Pan American Silver (PAAS) Stock Sinks As Market Gains: What You Should Know

The most recent trading session ended with Pan American Silver (PAAS) standing at $25.07, reflecting a -0.71% shift from the previouse trading day's closing. The stock trailed the S&P 500, which registered a daily gain of 1.04%. Elsewhere, the Dow gained 0.77%, while the tech-heavy Nasdaq added 1.51%.

Prior to today's trading, shares of the silver mining company had gained 19.05% over the past month. This has outpaced the Basic Materials sector's gain of 7.68% and the S&P 500's gain of 3.92% in that time.

The investment community will be paying close attention to the earnings performance of Pan American Silver in its upcoming release. The company is slated to reveal its earnings on February 19, 2025. In that report, analysts expect Pan American Silver to post earnings of $0.35 per share. This would mark year-over-year growth of 975%. In the meantime, our current consensus estimate forecasts the revenue to be $812.87 million, indicating a 21.4% growth compared to the corresponding quarter of the prior year.

Investors should also note any recent changes to analyst estimates for Pan American Silver. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 18.03% lower within the past month. Pan American Silver is holding a Zacks Rank of #3 (Hold) right now.

Looking at its valuation, Pan American Silver is holding a Forward P/E ratio of 20.08. This denotes a premium relative to the industry's average Forward P/E of 19.33.

The Mining - Silver industry is part of the Basic Materials sector. This industry, currently bearing a Zacks Industry Rank of 25, finds itself in the top 10% echelons of all 250+ industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.