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Author: Admin | 2025-04-28
Was evident in 2020 when silver prices rose by 45% YoY at the peak of the COVID-19 pandemic. Silver prices crossed the $20 per ounce level for the first time in four years in 2020. Furthermore, in February 2021, silver prices crossed the $30 per ounce level as retail investors started to take significant interest in the commodity. However, the spot prices for silver have come under pressure as notable central banks around the world are increasing benchmark interest rates that do not play in favor of precious metals like silver.A better investment opportunity than investing in silver as a commodity is to invest in the companies involved in mining the commodity. This is because, at a time when the prices are high, these companies take aggressive expansionary measures that yield higher returns for shareholders of these mining companies as opposed to the investors of the commodity. Companies like Wheaton Precious Metals Corp. (NYSE:WPM), Pan American Silver Corp. (NASDAQ:PAAS), and Hecla Mining Company (NYSE:HL) are amongst the best silver mining stocks offering strong growth potential. Photo by Scottsdale Mint on UnsplashOur MethodologyWe have shortlisted junior silver mining companies that have strong business fundamentals to support their exploratory activities. These stocks are expected to offer decent upside potential to investors. We have also looked into the expansion plans of these companies and the analysts’ stance on their future prospects. Amongst the silver mining pure plays, we have chosen the companies whose silver mining and exploration segment is valued at under $1 billion as of September 28. The companies have been ranked according to the level of hedge fund ownership as of Q2 2022.Best Junior Silver Mining Stocks10. Compañía de Minas Buenaventura S.A.A. (NYSE:BVN)Number of Hedge Fund Holders: 6Compañía de Minas Buenaventura S.A.A. (NYSE:BVN) is a Lima, Peru-based mining company that is engaged in the mining and production of silver, gold, and other metals.Compañía de Minas Buenaventura S.A.A. (NYSE:BVN) stock is considered an investment opportunity in the Peruvian economy as it is the biggest precious metals company in the country. Compañía de Minas Buenaventura S.A.A. (NYSE:BVN) has a 20% stake in another Peruvian mining company Cerro Verde. Verde is considered significantly undervalued by the market but is expected to gain value once the company decides to monetize it. Compañía de Minas Buenaventura S.A.A. (NYSE:BVN) is considered one of the best silver mining stocks due to its diversified metal portfolio.Compañía de Minas Buenaventura S.A.A. (NYSE:BVN) provides an attractive opportunity to bet on the Peruvian mining industry. Other leading mining companies like BHP Group Limited (NYSE:BHP) are also looking to expand their presence in the South American nation. Compañía de Minas Buenaventura S.A.A. (NYSE:BVN) has an annual forward dividend yield of 2.37% as of
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