Silver production rose 27% from the year-ago period to about 1.9 million ounces. Gold productions grew 23% to 18,519 ounces in the quarter. Silver equivalent output increased 26% to 3 million ounces using a 60:1 silver gold ratio.
"Although we did not forecast any production growth in 2014, we are already ahead of our production plan for the year as our operations team continues to perform well," CEO Bradford Cooke said in a press release. "Management is also intent on improving our safety, financial and exploration performance in 2014 as we get ready for the next leg up in the precious metal cycle."
TheStreet Ratings team rates ENDEAVOUR SILVER CORP as a Sell with a ratings score of D. TheStreet Ratings Team has this to say about their recommendation:
"We rate ENDEAVOUR SILVER CORP (EXK) a SELL. This is driven by a few notable weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its feeble growth in its earnings per share, deteriorating net income, disappointing return on equity and generally disappointing historical performance in the stock itself."
Highlights from the analysis by TheStreet Ratings Team goes as follows:
- ENDEAVOUR SILVER CORP has experienced a steep decline in earnings per share in the most recent quarter in comparison to its performance from the same quarter a year ago. The company has reported a trend of declining earnings per share over the past two years. During the past fiscal year, ENDEAVOUR SILVER CORP swung to a loss, reporting -$0.91 versus $0.41 in the prior year.
- The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Metals & Mining industry. The net income has significantly decreased by 881.0% when compared to the same quarter one year ago, falling from $14.82 million to -$115.76 million.
- Return on equity has greatly decreased when compared to its ROE from the same quarter one year prior. This is a signal of major weakness within the corporation. Compared to other companies in the Metals & Mining industry and the overall market, ENDEAVOUR SILVER CORP's return on equity significantly trails that of both the industry average and the S&P 500.
- The share price of ENDEAVOUR SILVER CORP has not done very well: it is down 21.93% and has underperformed the S&P 500, in part reflecting the company's sharply declining earnings per share when compared to the year-earlier quarter. The fact that the stock is now selling for less than others in its industry in relation to its current earnings is not reason enough to justify a buy rating at this time.
- Net operating cash flow has increased to $25.30 million or 28.49% when compared to the same quarter last year. In addition, ENDEAVOUR SILVER CORP has also vastly surpassed the industry average cash flow growth rate of -37.88%.
- You can view the full analysis from the report here: EXK Ratings Report