Core Insights - Silver has reached an all-time high, increasing over 70% year-to-date, with spot prices at approximately $51.70 per ounce, driven by economic uncertainty and industrial demand [1][3][11] Industry Overview - The surge in silver prices is attributed to renewed U.S.-China trade tensions, with President Trump imposing 100% tariffs on Chinese goods, raising concerns about supply-chain disruptions and global growth [3] - Expectations of further interest rate cuts by the Federal Reserve in October and December have also bolstered silver prices, as lower borrowing costs typically weaken the dollar, making silver more attractive [4] - Silver's demand is not only defensive; it is crucial for fast-growing sectors such as clean energy, solar power, electronics, and electric vehicles, which is expected to sustain its momentum [5] Company Highlights Buenaventura Mining Company (BVN) - Buenaventura is a leading precious metals company in Peru, operating several key mines and holding significant stakes in other mining ventures, providing strong exposure to silver production [6][7] - The Zacks Consensus Estimate for BVN indicates a projected sales growth of 25.7% and EPS growth of 12.5% for 2025, with further growth expected in 2026 [8] Fresnillo plc (FNLPF) - Fresnillo is a major silver and gold producer in Mexico, operating eight active mines and developing multiple exploration projects, positioning it for future growth [9][10] - The Zacks Consensus Estimate for Fresnillo suggests a substantial sales increase of 50.3% and an EPS surge of 352.8% for 2025, with continued growth anticipated in 2026 [12] Pan American Silver (PAAS) - Pan American is a significant silver and gold producer with operations across several countries, recently enhancing its silver reserves through the acquisition of MAG Silver [13][14] - The Zacks Consensus Estimate for PAAS indicates a sales growth of 21.5% and an EPS increase of 153% for 2025, with further growth expected in 2026 [15] First Majestic Silver (AG) - First Majestic focuses on silver and gold production in Mexico and the U.S., operating multiple underground mines and recently acquiring Gatos Silver to enhance its production capabilities [16][17] - The Zacks Consensus Estimate for AG forecasts a sales increase of 91.1% and an EPS jump of 228.5% for 2025, with positive revisions in EPS estimates for 2025 and 2026 [18]

Industry Overview - Silver has experienced a significant upward trend, reaching an all-time high of $49.57 per ounce on October 8, 2025, with a notable increase of $3.32, or 7.2%, from $46.07 on September 28 [2] - The surge in silver prices is attributed to macroeconomic uncertainty, rising inflation concerns, and expectations of easing monetary policy from the Federal Reserve [1][9] Demand and Supply Dynamics - Industrial demand for silver, particularly in clean energy, solar panels, electronics, and electric vehicle manufacturing, has provided a robust boost to prices due to silver's superior conductivity and reflectivity [3] - Physical supplies of silver remain tight in major trading hubs, with increased deliveries to U.S. COMEX warehouses indicating sustained investor appetite [3][11] Company Performance - Compania de Minas Buenaventura S.A.A. (BVN) is expected to see a 4.4% earnings growth rate, with a 16.1% improvement in consensus estimates over the past 60 days [6] - Coeur Mining, Inc. (CDE) has a projected earnings growth rate of 361.1%, with a 6.4% increase in consensus estimates [7] - Fresnillo plc (FNLPF) is anticipated to achieve a 352.8% earnings growth rate, with a 13.2% rise in consensus estimates [8] Market Sentiment - The dual role of silver as both a precious and industrial metal has allowed it to outperform gold, benefiting from both safe-haven flows and global manufacturing trends related to the green transition [4] - Despite potential risks such as short-term corrections and liquidity swings, silver has established itself as a standout commodity on Wall Street this year [5][11]

Core Insights - Momentum investing focuses on following a stock's recent price trends, aiming to buy high and sell higher, with the expectation that established trends will continue [1] - The Zacks Momentum Style Score helps investors identify stocks with strong momentum, addressing the challenges of defining momentum [2] Company Overview: Buenaventura (BVN) - Buenaventura currently holds a Momentum Style Score of B and a Zacks Rank of 1 (Strong Buy), indicating strong potential for outperformance [3][4] - Over the past week, BVN shares increased by 11.14%, outperforming the Zacks Mining - Silver industry, which rose by 9.89% [6] - In a longer timeframe, BVN shares have risen by 45.08% over the past quarter and 74.06% over the past year, significantly outperforming the S&P 500's gains of 7.36% and 19.22%, respectively [7] Trading Volume - BVN's average 20-day trading volume is 1,465,343 shares, which serves as a bullish indicator when combined with rising stock prices [8] Earnings Outlook - Over the past two months, one earnings estimate for BVN has increased, raising the consensus estimate from $1.43 to $1.66 for the full year, with no downward revisions [10] - The positive earnings estimate revisions contribute to BVN's strong momentum and Zacks Rank [9][10] Conclusion - Given the strong performance metrics and positive earnings outlook, Buenaventura is positioned as a promising investment opportunity with a Momentum Score of B and a Zacks Rank of 1 (Strong Buy) [12]

Core Insights - The U.S. Federal Reserve cut interest rates by 25 basis points after nearly nine months, initially boosting investor sentiment, but the S&P 500 ended a three-day rally shortly after [1] - Fed Chair Jerome Powell indicated that stock valuations remain high and the future of rate cuts is uncertain, while the labor market shows signs of slowing with moderating job growth and slightly rising unemployment [2] Value Investing Focus - In the current environment, a value investing approach focusing on quality companies at reasonable prices is particularly relevant [2] - Recommended stocks for value investors include Halozyme Therapeutics, Ranger Energy Services, Buenaventura Mining Company, Affiliated Managers Group, and LATAM Airlines Group, all of which exhibit high earnings yield [3] Earnings Yield Metric - Earnings yield is calculated as (Annual Earnings per Share/Market Price) x 100, indicating the anticipated return from earnings for each dollar invested [4] - A higher earnings yield suggests a stock is underpriced compared to those with lower earnings yield, which are seen as overpriced [4] Market Comparison - Earnings yield can be compared with the 10-year Treasury yield to assess the relative attractiveness of stocks versus bonds; when the market index yield exceeds the Treasury yield, stocks may be undervalued [5] Stock Screening Criteria - A primary screening criterion is an earnings yield greater than 10%, supplemented by estimated EPS growth for the next 12 months being greater than or equal to the S&P 500 [6] - Additional criteria include an average daily volume of at least 100,000 and a current price of $5 or more [7][8] Selected Stocks - Halozyme Therapeutics (HALO) is focused on oncology treatments, with projected earnings growth of 46% and 22.5% for 2025 and 2026, respectively [9] - Ranger Energy Services (RNGR) specializes in onshore well services, with expected earnings growth of 53% and 11.3% for 2025 and 2026 [11] - Buenaventura Mining Company (BVN) anticipates earnings growth of 4.4% and 17.7% for 2025 and 2026 [12] - Affiliated Managers Group (AMG) projects earnings growth of 13% and 15% for 2025 and 2026 [13] - LATAM Airlines Group (LTM) expects earnings growth of 45% and 19% for 2025 and 2026 [14]

Core Viewpoint - Buena Ventura Mining Company (BVN.US) has received an upgrade in its MSCI ESG rating from B to BB as of September 23, 2025, indicating improved performance in environmental, social, and governance factors [1] Company Summary - The upgrade in the MSCI ESG rating reflects the company's enhanced practices and commitments towards sustainability and responsible governance [1]

Core Viewpoint - Compañia de Minas Buenaventura S.A.A. will host its Analyst and Investor Day on November 18, 2025, in New York, NY, aimed at equity analysts and institutional investors [1] Company Information - Buenaventura is Peru's largest publicly-traded precious metals mining company [1] - The event will feature presentations from the Company's senior management team, including Mr. Leandro García, Chief Executive [1]

Group 1: Momentum Investing Overview - Momentum investing involves following a stock's recent trend, with the strategy of buying high and selling higher, capitalizing on established price movements [1] - The Zacks Momentum Style Score helps define momentum characteristics, with Buenaventura (BVN) currently holding a Momentum Style Score of A [2][3] Group 2: Performance Metrics - Buenaventura has a Zacks Rank of 1 (Strong Buy), indicating strong potential for outperformance in the market [3] - Over the past week, BVN shares increased by 0.4%, while the Zacks Mining - Silver industry rose by 3.16% [5] - In the last quarter, BVN shares surged by 23.26%, and over the past year, they gained 47.14%, significantly outperforming the S&P 500's increases of 10.66% and 18.43% respectively [6] Group 3: Trading Volume and Earnings Outlook - The average 20-day trading volume for BVN is 1,031,934 shares, which is a bullish indicator when combined with rising stock prices [7] - In the past two months, one earnings estimate for BVN increased, raising the consensus estimate from $1.43 to $1.66, with no downward revisions noted [9] Group 4: Conclusion - Given the strong performance metrics and positive earnings outlook, Buenaventura is positioned as a 1 (Strong Buy) stock with a Momentum Score of A, making it a compelling investment option [11]

Financial Performance - Compañía de Minas Buenaventura S.A.A. reported strong second-quarter 2025 results, with EBITDA from direct operations increasing to $130.1 million from $107.2 million in Q2 2024 [1] - Net income rose to $98.2 million from $74.4 million year-over-year [1] - For the first half of 2025, EBITDA was $256.4 million and net income was $245.2 million, both significantly higher than the same period in the previous year [1] Debt and Cash Position - The company reported a leverage ratio of 0.56x and net debt of $271.7 million [1] - Cash reserves stood at $588.5 million [1] - Buenaventura repaid $149 million in 2026 notes on July 23, 2025 [1] Operational Highlights - El Brocal's restart led to a 28% year-over-year increase in copper production [3] - However, silver output declined by 11% and gold production dropped by 19% due to reduced production at Orcopampa and Tambomayo [3] - Lead output increased by 2%, while zinc production surged by 22% [3] Investment and Sales Initiatives - Buenaventura invested $82.2 million in mining and plant development for the San Gabriel project [3] - The company began selling Cerro Verde's copper concentrate, with 20,000 WMT sold in Q2 2025 out of an anticipated 40,000 WMT for the year [3] Market Position - Compañía de Minas Buenaventura S.A.A. is ranked ninth among the Best Silver Mining Stocks according to hedge funds [1][3]

Financial Data and Key Metrics Changes - EBITDA for Q2 2025 was $130 million, up from $107 million in Q2 2024, indicating a year-over-year increase of approximately 21.5% [6] - Net income for Q2 2025 reached $91 million, compared to $71 million in Q2 2024, reflecting a year-over-year increase of about 28.2% [7] - Cash position at the end of Q2 2025 was $589 million, with total debt of $860 million, resulting in a leverage ratio of 0.56 times [9] Business Line Data and Key Metrics Changes - Silver production in Q2 2025 was 3.6 million ounces, down 11% from 4 million ounces in Q2 2024, primarily due to lower production at Jumpac, Tambomayo, and Huican [7] - Copper production increased by 28% year-over-year, attributed to halted operations at El Brocal in 2024 affecting copper ore processing [7] - Gold production decreased to 27,345 ounces from 33,119 ounces in Q2 2024, mainly due to reduced output at Tambomayo and Orcopampa, partially offset by increases at La Sanja and El Brocal [8] Market Data and Key Metrics Changes - The company initiated the sale of part of the Cerro Verde copper concentrate, selling approximately 20,000 metric tons by the end of Q2 2025, with a total of 40,000 metric tons expected for the full year [8] - Cerro Verde announced a new dividend distribution of $59 million on July 24, corresponding to Buenaventura's equity share, contributing to a total of $108 million in dividends [9] Company Strategy and Development Direction - The company is committed to stable and continuous production of flagship assets, with ongoing optimization efforts to increase throughput [14] - Continuous exploration is emphasized as part of the company's strategy to extend the life of its mining assets [15] - The San Gabriel project achieved 88% overall completion by Q2 2025, with expectations to commence ramp-up in Q3 2025 and produce the first gold bar in Q4 2025, subject to timely permit approvals [12][15] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in obtaining necessary permits for the San Gabriel project, with no anticipated risks regarding the permit for production commencement [20] - The company plans to maintain financial stability and has redeemed the remaining 2026 notes, indicating a focus on managing debt levels [15] - The ramp-up of production at San Gabriel is expected to take all of 2026, with stabilization projected between 100,000 and 120,000 ounces [22] Other Important Information - Total CapEx for Q2 2025 was $107 million, with $82 million allocated to the San Gabriel project [9] - The all-in sustaining costs for copper increased by 63% year-over-year, primarily driven by lower byproduct credits [10] Q&A Session Summary Question: Can you provide more details on the pending permits for San Gabriel? - Management indicated that they have invited authorities to visit the plant in September and do not foresee risks in obtaining the necessary permits [20] Question: What is the expected CapEx for the second half of 2025? - Total CapEx for San Gabriel is expected to remain between $720 million and $750 million, with approximately $130 million to $160 million disbursed in the second half of 2025 [22][23] Question: What is the status of silver production at Uchucchacua? - Management noted a decrease in silver grades due to a shift towards polymetallic stops, with plans to monitor and potentially resume mining in the bottom part of the mine by Q4 2025 [36][37] Question: How is the commercialization of Cerro Verde concentrate impacting overall costs? - The company has started selling 40,000 tons of copper concentrates from Cerro Verde, which is expected to improve terms and overall margins [42][43] Question: What is the timeline for the Trepiche project? - The environmental impact study is on track for approval by the end of the year, with the feasibility study expected to be completed by mid-2026 [55][57] Question: What is the definition of commercial production for San Gabriel? - Commercial production is defined as producing two gold bars over 20 continuous days at 65% capacity [64][70]

Financial Data and Key Metrics Changes - EBITDA for Q2 2025 was $130 million, up from $107 million in Q2 2024, reflecting a strong performance [7] - Net income increased to $91 million in Q2 2025 from $71 million in Q2 2024 [8] - Total CapEx for the quarter was $107 million, with $82 million allocated to the San Gabriel project [9] - Cash position at the end of the quarter was $589 million, with total debt of $860 million, resulting in a leverage ratio of 0.56 times [9] Business Line Data and Key Metrics Changes - Silver production decreased by 11% year-over-year to 3.6 million ounces, primarily due to lower output at Jumpac, Tambomayo, and Huican [8] - Copper production increased by 28% year-over-year, attributed to halted operations at El Brocal in 2024 [8] - Gold production fell to 27,345 ounces from 33,119 ounces in the same quarter last year, mainly due to decreased output at Tambomayo and Orcopampa [8] Market Data and Key Metrics Changes - The company initiated the sale of part of the Cerro Verde copper concentrate, selling approximately 20,000 metric tons by the end of the quarter, with a total of 40,000 metric tons expected for the full year 2025 [8] - Cerro Verde announced a new dividend distribution of $59 million, corresponding to Buenaventura's equity share, to be distributed in August [9] Company Strategy and Development Direction - The company is committed to stable and continuous production of flagship assets and is focused on optimizing throughput [15] - Continuous exploration efforts are emphasized to extend the life of mining assets [15] - The San Gabriel project is on track with 88% overall completion, with expectations to produce the first gold bar in Q4 2025, subject to timely permit approvals [13][16] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in obtaining necessary permits for the San Gabriel project, indicating no significant risks [19] - The company plans to maintain financial stability and has redeemed the remaining 2026 notes [16] - The ramp-up of production at San Gabriel is expected to take all of 2026, with stabilization anticipated thereafter [21] Other Important Information - The all-in sustaining costs for copper increased by 63% year-over-year, primarily due to lower byproduct credits [11] - The company received $49 million in dividends from Cerro Verde, which contributed to operating cash flow [12] Q&A Session Summary Question: Can you provide more details on the pending permits for San Gabriel? - Management indicated that they have invited authorities to visit the plant in September and do not foresee risks in obtaining the necessary permits [19] Question: What is the expected CapEx for the second half of 2025? - Total CapEx for San Gabriel is expected to remain between $720 million and $750 million, with approximately $130 million to $160 million disbursed in the second half of 2025 [20][22] Question: When do you expect to reach full production capacity at San Gabriel? - The ramp-up will take all of 2026, with expectations to stabilize production between 100,000 and 120,000 ounces [21] Question: How is Uchucchacua performing regarding silver grades and costs? - Management noted a decrease in silver grades due to a shift towards polymetallic stops, with expectations to stabilize in Q3 [32][35] Question: What is the strategy for El Brocal moving forward? - The company plans to prioritize mining blocks with higher gold and silver content while maintaining a target copper production of 1.45% [38] Question: Can you clarify the commercialization of Cerro Verde concentrate? - The company has sold 20,000 tons of copper concentrate in the first half and plans to sell another 20,000 tons in the second half, with margins expected around $1.2 million for each 10,000 tons [48][50] Question: What is the status of the Trepiche project? - The environmental impact study is on track for approval by the end of the year, with the feasibility study expected to be completed in Q3 2026 [55] Question: What is the definition of commercial production for San Gabriel? - Commercial production is defined as producing two gold bars over 20 continuous days at 65% capacity [64][68]