On August 12, Pan American Silver declined 8.72% in after-hours trading, trading at $48.52/share, with turnover of approximately $3.85 million. The sell-off was triggered by the company's second-quarter earnings release after the close.
The company posted Q2 results that appeared to disappoint elevated market expectations. Heading into the report, consensus estimates called for revenue of $1.155 billion (up 59.17% year-over-year), EBIT of $529 million (up 118.71%), and EPS of $0.96 (up 163.58%). The high bar was set after last quarter's strong beat, when adjusted EPS of $1.09 significantly exceeded the $0.86 consensus, driving a rally. The sharp after-hours decline suggests Q2 results or forward guidance failed to meet these heightened expectations.
Adding to bearish sentiment, multiple investment banks recently lowered price targets: Jefferies cut to $49 from $53, Bank of America to $69 from $77, and RBC to $65 from $75, reflecting growing institutional caution on valuation despite maintaining positive ratings.
(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)
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