Pan American Silver Stock Jumps 80% with $1B Cash and 20% Dividend Hike

Video Description

Pan American Silver (TSX: PAAS; NYSE: PAAS) President and CEO Michael Steinmann believes silver is catching up to gold as investment demand returns on top of strong industrial use. Speaking with Kitco Mining at Mining Forum Americas 2025, he said, “I think we’re going to see all-time highs on the silver side.” Silver recently broke above US$42 per ounce, with about 60% of demand tied to electronics and solar, and roughly 150 million ounces available for investment. Steinmann pointed to the gold-silver ratio near 86 to 1 versus a historical average of 60 to 1. He said, “The lowest actually I’ve seen was about 30, 35 to one… the worst I’ve seen is probably at the beginning of COVID when we had like 120 to one.” He forecasts silver to close the gap by rising rather than gold falling. For Pan American, Q2 production was 5.1 million ounces of silver and 179,000 ounces of gold. Shares are up 80% year over year, market value is around US$15.5 billion, cash topped US$1 billion, and free cash flow reached US$233 million. The company raised its dividend by 20% under a net-cash-linked policy that has returned over US$1.1 billion since 2010, including US$103 million in the first half of this year. Growth is anchored by the Juanicipio mine in Mexico, which will lift silver production by 34% and lower costs, alongside the La Colorada Skarn discovery, where new veins were recently reported, and Jacobina in Brazil, with a mine plan to 2049. Key catalysts include further results at La Colorada, progress at Jacobina, and integration of Juanicipio, with longer-term potential at Escobal in Guatemala and Navidad in Argentina. Don’t forget to subscribe to our YouTube channel to stay up to date on the latest industry news and interviews. Special thanks to our sponsor, Metalla Royalty & Streaming Ltd, for making this coverage possible 👉 To learn more, visit https://metallaroyalty.com 00:24 Silver's Recent Surge 01:27 Investment Demand and Central Banks 02:15 Gold-Silver Ratio Discussion 04:23 Pan American Silver's Performance 06:23 Dividend Policy and Shareholder Returns 07:57 Capital Allocation and M&A Strategy 09:50 Major Acquisitions and Partnerships 13:16 Future Growth and Development Projects 19:23 Challenges and Opportunities in Silver Mining __________________________________________________________________ Kitco Mining is dedicated to reporting on the mining industry. Our mandate is to be the top resource for all mining information and news, offering a clear perspective on where the industry is going through breaking news coverage, mining trends, and in-depth reporting, presented with precious, rare earth, base metals, and industry stock prices. Get important precious and base metal updates while on the go with the Kitco Gold LIVE! app - https://applications.kitco.com Stay connected with us X - https://x.com/KitcoMining Instagram - https://www.instagram.com/kitcomining LinkedIn - https://www.linkedin.com/company/kitco-mining Facebook - https://www.facebook.com/KitcoMining Connect with the Kitco Mining anchors Paul Harris - https://x.com/paulharrisgold For more in-depth mining coverage, visit us here - https://www.kitco.com/mining Disclaimer: Videos are not trading advice, and the views expressed may not reflect those of Kitco Metals Inc.