With silver prices seemingly about to take off, Pan American Silver (Nasdaq:PAAS) could be one of the best deals among silver mining companies, as the price of silver has found support and when silver prices have been strong in the past, Pan American has soared to over $40 a share.
The company seems to have positioned itself nicely for a long run if it comes, and last quarter their performance shined, and they and their shareholders are probably about to be rewarded for it.
For example, silver production for the quarter increased by 13 percent to 5.5 million ounces, while gold production rose by 34 percent. What was most impressive to me though was the way the company cut the cash costs to $4.35 an ounce, leaving them terrific margins and earnings potential.
Even though the share price has been moving up, Pan American Silver is still a bargain, and they have a lot of room to grow before their value is reflected in the share price.
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