Two Silver Stocks to Watch

The company currently has stakes in three of the world's five largest silver deposits and is a top growth story among the North American silver producers, "a considerable achievement for a company started just over five years ago," according to Barnes. He said "Navidad has the potential to increase our long-term silver production by approximately 2 million ounces per annum."

Silver Wheaton pays no income taxes, as all of its silver trading activities are executed by its wholly owned subsidiary based out of the Cayman Islands.

According to analysts polled by Bloomberg, the company is set to report earnings of 73 cents per share for 2010 and 90 cents per share for 2011, up from 38 cents in 2009. The stock has 11 buy, two hold and no sell ratings, according to TheStreet's Analyst ratings guide.

Pan American Silver

On Jan. 26, Pan American Silver completed the acquisition of Aquiline Resources, giving it access to the world's largest undeveloped silver deposits -- Navidad, with an estimated 632 million ounces of silver. During 2010, the company has plans to spend $16.5 million for the development and exploration of Navidad and $9 million for a feasibility study of La Preciosa, in addition to investments of $43.6 million across eight other properties.

Announcing the company's fourth-quarter earnings on Feb. 15, President and CEO Geoff Burns mentioned that the company's objective for 2010 was to maximize the value and production of existing assets, while advancing both the Navidad and La Preciosa projects. He said that "with the acquisition of Navidad and joint venture on La Preciosa, we have positioned the company for a record transformational growth in 2012 and 2013."

Analysts polled by Bloomberg estimate Pan American Silver to report earnings of $1.14 per share for 2010 and $1.33 per share for 2011, up from 71 cents in 2009. The stock has six buy, three hold and two sell ratings, according to TheStreet's Analyst ratings guide.

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