News

Endeavour Silver Corp. EXK announced that it has entered into a bought-deal agreement to offer 15,825,000 common shares for $4.60 per share to a syndicate of underwriters led by BMO Capital Markets. This move will help Endeavour Silver raise approximately $73 million toward the advancement of its Pitarrilla project in Mexico.

The offering is expected to close around Nov. 27, 2024, subject to regulatory approvals. The underwriters have a 30-day option to buy an additional 10% of shares to cover over allotments.

Details of Endeavour Silver’s Pitarrilla Project

Pitarrilla is a large undeveloped silver, lead and zinc project that comprises 4,950 hectares across five concessions. The property is located 160 kilometers north of Durango City in northern Mexico.

It has significant infrastructure in place, with direct access to utilities. Pitarrilla has secured necessary permits for underground mining and development, including water use, explosives, land use and environmental approvals.

Since acquiring the project in July 2022, Endeavour Silver has re-logged the historic drill core, refurbished an existing underground ramp and extended it over 1.3 kilometers to test high-grade feeder structures.

On Nov. 13, 2024, Endeavour Silver announced that it made substantial progress at its 100% owned Pitarrilla project, boosting its understanding of the deposit's geology and mineralization controls. The progress made at Pitarrilla underscores Endeavour Silver's potential to create significant shareholder value.

EXK’s Discoveries From the Exploration

Endeavour Silver has refurbished an existing underground ramp and extended it over 1.3 kilometers, confirming the presence of at least four high-grade feeder structures, including the Palmito, Danna, Victoria and Casas Blancas veins.

During the development of the ramp, the company identified additional mineralized structures like the Norma vein and the Pena dike.

EXK has drilled nine diamond drill holes since August 2024, including six from the surface and three from underground drill stations. All holes successfully encountered the target deposit, confirming management's geological interpretation and the viability of underground bulk tonnage mining.

Endeavour Silver’s Q3 Results

The company produced 1.6 million silver equivalent ounces in the third quarter of 2024, a 14% decline from the year-ago quarter due to reduced silver production at its mines, which offset higher gold output.

The consolidated silver production fell 24% year over year to 874,717 million ounces. Endeavour Silver, however, witnessed a 2% year-over-year improvement in gold production at 9,290 ounces.

The company reported adjusted earnings per share of 1 cent, beating the Zacks Consensus Estimate of break-even earnings. The company had incurred an adjusted loss of 4 cents in the year-ago quarter.

The top line grew 8.2% year over year to $53 million in the third quarter of 2024. However, the metric missed the Zacks Consensus Estimate of $55 million.

EXK Silver’s Share Price Performance

Endeavour Silver shares have gained 100% over the past year compared with the industry's 38.8% growth.

Image Source: Zacks Investment Research

Endeavour Silver’s Zacks Rank & Other Stocks to Consider

Endeavour Silver currently flaunts a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Some other top-ranked stocks from the basic materials space are CF Industries Inc. CF, Carpenter Technology Corporation CRS and Ingevity Corporation NGVT. While CF sports a Zacks Rank #1 at present, CRS and NGVT each carry a Zacks Rank #2 (Buy).

CF Industries has an average trailing four-quarter earnings surprise of 10.3%. The Zacks Consensus Estimate for CF’s 2024 earnings is pegged at $6.32 per share. CF’s shares gained 20.6% in the last year.

Carpenter Technology has an average trailing four-quarter earnings surprise of 14.1%. The Zacks Consensus Estimate for CRS’ fiscal 2025 earnings is pegged at $6.61 per share. Its shares skyrocketed 162.7% in the last year.

Ingevity has an average trailing four-quarter earnings surprise of 95.4%. The Zacks Consensus Estimate for NGVT’s 2024 earnings is pegged at $2.55 per share. Its shares gained 25.7% in the last year.

Zacks' Research Chief Names "Stock Most Likely to Double"

Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.

This top pick is among the most innovative financial firms. With a fast-growing customer base (already 50+ million) and a diverse set of cutting edge solutions, this stock is poised for big gains. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.

Free: See Our Top Stock And 4 Runners Up

Want the latest recommendations from Zacks Investment Research? Today, you can download 5 Stocks Set to Double. Click to get this free report

CF Industries Holdings, Inc. (CF) : Free Stock Analysis Report

Endeavour Silver Corporation (EXK) : Free Stock Analysis Report

Ingevity Corporation (NGVT) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.