Fortuna Silver Mines Up 4.67% To $3.02 After Earnings Beat

Wednesday, November 8, 2023 - Fortuna Silver Mines (FSM) reported upside earnings and revenues today.

The consensus among analysts for Fortuna Silver Mines was for an earnings per share (EPS) of $0.04. The firm was able to surpass those projections, reporting an EPS of $0.10, a positive surprise of $0.06 (150%). Profits rose 900% year-over-year after reporting an EPS of $0.01 in its year-ago quarter. The positive growth rate signals that the Basic Materials company is performing well amid recent economic conditions.

Consensus estimates for Fortuna Silver Mines revenue averaged out to $206.4 million, with the business managing to beat those expectations with reported third-quarter revenue of $243.1 million. The $36.7 million (18%) positive revenue surprise led to 46% growth year-over-year as the firm reported revenue of $166.6 million in its year-ago quarter. The higher earnings growth compared to revenue points to Fortuna Silver Mines improving its profit margin.

The stock is up 4.67% to $3.02 after the report.

Fortuna Silver Mines's earnings expanded faster than revenues, signaling widening profit margins.

The average recommendation from Wall Street analysts was a Hold which may get revised based on this new data.

Trading in the five days leading up to the report earned Fortuna Silver Mines a Neutral Sentiment Rank from InvestorsObserver.

Prior to the report, InvestorsObserver gave the stock an overall score of 45. Meanwhile, the average Wall Street analyst rated the stock a Hold.

Fortuna Silver Mines Inc is engaged in precious and base metal mining and related activities in Argentina, Burkina Faso, Mexico, Peru, and Cote d'Ivoire. The company operates the open pit Lindero gold mine in northern Argentina, the underground Yaramoko mine in southwestern Burkina Faso, the underground San Jose silver and gold mine in southern Mexico, the underground Caylloma silver, lead, and zinc mine in southern Peru, and is developing the open pit Seguela gold mine in southwestern Cote d'Ivoire. The company earns revenue from contracts with customers related to its concentrate and dore sales.