Endeavour Silver (EXK) Stock Jumping as Silver Prices Soar

NEW YORK (TheStreet) -- Shares of Endeavour Silver (EXK) are popping 7.59% to $4.11 on heavy trading volume Wednesday afternoon as silver prices approach an 11-month high.

For May delivery, silver is gaining 0.93% to $17.13 per ounce on the COMEX this afternoon.

The price of the precious metal is getting a lift today from technical momentum and perceptions that it is undervalued compared with gold, Reuters reports.

So far this month, silver prices have advanced almost 10%, boosted by a break through chart resistance at its late October high yesterday.

"The overall momentum in precious metals has clearly improved, and in fact now silver is looking to be leading the rest," ABN Amro analyst Georgette Boele told Reuters.

"If you look at the long-term outlook for the gold/silver ratio, it can go a lot lower. That would mean that if you're optimistic on gold prices, silver can go a lot higher," she added.

Endeavour Silver is a Vancouver-based company engaged in silver mining and related activities, such as exploration, mineral extraction and development.

About 4.28 million of the company's shares were traded by this afternoon, well above its average volume of 1.83 million shares per day.

Separately, TheStreet Ratings Team has a Sell rating with a score of E+ on the stock.

The company's weaknesses can be seen in multiple areas, such as its feeble growth in its earnings per share, 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: EXK