NEW YORK (TheStreet) -- Shares of First Majestic Silver (AG) - Get Report were sharply higher in mid-afternoon trading on Wednesday alongside silver prices ahead of the Federal Reserve's statement, due out at 2 PM EDT.
The central bank is expected to leave interest rates unchanged today, Reuters reports. But the Fed could indicate the probability of a rate hike by year end.
Precious metals such as silver and gold do not pay interest and can struggle to compete with assets that offer a yield when interest rates are hiked.
For December delivery, silver was rising 2.53% to $19.77 per ounce on the COMEX this afternoon, while gold for December delivery was recently gaining 0.95% to $1,330.70 per ounce.
First Majestic is a Vancouver-based silver mining company engaged in the production, development, exploration and acquisition of mineral properties.
Separately, TheStreet Ratings Team has a "Hold" rating with a score of C- on the stock.
The primary factors that have impacted the rating are mixed. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures and expanding profit margins.
But the team also finds weaknesses including disappointing return on equity and weak operating cash flow.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: AG