When Silver Wheaton Corp. NYSE: SLW reported Q-3 results Monday, the Silver miner noted that lower sales and lower prices hit both the Top and Bottom lines, down 13% and 11% respectively. A Y-Y drop of 14% in the price of Silver got the blame.
Tuesday, Hecla Mining Co. NYSE:HL and Coeur d’Alene Mines Corp. NYSE:CDE said a similar story. At Coeur d’Alene, prices were 23% lower than a year ago, and Hecla noted a drop of about 5.5%.
Hecla reported a break-even Q-3, the consensus estimate had called for EPS of 0.04. The company posted a noncash mark-to-market loss of $9.1-M on its base-metal hedges and a $6.1-M charge for costs related to the suspension of operations at one of its mines.
The company’s production rose and, even though Silver prices fell, the company’s average realized price was 35 oz, more than 5.00 oz above the London fix, enough to add 0.01 to the company’s Quarterly dividend payment.
Coeur d’Alene reported a net loss of 0.18 per share, a major collapse from Q-3 of Y 2011 EPS at 0.26. Sales fell 33%, along with the drop in prices.
Pan American Silver Corp. NASDAQ:PAAS is scheduled to release Q-3 results Thursday, and the consensus estimate calls for EPS of 0.33 on $269.9-M in revenues.
The iShares Silver Trust NYSEMKT: SLV is up less than 0.1% at 30.19 in a 52-wk range of 25.34 to 36.44, and the Global X Silver Miners ETF NYSEMKT:SIL down about 0.5% at 24.01 in a 52-wk range of 16.54 to 26.62.
Paul A. Ebeling, Jnr.
Paul A. Ebeling, Jnr. writes and publishes The Red Roadmaster’s Technical Report on the US Major Market Indices, a weekly, highly-regarded financial market letter, read by opinion makers, business leaders and organizations around the world.
Paul A. Ebeling, Jnr has studied the global financial and stock markets since 1984, following a successful business career that included investment banking, and market and business analysis. He is a specialist in equities/commodities, and an accomplished chart reader who advises technicians with regard to Major Indices Resistance/Support Levels.
Copyright Live Trading News All rights reserved.