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First Majestic Surges 104.7% in 6 Months: Is the Stock Still Worth Buying?
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Key Takeaways
First Majestic shares jumped 104.7% in six months, beating industry growth.
AG produced 7.8M AgEq ounces in Q4, up 37% with record silver output.
First Majestic saw First Mint sales soar 149.5% and earnings estimates surge.
First Majestic Silver Corp. (AG - Free Report) investors have been witnessing some impressive gains from the stock of late. Shares of the precious metals mining company have surged 104.7% in the past six months, outpacing the S&P 500 composite’s and industry’s growth of 1.3% and 75.6%, respectively.
The company has also outperformed other industry players like Avino Silver & Gold Mines (ASM - Free Report) and Vizsla Silver Corp. (VZLA - Free Report) . Notably, Avino Silver and Vizsla Silver have returned 49% and lost 9.9%, respectively, over the said time frame.
Closing at $21.74 on Tuesday, the stock is trading below its 52-week high of $32.04 but significantly higher than its 52-week low of $5.19.
AG Outperforms the Industry, S&P 500 & Peers
Image Source: Zacks Investment Research
Factors Driving the Company
Despite the recent decline, silver prices are expected to remain strong, supported by persistent market deficit, high industrial demand in solar and AI sectors and strong safe-haven demand. Notably, demand for electronics, electrification and solar energy now accounts for more than half of global silver demand.
Amid a strong pricing and demand backdrop, First Majestic increased its total production to 7.8 million silver-equivalent (AgEq) ounces in fourth-quarter 2025. The figure comprises a record 4.2 million silver ounces and 41,417 gold ounces. It also produced 14.2 million pounds of zinc, 8.1 million pounds of lead and 235,886 pounds of copper. It reflected37% year-over-year growth in AgEq ounces produced, supported by a 77% surge in silver production.
AG gained a 70% interest in the high-quality and long-life Cerro Los Gatos Silver underground mine with the acquisition of Gatos Silver in January 2025. This transaction strengthened its position as an intermediate primary silver producer.
The company is also witnessing strength in its First Mint LLC business, its wholly owned minting facility. The business achieved record fourth-quarter 2025 results, with revenues increasing 149.5% to $22.7 million. The business’ performance was supported by a strong sale of 325,143 ounces of silver, reflecting an increase of 10% year over year. The ounces of silver sold by the business during the quarter accounted for approximately 8% of the company’s total silver production.
AG’s strong operational foothold in Mexico through four operating mines, including the likes of Santa Elena Silver/Gold mine, Los Gatos Silver mine, San Dimas Silver/Gold mine and La Encantada Silver mine, is positive. Despite AG experiencing major tax-related issues in the country, all these sites are performing strongly, achieving record production. In the fourth quarter, contributions from AG’s Santa Elena, Los Gatos, San Dimas and La Encantada mines to its total silver-equivalent ounces production were 29.1%, 26.7%, 31.2% and 12.8%, respectively.
Earnings Estimate Revisions
The Zacks Consensus Estimate for First Majestic’s 2026 earnings has surged 76.5% to 60 cents per share over the past 60 days. The consensus mark for 2027 earnings increased 82% to $1.11 per share.
Image Source: Zacks Investment Research
Stock Valuation
Despite the positives, AG’s lofty valuation remains a concern. The stock is trading at a forward 12-month price-to-earnings (P/E) ratio of 30.72X, higher than the industry average of 16.88X. Also, it is overvalued compared with its peer, Avino Silver, which is currently trading at 26.37X.
Price-to-Earnings (Forward 12 Months)
Image Source: Zacks Investment Research
Should You Invest in AG Now?
First Majestic’s market leadership position, strength across major operating mines and acquired assets provide it with a competitive advantage to leverage the long-term demand prospects in silver and gold markets. Given a healthy price and demand environment, AG has built a solid pipeline of projects that should support its top-line performance.
Despite its expensive valuation, positive analyst sentiment and robust growth prospects indicate it is the right time for potential investors to bet on this Zacks Rank #1 (Strong Buy) company. You can see the complete list of today’s Zacks #1 Rank stocks here.
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First Majestic Surges 104.7% in 6 Months: Is the Stock Still Worth Buying?
Key Takeaways
First Majestic Silver Corp. (AG - Free Report) investors have been witnessing some impressive gains from the stock of late. Shares of the precious metals mining company have surged 104.7% in the past six months, outpacing the S&P 500 composite’s and industry’s growth of 1.3% and 75.6%, respectively.
The company has also outperformed other industry players like Avino Silver & Gold Mines (ASM - Free Report) and Vizsla Silver Corp. (VZLA - Free Report) . Notably, Avino Silver and Vizsla Silver have returned 49% and lost 9.9%, respectively, over the said time frame.
Closing at $21.74 on Tuesday, the stock is trading below its 52-week high of $32.04 but significantly higher than its 52-week low of $5.19.
AG Outperforms the Industry, S&P 500 & Peers
Image Source: Zacks Investment Research
Factors Driving the Company
Despite the recent decline, silver prices are expected to remain strong, supported by persistent market deficit, high industrial demand in solar and AI sectors and strong safe-haven demand. Notably, demand for electronics, electrification and solar energy now accounts for more than half of global silver demand.
Amid a strong pricing and demand backdrop, First Majestic increased its total production to 7.8 million silver-equivalent (AgEq) ounces in fourth-quarter 2025. The figure comprises a record 4.2 million silver ounces and 41,417 gold ounces. It also produced 14.2 million pounds of zinc, 8.1 million pounds of lead and 235,886 pounds of copper. It reflected37% year-over-year growth in AgEq ounces produced, supported by a 77% surge in silver production.
AG gained a 70% interest in the high-quality and long-life Cerro Los Gatos Silver underground mine with the acquisition of Gatos Silver in January 2025. This transaction strengthened its position as an intermediate primary silver producer.
The company is also witnessing strength in its First Mint LLC business, its wholly owned minting facility. The business achieved record fourth-quarter 2025 results, with revenues increasing 149.5% to $22.7 million. The business’ performance was supported by a strong sale of 325,143 ounces of silver, reflecting an increase of 10% year over year. The ounces of silver sold by the business during the quarter accounted for approximately 8% of the company’s total silver production.
AG’s strong operational foothold in Mexico through four operating mines, including the likes of Santa Elena Silver/Gold mine, Los Gatos Silver mine, San Dimas Silver/Gold mine and La Encantada Silver mine, is positive. Despite AG experiencing major tax-related issues in the country, all these sites are performing strongly, achieving record production. In the fourth quarter, contributions from AG’s Santa Elena, Los Gatos, San Dimas and La Encantada mines to its total silver-equivalent ounces production were 29.1%, 26.7%, 31.2% and 12.8%, respectively.
Earnings Estimate Revisions
The Zacks Consensus Estimate for First Majestic’s 2026 earnings has surged 76.5% to 60 cents per share over the past 60 days. The consensus mark for 2027 earnings increased 82% to $1.11 per share.
Image Source: Zacks Investment Research
Stock Valuation
Despite the positives, AG’s lofty valuation remains a concern. The stock is trading at a forward 12-month price-to-earnings (P/E) ratio of 30.72X, higher than the industry average of 16.88X. Also, it is overvalued compared with its peer, Avino Silver, which is currently trading at 26.37X.
Price-to-Earnings (Forward 12 Months)
Image Source: Zacks Investment Research
Should You Invest in AG Now?
First Majestic’s market leadership position, strength across major operating mines and acquired assets provide it with a competitive advantage to leverage the long-term demand prospects in silver and gold markets. Given a healthy price and demand environment, AG has built a solid pipeline of projects that should support its top-line performance.
Despite its expensive valuation, positive analyst sentiment and robust growth prospects indicate it is the right time for potential investors to bet on this Zacks Rank #1 (Strong Buy) company. You can see the complete list of today’s Zacks #1 Rank stocks here.