First Majestic Silver Rides High on Higher Silver Prices

First Majestic Silver Corp (TSX:AG) is known as a 'pure silver play' on the S&P/TSX Composite Index, but that label deserves a caveat. The company presents itself to investors with the long-running tagline 'There's no substitute for silver', but it also produces gold and other metals.

In its second quarter 2026 results, First Majestic reported revenue of US$415.5 million, up 57% from a year earlier, driven by higher silver prices. The company raised its full-year production guidance and announced plans to restart the Jerritt Canyon gold mine in Nevada. It also agreed to sell its idle San Martin mine for US$90 million.

However, the company's 'silver leverage' works both ways. A fall in silver or gold prices would compress margins, and operational risks are visible in the latest quarter, including labour disruptions at San Dimas and a rockfall at Los Gatos.