gold production rose **4%** to **50.4k oz**, with AISC decreasing to **$1,195/oz** due to lower sustaining capital expenditures[29](index=29&type=chunk) - **El Peñon:** Q3 gold production decreased **8%** to **26.8k oz**, but AISC fell to **$1,314/oz** due to processing higher-grade material and higher by-product credits[30](index=30&type=chunk) - **Timmins:** Q3 gold production increased **5%** to **33.9k oz**, with AISC decreasing to **$1,912/oz** due to reduced sustaining capital investments[31](index=31&type=chunk) - **Dolores:** Q3 gold production fell **32%** to **18.4k oz**, and AISC rose to **$1,262/oz** following the planned cessation of mining activities in July 2024 and a significant NRV inventory adjustment[37](index=37&type=chunk)[38](index=38&type=chunk) [Financial Performance](index=15&type=section&id=Financial%20Performance) [Income Statement](index=15&type=section&id=Income%20Statement) Pan American reported Q3 2024 net earnings of **$57.1 million**, a significant improvement from a prior-year loss, driven by **$99.8 million** higher revenue from increased metal prices, partially offset by a **$44.4 million** rise in income tax expense Net Earnings and EPS | Metric | Q3 2024 | YTD 2024 | Q3 2023 | YTD 2023 | | :--- | :--- | :--- | :--- | :--- | | Net Earnings (Loss) ($M) | $57.1 | $4.9 | $(20.6) | $(37.1) | | Basic EPS (Loss) | $0.16 | $0.01 | $(0.05) | $(0.11) | - The increase in Q3 2024 revenue was driven by a **$155.9 million** positive impact from higher metal prices, partially offset by a **$66.5 million** decrease from lower quantities of metal sold[40](index=40&type=chunk) - Income tax expense for Q3 2024 was **$44.4 million** higher than Q3 2023, mainly due to increased mine operating earnings and a **$46.8 million** tax settlement related to prior years in Mexico and Argentina[53](index=53&type=chunk) [Statement of Cash Flows](index=18&type=section&id=Statement%20of%20Cash%20Flows) Q3 2024 operating cash flow increased to **$226.2 million** due to higher revenue, while investing activities used **$75.2 million** and financing activities used **$49.6 million**, resulting in a **$101.3 million** increase in cash and short-term investments Cash Flow Activities | Cash Flow Activity ($M) | Q3 2024 | Q3 2023 | | :--- | :--- | :--- | | **From Operations** | $226.2 | $114.6 | | **From Investing** | $(75.2) | $193.7 | | **From Financing** | $(49.6) | $(336.4) | - The increase in operating cash flow was mainly driven by a **$99.8 million** increase in revenue[58](index=58&type=chunk) - Financing activities in Q3 2024 included **$36.3 million** in dividend payments and **$12.2 million** in lease repayments[60](index=60&type=chunk) [Liquidity and Financial Position](index=19&type=section&id=Liquidity%20and%20Financial%20Position) As of September 30, 2024, Pan American maintained strong liquidity with **$780.0 million** in working capital, **$469.9 million** in cash, an undrawn **$750.0 million** credit facility, and **$815.2 million** in total debt - Working capital was **$780.0 million** at September 30, 2024, an increase of **$14.2 million** from December 31, 2023[61](index=61&type=chunk) - The company's **$750.0 million** SL-Credit Facility was undrawn and fully available as of September 30, 2024[62](index=62&type=chunk) - The company has two series of senior notes: **$283.0 million** at **4.625%** due 2027 and **$500.0 million** at **2.63%** due 2031[62](index=62&type=chunk) - During YTD 2024, the company repurchased **1.72 million** common shares for **$24.3 million** under its Normal Course Issuer Bid (NCIB)[64](index=64&type=chunk) [Selected Annual and Quarterly Financial Information](index=21&type=section&id=Annual%20and%20Quarterly%20Financial%20Information) [Selected Annual and Quarterly Financial Information](index=21&type=section&id=SELECTED%20ANNUAL%20AND%20QUARTERLY%20FINANCIAL%20INFORMATION) This section summarizes key financial results for the past eight quarters and annual data for 2023 and 2022, highlighting Q3 2024 revenue of **$716.1 million** and net earnings of **$56.7 million** Quarterly Financial Summary | Metric (in millions USD, except per share) | Q3 2024 (ended Sep 30) | Q2 2024 (ended Jun 30) | Q1 2024 (ended Mar 31) | | :--- | :--- | :--- | :--- | | Revenue | $716.1 | $686.3 | $601.4 | | Net (Loss) Earnings | $56.7 | $(21.9) | $(30.9) | | Basic (Loss) Earnings per Share | $0.16 | $(0.06) | $(0.08) | | Cash Flow from Operating Activities | $226.2 | $162.7 | $61.1 | [Operating Metrics](index=23&type=section&id=Operating%20Metrics) [Operating Metrics](index=23&type=section&id=OPERATING%20METRICS) This section provides detailed mine-by-mine operating data for Q3 and YTD 2024, including tonnes mined and processed, ore grades, and metal production volumes, with comparative figures for 2023 - Provides detailed mine-level data on tonnes mined, tonnes processed, ore grades (g/t or %), and production (koz or kt) for Q3 and YTD periods of 2024 and 2023[73](index=73&type=chunk)[76](index=76&type=chunk) Total Production | Total Production | Q3 2024 | Q3 2023 | | :--- | :--- | :--- | | Silver (koz) | 5,467 | 5,687 | | Gold (koz) | 225.0 | 244.2 | | Zinc (kt) | 11.2 | 9.5 | | Lead (kt) | 5.2 | 4.9 | [Alternative Performance (Non-GAAP) Measures](index=25&type=section&id=Alternative%20Performance%20Measures%20(Non-GAAP)) [Per Ounce Measures (Cash Costs and AISC)](index=25&type=section&id=Per%20Ounce%20Measures) The company uses non-GAAP Cash Costs and AISC per ounce, net of by-product credits, to measure performance, with Q3 2024 Silver Segment AISC at **$19.63/oz** and Gold Segment AISC at **$1,496/oz** - Cash Costs and AISC are non-GAAP measures used to compare the net production costs of primary metals (silver and gold) after deducting revenues from by-products[78](index=78&type=chunk) Q3 2024 AISC Reconciliation Summary ($M) | | Silver Segment | Gold Segment | | :--- | :--- | :--- | | Cash Costs | $52.3 | $242.0 | | NRV inventory adjustments | $(4.2) | $(4.1) | | Sustaining capital | $15.7 | $59.0 | | Reclamation cost accretion | $0.9 | $5.8 | | **All-in sustaining costs** | **$64.7** | **$302.7** | | Ounces sold | 3.3 Moz (silver) | 202.4 koz (gold) | | **AISC per ounce sold** | **$19.63** | **$1,496** | [Adjusted Earnings](index=35&type=section&id=Adjusted%20Earnings) Adjusted earnings, a non-GAAP measure, normalizes earnings by removing volatile items, with Q3 2024 adjusted earnings at **$115.1 million** compared to **$57.1 million** net earnings, primarily due to tax settlement and inventory adjustments - Adjusted earnings is a non-GAAP measure that eliminates items management deems unrelated to core operations for a given period to better reflect normalized earnings[99](index=99&type=chunk) Q3 2024 Reconciliation of Net Earnings to Adjusted Earnings ($M) | Description | Amount | | :--- | :--- | | **Net earnings for the period** | **$57.1** | | Tax settlements related to prior years | $46.8 | | Net realizable value heap inventory expense | $11.6 | | Unrealized foreign exchange gains | $(3.8) | | Derivative unrealized gains | $(5.8) | | Other adjustments (net) | $8.4 | | **Adjusted earnings for the period** | **$115.1** | [Total Debt, Capital, and Working Capital](index=35&type=section&id=Total%20Debt,%20Capital,%20and%20Working%20Capital) The company defines non-GAAP measures Total Debt, Capital, and Working Capital to evaluate financial leverage, enterprise value, and short-term liquidity, providing insights beyond standard financial statements - **Total Debt:** Calculated as total current and non-current portions of debt (including senior notes and credit facility draws) and lease obligations[99](index=99&type=chunk) - **Capital:** Calculated as total equity plus total debt, less cash, cash equivalents, and short-term investments[100](index=100&type=chunk) - **Working Capital:** Calculated as current assets less current liabilities, used to evaluate the ability to meet current obligations[102](index=102&type=chunk) [Risks and Uncertainties](index=36&type=section&id=Risks%20and%20Uncertainties) [Financial Risk Exposure](index=36&type=section&id=Financial%20Risk%20Exposure) The company faces financial risks including metal price volatility, credit risk, interest rate changes, and foreign currency fluctuations, which are managed through cash flow monitoring and derivative contracts - Key financial risks include metal price, credit, interest rate, foreign currency exchange, and liquidity risk[104](index=104&type=chunk) - Credit risk exists with concentrate buyers (**$20.3M** receivable), refineries (holding **$65.2M** in precious metal inventory), and supplier advances (**$11.1M**)[107](index=107&type=chunk) - The company uses foreign currency collars and forwards to hedge exposure to the Mexican peso, Peruvian sol, Canadian dollar, Chilean peso, and Brazilian real[111](index=111&type=chunk) - Liquidity risk is managed by continuous monitoring of cash flows, planning, and budgeting to ensure sufficient funds for operations and capital plans[114](index=114&type=chunk) [Foreign Operations and Political Risk](index=39&type=section&id=Foreign%20Operations%20and%20Political%20Risk) The company faces political and operational risks in host countries, including regulatory changes like Mexico's 2023 mining law reform, security incidents such as at La Colorada, and ongoing suspension of Guatemala's Escobal mine - The company is exposed to political, economic, and social risks in Peru, Mexico, Argentina, Bolivia, Brazil, Chile, and Guatemala[115](index=115&type=chunk) - In Mexico, significant mining law reforms enacted in May 2023 could materially impact current and future activities. The Supreme Court has granted an injunction against parts of the decree[116](index=116&type=chunk) - Security is a major concern, highlighted by an armed robbery at the La Colorada mine in October 2023 that caused a temporary operational suspension[116](index=116&type=chunk) [Taxation Risks](index=40&type=section&id=Taxation%20Risks) The company faces increasing taxation risks from new taxes, re-interpretations, and aggressive audits, exemplified by a recent Mexican tax settlement and new mining royalties in Chile and transfer pricing rules in Brazil - Governments are increasingly targeting the mining sector for revenue, leading to more frequent audits, new taxes, and aggressive positions by tax authorities[117](index=117&type=chunk) - The company recently reached a conclusive settlement with the Mexican tax authority (SAT) regarding audits from 2016-2022[119](index=119&type=chunk) - Chile enacted a new mining royalty bill effective January 1, 2024. Brazil implemented new OECD-aligned transfer pricing rules effective January 1, 2024[119](index=119&type=chunk) [Claims and Legal Proceedings](index=41&type=section&id=Claims%20and%20Legal%20Proceedings) Pan American is subject to various legal proceedings, including the ongoing suspension of Guatemala's Escobal mine pending consultation and a surface land ownership dispute at Mexico's La Colorada mine - The company is subject to various claims and legal proceedings in the ordinary course of business, including labor and tax claims in Argentina and Brazil[120](index=120&type=chunk) - In Guatemala, the Escobal mine license remains suspended pending an ILO 169 consultation, with the timing and outcome remaining uncertain, especially after a change in government[122](index=122&type=chunk) - At the La Colorada mine in Mexico, the company is challenging a process before the agrarian authority (SEDATU) regarding a claim to declare a portion of the mine's surface lands as national property[122](index=122&type=chunk) [Climate Change](index=42&type=section&id=Climate%20Change) The company recognizes climate change as a global challenge, posing transition risks from evolving regulations and physical risks from extreme weather events that could disrupt operations and supply chains - The company faces transition risks from evolving climate change policies and regulations, which could increase compliance costs[123](index=123&type=chunk)[125](index=125&type=chunk) - Physical risks from climate change, such as extreme weather events, water shortages, and fires, could adversely impact operations, damage facilities, and disrupt access and shipping[125](index=125&type=chunk) [Material Accounting Policies, Standards and Judgements](index=45&type=section&id=Material%20Accounting%20Policies,%20Standards%20and%20Judgements) [Material Accounting Policies, Standards and Judgements](index=45&type=section&id=MATERIAL%20ACCOUNTING%20POLICY%20INFORMATION,%20STANDARDS%20AND%20JUDGEMENTS) The company's accounting policies align with 2023 statements, with IAS 1 amendments having no material impact, while the future adoption of IFRS 18 from January 1, 2027, is currently being assessed - Effective January 1, 2024, the company adopted amendments to IAS 1 (Classification of Liabilities as Current and Non-Current), which did not have a material impact[129](index=129&type=chunk) - The IASB has issued IFRS 18 (Presentation and Disclosure in Financial Statements), which will replace IAS 1 and is effective for annual periods beginning on or after January 1, 2027. The company is currently assessing its impact[130](index=130&type=chunk) [Subsequent Events](index=46&type=section&id=Subsequent%20Events) [Subsequent Events](index=46&type=section&id=SUBSEQUENT%20EVENTS) In October 2024, the company settled disputed Mexican tax items from 2016-2022 with the SAT, resulting in a **$45.9 million** payment and a corresponding **$40.5 million** income tax expense recorded in Q3 2024 - In October 2024, the company settled with the Mexican SAT for disputed tax items from 2016-2022[133](index=133&type=chunk) - A payment of **$45.9 million** (including **$16.3 million** in interest) was made. A **$40.5 million** net income tax expense was recorded in Q3 2024 related to this settlement[133](index=133&type=chunk) [Disclosure Controls and Procedures](index=46&type=section&id=Disclosure%20Controls%20and%20Procedures) [Disclosure and Internal Control Procedures](index=46&type=section&id=DISCLOSURE%20AND%20INTERNAL%20CONTROL%20PROCEDURES) Management confirmed the effectiveness of Disclosure Controls and Procedures (DC&P) and Internal Control over Financial Reporting (ICFR) as of December 31, 2023, with no material changes to ICFR during the nine months ended September 30, 2024 - Management, including the CEO and CFO, concluded that the company's Disclosure Controls and Procedures (DC&P) and Internal Control over Financial Reporting (ICFR) were effective as of December 31, 2023[135](index=135&type=chunk)[136](index=136&type=chunk) - No changes occurred in the company's ICFR during the three and nine months ended September 30, 2024, that materially affected, or are reasonably likely to materially affect, its ICFR[137](index=137&type=chunk) [Cautionary and Technical Notes](index=47&type=section&id=Cautionary%20Note) [Technical Information](index=47&type=section&id=TECHNICAL%20INFORMATION) All scientific and technical information in this MD&A has been reviewed and approved by designated Qualified Persons under NI 43-101 standards - All scientific and technical information has been reviewed and approved by designated Qualified Persons as defined in NI 43-101[140](index=140&type=chunk) [Cautionary Note Regarding Forward-Looking Statements](index=47&type=section&id=Cautionary%20Note%20Regarding%20Forward-Looking%20Statements%20and%20Information) This MD&A contains forward-looking statements subject to significant known and unknown risks, including metal price fluctuations, political instability, and operational hazards, which could cause actual results to differ materially - The report contains forward-looking statements subject to numerous risks and uncertainties, including fluctuations in metal prices, currency markets, political developments, and operational hazards[141](index=141&type=chunk)[142](index=142&type=chunk) [Cautionary Note to U.S. Investors](index=49&type=section&id=Cautionary%20Note%20to%20U.S.%20Investors%20Concerning%20Estimates%20of%20Mineral%20Reserves%20and%20Mineral%20Resources) This note cautions U.S. investors that mineral reserve and resource estimates are prepared under Canadian NI 43-101 standards, which differ significantly from SEC requirements and carry higher uncertainty than SEC-defined reserves - Mineral reserve and resource estimates are prepared under Canadian NI 43-101 standards, which differ from SEC rules. U.S. investors are cautioned that these estimates may not be comparable to those of U.S. companies[144](index=144&type=chunk)

Company Performance - Pan American Silver (PAAS) ended the recent trading session at $24.44, showing a -1.17% change from the previous day's closing price, while the S&P 500 gained 0.27% [1] - Over the past month, shares of Pan American Silver have increased by 15.29%, outperforming the Basic Materials sector, which saw a loss of 3.73%, and the S&P 500's gain of 2% [1] Upcoming Earnings - The company's earnings report is scheduled for November 5, 2024, with an expected EPS of $0.21, indicating a 2000% growth compared to the same quarter last year [2] - The consensus estimate projects revenue of $743.03 million, reflecting a 20.56% increase from the equivalent quarter last year [2] Full Year Estimates - For the full year, analysts expect earnings of $0.66 per share and revenue of $2.82 billion, marking changes of +450% and +21.75% respectively from the previous year [3] Analyst Forecast Revisions - Recent revisions to analyst forecasts for Pan American Silver are important as they reflect the shifting dynamics of short-term business patterns, with positive revisions indicating analyst optimism about the company's profitability [4] Zacks Rank and Valuation - The Zacks Rank system, which ranges from 1 (Strong Buy) to 5 (Strong Sell), currently ranks Pan American Silver at 2 (Buy), with an average upward shift of 11.22% in the EPS estimate over the past month [6] - Pan American Silver is trading at a Forward P/E ratio of 37.41, which is a premium compared to the industry average Forward P/E of 32 [7] Industry Context - The Mining - Silver industry is part of the Basic Materials sector and currently holds a Zacks Industry Rank of 70, placing it in the top 28% of over 250 industries [7][8]

Momentum investing revolves around the idea of following a stock's recent trend in either direction. In the 'long' context, investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.While many investors like to look for moment ...

Pan American Silver (PAAS) shares rallied 10.6% in the last trading session to close at $24.41. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock's 5% gain over the past four weeks.Shares of Pan American Silver have gained on the back of the surge in silver prices, which were at around $33 an ounce on Friday. Silver has gained on safe-haven demand amid uncertainty surrounding the U.S. election and rising tensions ...