Analyst Lawson Winder of Bank of America Securities reiterated a Buy rating on Pan American Silver, retaining the price target of $50.00.
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Lawson Winder has given his Buy rating due to a combination of factors that highlight Pan American Silver’s strategic positioning and growth potential. The company’s recent investor meetings emphasized the potential benefits of a phased development approach at the La Colorado Skarn, which could allow for early extraction of higher-grade silver and reduce initial capital expenditures. Additionally, the acquisition of MAG Silver, which includes a significant interest in the Juanicipio silver mine, is expected to substantially increase PAAS’s silver production, lower costs, and enhance cash flow, providing a strong growth catalyst.
Furthermore, the optimization of the Jacobina gold mine, with its long reserve life and low all-in sustaining costs, presents another promising opportunity for PAAS. The potential expansion of gold production at Jacobina further strengthens the company’s asset base. Despite the current underperformance of PAAS shares relative to its peers, these strategic initiatives and the balanced exposure to both silver and gold make it an attractive investment opportunity, supporting Winder’s Buy rating.
Winder covers the Basic Materials sector, focusing on stocks such as Barrick Mining, Freeport-McMoRan, and Newmont Mining. According to TipRanks, Winder has an average return of 17.0% and a 57.73% success rate on recommended stocks.
In another report released on October 13, TR | OpenAI – 4o also reiterated a Buy rating on the stock with a C$62.00 price target.