First Majestic Silver Corp (AG): Time for a Turnaround in Precious Metals?

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A look at the recent financial performance tells this may be a good time to lock this dividend yield. In the quarter ended March 31, 2013, the company reported a 94% jump in sales to $64.9 million while profits stood at $18.3 million. The company is virtually debt free and this is a big factor in the forward price earnings ratio of 13.

Foolish bottom line

Overall, it remains an open question if the correction in precious metals is over although the recent spike may be the beginning of a turnaround. Being regularly covered by analysts, First Majestic Silver appears to be a strong candidate for a breakout while Alamos Gold and AuRico Gold also present good cases. Given the industrial uses of silver, First Majestic Silver has a slight advantage over its gold mining counterparts.

Jacob Wolinsky has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned.

The article Time for a Turnaround in Precious Metals? originally appeared on Fool.com.

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