Mining Projects Attract Investor Confidence

Investor confidence is climbing for Mexican precious metals miners as leading analysts raise their price targets for Torex Gold, MAG Silver, and First Majestic Silver, highlighting the sector’s strategic value and strong upside potential amid shifting global markets.

On April 15, 2025, Cormark Securities raised its price target for Torex Gold Resources from US$33.60 to US$40.20, reflecting confidence in the company’s robust performance and operational stability in Mexico. The move triggered a wave of upward revisions from other firms, including CIBC, which raised its target from US$26.30 to US$30.70, BMO Capital Markets from US$26.30 to US$27.80, Raymond James from US$24.90 to US$34.40, and RBC from US$32.20 to US$32.95. These adjustments reinforce Torex’s strong position, primarily driven by the success of its Morelos project in Guerrero.

Scotiabank raised its price target for MAG Silver from US$18.00 to US$18.50 and maintained a “Sector Outperform” rating, signaling expectations of above-average returns. As of April 14, MAG Silver traded at US$15.82 with a market capitalization of US$1.64 billion and announced a US$0.18 dividend payable on April 21. Scotiabank’s optimism reflects broader expectations of consolidation in the precious metals sector. Analysts project a moderate buy rating and an average price target of US$18.60, with high estimates reaching US$22.00.

First Majestic Silver also drew investor attention as call option volume surged by 52% on April 15, with 28,181 contracts traded versus an average of 18,510. Despite recent financial headwinds, including 4Q24 revenue of US$172.34 million being below expectations, the company increased its quarterly dividend and maintains a strong financial position with low debt and high liquidity. Analysts remain cautiously optimistic. HC Wainwright reiterated a “Buy” rating with a price target of US$11.00, while TD Securities and Scotiabank issued “Hold” and “Sector Perform” ratings, respectively. The consensus price target of US$8.50 indicates potential upside from current levels.