Abstract
Endeavour Silver will release its quarterly results on February 27, 2026 Pre-Market; investors anticipate a rebound in earnings with positive EPS and stronger revenue momentum supported by improved operational execution and cost discipline.
Market Forecast
Based on Endeavour Silver’s latest guidance metrics and compiled forecasts, current-quarter revenue is projected at $164.39 million, implying 235.33% year-over-year growth, while adjusted EPS is estimated at $0.05, reflecting 411.13% year-over-year growth; margins were not formally guided in the prior update, and will be assessed against a last-quarter baseline gross margin of 27.67% and net profit margin of -29.37%. The main business continues to hinge on precious-metal sales and realized prices, with a mixed near-term backdrop after notable silver price swings, yet demand and grade improvements underpin the volume outlook. Silver stands out as the most promising segment by scale, contributing $76.19 million last quarter within total revenue that rose 167.26% year-over-year, positioning the company for potential revenue uplift if realized prices and recoveries stay supportive.
Last Quarter Review
Endeavour Silver reported last-quarter revenue of $142.83 million, a gross profit margin of 27.67%, GAAP net profit attributable to the parent company of -$41.96 million, a net profit margin of -29.37%, and adjusted EPS of -$0.01; on a year-over-year basis, revenue grew 167.26% and adjusted EPS improved 85.71%, with net profit declining quarter-on-quarter by -105.11%. A key highlight was the top-line outperformance versus estimates, with a revenue surprise of 19.93%, indicating stronger-than-anticipated shipments and realized prices despite cost and fee pressures. Main business highlights were led by silver sales of $76.19 million and gold of $49.16 million, complemented by lead ($10.46 million), zinc ($8.78 million), copper ($1.15 million), and other metals ($0.23 million), partially offset by smelting and refining charges of -$3.14 million, as total revenue advanced 167.26% year-over-year on improved production and pricing.
Current Quarter Outlook (with major analytical insights)
Core Metals Sales and Revenue Trajectory
Revenue is forecast at $164.39 million this quarter, implying 235.33% year-over-year growth, which points to a substantial recovery in top-line momentum as volumes normalize and realized prices stabilize. The expected EPS lift to $0.05 is consistent with better operating leverage and lower per-unit costs, a scenario often observed when volumes expand and fees are contained. While the company did not provide explicit gross or net margin targets for the current quarter, last quarter’s 27.67% gross margin serves as a benchmark for assessing the combined impact of pricing, grades, and smelting/refining charges on profitability. The previous quarter’s smelting and refining charges of -$3.14 million highlight a recurring cost element that management will seek to mitigate via process efficiencies and sales mix, especially as volume strength gives more flexibility in negotiating terms and optimizing concentrate streams. A further tailwind is the alignment of shipments with market windows: early January saw silver spot crossing $90 per ounce (January 14, 2026), while late January and early February experienced sharp pullbacks (January 30, 2026 and February 5, 2026), underscoring the importance of commercialization timing; better timing can enhance average realized prices within the quarter even if headline spot is volatile.
Silver Segment as the Key Catalyst
Silver remains the company’s largest contributor and primary catalyst for earnings variability, having delivered $76.19 million in revenue last quarter against total revenue that grew 167.26% year-over-year. The segment’s scale offers the clearest path to operating leverage in the current quarter, especially if grades and recoveries hold and cost-per-ounce trends remain favorable. As revenue guidance implies a robust uplift, incremental silver volumes together with prudent hedges and disciplined shipment scheduling will likely be the decisive contributors to EPS moving back to positive territory. The company’s refining and smelting terms are crucial for netbacks; limiting adverse charges or widening product premiums can materially affect margins on silver-rich concentrates. Operational balancing after portfolio changes also matters: Endeavour Silver closed the divestment of the Bolañitos silver and gold mine for $40.00 million on January 16, 2026, a move that simplifies the asset base and can sharpen focus on higher-margin ounces. The streamlining may reduce overhead allocation and complexity, allowing performance in core assets to translate more directly into consolidated margins, which would support EBIT estimates of $32.62 million this quarter and help translate top-line growth into incremental cash generation.
Stock Price Drivers and Earnings Sensitivities This Quarter
The principal drivers of the stock in this window are the interplay between realized prices, shipment timing, and unit costs, which collectively inform margin realization and EPS. Market volatility was intense around the turn of the month: silver prices surged above $90 per ounce (January 14, 2026), then slumped sharply (January 30, 2026 and February 5, 2026), driving notable swings across precious metals equities and tightening investor focus on price capture strategies. Against this backdrop, Endeavour Silver’s EPS estimate of $0.05 and EBIT projection of $32.62 million—paired with a 235.33% revenue growth expectation—suggest the base case is a volume-led recovery complemented by selective optimization of sales timing to improve netbacks despite spot churn. The legacy burden of smelting and refining charges (-$3.14 million last quarter) remains a sensitivity, particularly if off-take terms are less favorable; however, improved throughput and potential cost reductions can dilute the per-unit impact of such fees. With last quarter’s net profit margin at -29.37%, the path back to positive net margins hinges on maintaining the gross margin around last quarter’s level or higher and translating EBIT growth into bottom-line traction through disciplined overhead and finance cost management. Finally, operational stability after the asset divestment on January 16, 2026 provides a clearer lane for execution, reducing non-core variability and allowing management to prioritize productivity gains where they most effectively contribute to earnings per share.
Analyst Opinions
The balance of recent published views is decisively on the bullish side, with a ratio of bullish to bearish opinions at 100% to 0% over the January 1, 2026 to February 20, 2026 window. On January 13, 2026, B. Riley Securities adjusted its price target on Endeavour Silver to $14 from $11 and maintained a Buy rating, underscoring confidence in the company’s earnings normalization and leverage to near-term revenue momentum. The same day, a roundup indicated the stock carries an average Buy rating and a mean price target of $12.33 across tracked analysts, framing a supportive valuation backdrop ahead of the print. These stances emphasize the potential for upside if the company delivers on its $164.39 million revenue estimate and $0.05 adjusted EPS, with further optionality if EBIT ($32.62 million estimate) tracks favorably against operating cost assumptions. Analysts highlight several factors behind the constructive view: first, the earlier-than-expected top-line beat last quarter (19.93% revenue surprise) demonstrated the company’s capacity to exceed forecasts despite cost headwinds; second, portfolio streamlining via the Bolañitos sale on January 16, 2026 simplifies execution and supports a focus on higher-margin ounces; third, the set-up for realized pricing this quarter benefits from flexible shipment timing, which could partially offset late-January and early-February spot price weakness. Within this framework, the majority view anticipates an EPS inflection back to positive and stronger operating cash flow as revenue expands faster than unit costs, corroborating a constructive stance into February 27, 2026 and anchoring expectations for a margin stabilization narrative to accompany volume gains.
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