Analyzing First Majestic Silver (AG) and Its Rivals

First Majestic Silver (NYSE:AG) is one of 1,984 publicly-traded companies in the “Metals & Mining” industry, but how does it weigh in compared to its rivals? We will compare First Majestic Silver to similar businesses based on the strength of its valuation, dividends, risk, profitability, analyst recommendations, institutional ownership and earnings.

Insider & Institutional Ownership

27.2% of First Majestic Silver shares are held by institutional investors. Comparatively, 16.1% of shares of all “Metals & Mining” companies are held by institutional investors. 0.9% of First Majestic Silver shares are held by insiders. Comparatively, 17.6% of shares of all “Metals & Mining” companies are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares First Majestic Silver and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
First Majestic Silver	21.18%	13.36%	9.20%
First Majestic Silver Competitors	-1,168,050,136,845,918,000.00%	-53.09%	-2.10%

Dividends

First Majestic Silver pays an annual dividend of $0.06 per share and has a dividend yield of 0.4%. First Majestic Silver pays out 8.5% of its earnings in the form of a dividend. As a group, “Metals & Mining” companies pay a dividend yield of 10.3% and pay out 10.8% of their earnings in the form of a dividend.

Risk & Volatility

First Majestic Silver has a beta of 0.98, indicating that its share price is 2% less volatile than the S&P 500. Comparatively, First Majestic Silver’s rivals have a beta of 0.96, indicating that their average share price is 4% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings and target prices for First Majestic Silver and its rivals, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
First Majestic Silver	1	2	3	0	2.33
First Majestic Silver Competitors	6406	22606	32304	1796	2.47

First Majestic Silver presently has a consensus target price of $23.75, suggesting a potential upside of 56.64%. As a group, “Metals & Mining” companies have a potential upside of 27.84%. Given First Majestic Silver’s higher possible upside, analysts clearly believe First Majestic Silver is more favorable than its rivals.

Valuation & Earnings

This table compares First Majestic Silver and its rivals gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
First Majestic Silver	$1.26 billion	$164.92 million	21.35
First Majestic Silver Competitors	$4.65 billion	$278.94 million	-45.46

First Majestic Silver’s rivals have higher revenue and earnings than First Majestic Silver. First Majestic Silver is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Summary

First Majestic Silver beats its rivals on 8 of the 15 factors compared.

About First Majestic Silver

First Majestic Silver Corp. engages in the acquisition, exploration, development, and production of mineral properties with a focus on silver and gold production in North America. Its projects include the San Dimas mine covering an area of approximately 71,867 hectares located in Durango State, Mexico; the Santa Elena that covers an area of approximately 102,244 hectares located in Sonora State, México; and the La Encantada covering an area of approximately 4,076 hectares located in Coahuila State, México. The company was formerly known as First Majestic Resource Corp. and changed its name to First Majestic Silver Corp. in November 2006. First Majestic Silver Corp. was incorporated in 1979 and is headquartered in Vancouver, Canada.