MAG - Q1/24 Production from JV Mine in Line | Benzinga
Source: Joe Reagor 04/30/2024
Cash flow from this Mexican operation should provide the next catalyst for this Canadian silver producer, noted a ROTH Capital Markets report.
MAG Silver Corp. (AMEX:MAG) reported Q1/24 production results from its joint venture (JV) mine in Juanicipio that met the expectations of ROTH Capital Markets, analyst Joe Reagor reported in an April 24 company update.
"Production rates are normalizing, and recovery rates are improving" Reagor wrote.
Target, Rating the Same
ROTH maintained its US$14 per share target price on the Canadian silver producer, trading at about US$12.13 per share at the time of the report, noted Reagor. The return to target from here implies a 15% return for investors.
Reagor reported that ROTH recently made several changes to its model on MAG, but they did not affect the firm's existing target price. These revisions included updates of Q1/24 production and average metal prices and adjustments to ROTH's gold and silver price forecasts.
MAG, based in British Columbia, remains a Buy.
Numbers at a Glance
Reagor provided Juanicipio's Q1/24 production numbers for each of the various metals and compared them to ROTH's estimates.
Overall, during the year's first quarter, the JV produced 4,400,000 ounces (4.4 Moz) of silver versus ROTH's 3.9 Moz estimate and 9,927 ounces of gold compared to ROTH's expected 13,000 ounces. Production of lead was 8,700,000 pounds (8.7 Mlb), below ROTH's 9.1 Mlb forecast, and zinc came in at 14.7 Mlb, above ROTH's 14.6 Mlb projection.
These ...