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Pan Am Silver cut to Sell at Goldman as silver prices seen overvalued

  • Pan American Silver (PAAS -1.9%) is downgraded to Sell from Neutral with a $10 price target at Goldman Sachs, which forecasts silver at $21.80/oz. from 2015 onwards, driven by a lack of supply-side response.
  • While PAAS has a strong balance sheet, the revised silver price deck suggests the company's ability to generate free cash flow is limited, the firm says.
  • ETFs: SLV, AGQ, SIVR, USLV, ZSL, DSLV, DBS, SLVO, USV.
Comments (23)
  • NadgesNokindo
    , contributor
    Comments (45) | Send Message
     
    Just another dollar-protective, manipulative effort by one of the Fed's banks.

     

    These are escalating as the prices hold support at production costs and physical demand rages on.

     

    They'll throw everything at it until they have nothing left.
    25 Feb, 03:14 PM Reply Like
  • apberusdisvet
    , contributor
    Comments (2859) | Send Message
     
    Wonder, then, why JPM has 200 million ounces in its proprietary account. Great disinformation piece; certainly worthy of a gold star from Goebbels or Alinsky.
    25 Feb, 03:29 PM Reply Like
  • Doug Eberhardt
    , contributor
    Comments (2723) | Send Message
     
    "Goldman Sachs, which forecasts silver at $21.80/oz. from 2015 onwards, driven by a lack of supply-side response."

     

    I will take that bet Goldilocks...

     

    onwards? huh?

     

    I think Goldman was stuck short the stock with its move from $9 to $15.

     

    4 days ago, TD Securities upgraded PAAS to a buy with a price target of $19.

     

    http://bit.ly/1mFIhvD

     

    This is Goldman's first recommendation for the stock.
    25 Feb, 03:36 PM Reply Like
  • User 483949
    , contributor
    Comment (1) | Send Message
     
    They have the stock and the metals shorted. They will lie or do what they have to do to bring them down. It should be against the law to do what they do. They are crooks.
    25 Feb, 07:55 PM Reply Like
  • leland
    , contributor
    Comments (13) | Send Message
     
    GS much shorted gold and silver related stocks.
    Most of them are up from 20-50% this year along with the gold/silver price.
    25 Feb, 04:06 PM Reply Like
  • Justfacts404
    , contributor
    Comments (7) | Send Message
     
    I totally agree with most posts already made. Here is one of the major bullion banks, (rumor has it they are accumulating silver hand over fist) and they come out with this “insightful” downgrade recommendation. I particularly find it interesting in view of the following other recent recommendations:
    • Pan American Silver Raised to Buy From Hold by TD >PAAS Friday 02/21/2014 09:25 AM ET - Dow Jones News
    • Pan American Silver Raised to Mkt Perform From Underperform by BMO >PAAS Wednesday 02/19/2014 08:47 AM ET - Dow Jones News
    • Pan American Silver Raised to Buy From Hold by Deutsche Bank >PAAS Tuesday 01/14/2014 08:50 AM ET - Foreign Wire via Dow Jones News
    • Pan American Silver Raised to Neutral From Underweight by JPMorgan >PAAS Wednesday 12/18/2013 07:31 AM ET - Foreign Wire via Dow Jones News.

     

    Here is a bullion bank that can play a major role in manipulating the price of a commodity such as silver, informing the world that the price is going to go down.
    As an investor in PAAS, I intensely listen to all their quarterly and annual reports over the internet. PAAS projects their “all inclusive operating costs” to be somewhere between $17.00 to $18.00 this next year. So Goldman Sacks downgrade tells me is that they are anticipating, with their help of course, driving the price down to that range and into a negative cash flow territory.
    25 Feb, 07:06 PM Reply Like
  • JIMSK
    , contributor
    Comments (137) | Send Message
     
    what is your conclusiob ??
    jim
    26 Feb, 08:50 AM Reply Like
  • Gyro Guy
    , contributor
    Comment (1) | Send Message
     
    Koodo's to you NadgesNokindo....you're right on!
    25 Feb, 07:52 PM Reply Like
  • tagmeto
    , contributor
    Comments (6) | Send Message
     
    I'm a new investor, retired just having fun
    25 Feb, 08:30 PM Reply Like
  • Trim Hits
    , contributor
    Comments (30) | Send Message
     
    Just another pathetic attempt to beat the stock price down and then pick up shares on the cheap from unsuspecting investors who haven't yet realized that GS is full of crap.

     

    Who in the world is taking GS seriously after the last 10 years of their own ethical behavior? I mean, how are they even getting a platform to release their garbage?

     

    It is probably the best bet (contrarian indicator) to go the opposite way, sort of like Jim Cramer's pump and dump efforts for his hedge fund buddies.
    25 Feb, 10:36 PM Reply Like
  • JIMSK
    , contributor
    Comments (137) | Send Message
     
    sounds like i should stay clear of crammer's advice on stocks
    jim
    26 Feb, 08:52 AM Reply Like
  • Trim Hits
    , contributor
    Comments (30) | Send Message
     
    Unethical behavior is what I meant to say...... Damn autocorrect!!
    25 Feb, 10:44 PM Reply Like
  • milo3131
    , contributor
    Comments (38) | Send Message
     
    Goldman Sachs & Co are ALL crooks! Do not listen to them and do not follow their recs! The company is great and doing the right thing:) They cut cost, the preserve the cash, and they distribute dividends:) I have been buying the stock heavily around $10, and was selling February 10 puts (already expired worthless) and April 10 puts since December (which made me 40%+ returns!!!) for few months, and I was laughing when Cramer (former Goldman Sachs employee, no wonder why they have the same views!) and thestreet.com had a vigorous "sell" on the stock during that time. Since the stock moved up to the $14 level with 40% appreciation, the street.com and Cramer have changed recommendation to a "hold"??? What a bunch of cheap manipulators, who do not follow simple rules of investing - "buy low" and "sell high"...It was fun to watch all those "experts" on CNBC bashing the price of gold in the end of the year (it was $1195) with recs that the metal would go much lower...Instead, experienced FOREX traders made tons of money by buying gold and seeing the price rising up to $1343 (today:))); and we are headed at least to $1353-$1360 in a meantime...Cheers to all and keep holding the stock:)
    26 Feb, 03:42 AM Reply Like
  • milo3131
    , contributor
    Comments (38) | Send Message
     
    As I projected correctly 2 weeks ago Gold reached $1353, next target shall be $1400; although the latest economic job report was 175,000 and exceed the expectations, the metal did NOT sell off greatly and rebounded pretty good in the end of the trading day to close around $1340; but we all know this latest economic report would be revised (down) and was probably greatly manipulated because Wall Street want to keep this market high, and going higher; despite the strong pressure by Goldman & Co., PAAS is holding well the $14 level (now support), my target now is $19; There is a good video stream you shall watch that discusses Goldman and their phony predictions on Gold: bottom line China is buying GOLD, while U.S. was selling...
    9 Mar, 04:16 AM Reply Like
  • Brian58
    , contributor
    Comments (95) | Send Message
     
    Ironic:
    http://bit.ly/1f0HfVl
    26 Feb, 12:07 PM Reply Like
  • NadgesNokindo
    , contributor
    Comments (45) | Send Message
     
    Brian58,

     

    That's what scares me the most. JP Morgan holds tons of physical inventory and can, therefore, control the price. They can effectively manipulate it down for the Fed. Gold, not so much...so there could be a massive decoupling as silver remains saturated on gold upticks.

     

    This is not a position for them to profit on...its for them to maintain a low silver price.
    26 Feb, 12:42 PM Reply Like
  • milo3131
    , contributor
    Comments (38) | Send Message
     
    I share SOME of the views of this guy - if this happens, Gold shall go to $3,000:
    http://bit.ly/1cHiajZ
    9 Mar, 05:41 PM Reply Like
  • milo3131
    , contributor
    Comments (38) | Send Message
     
    PAAS did rally great today, it went over $15; Gold touched $1375, we are getting close to my new target of $1400-$1420...If we pass through $1420 it would get really interesting, there is NO solid support until $1540 and this will be the next big target...PAAS April and May 13 puts represent good way of making some extra money$$$
    13 Mar, 07:33 PM Reply Like
  • milo3131
    , contributor
    Comments (38) | Send Message
     
    PAAS is holding really well right now the "Sell" rec of Goldman Sachs:) Actually the April 13 and May 13 Puts to sell would return great money to investors as I said on March 13...The stock went down to $12.80 and then bounced back greatly to be at $13.80 today, it means April 13 Puts shall expire worthless and all investors selling those puts would keep the premium and there is 77% chance right the May 13 Puts would expire worthless as well:) GO PAAS:)
    10 Apr, 10:21 AM Reply Like
  • milo3131
    , contributor
    Comments (38) | Send Message
     
    Gold just opened at $1387 and went up to $1392, nice run...as I said we are headed to $1400...if we break through $1420 Resistance safely, there is no real stop to $1540, very tempting scenario for Gold holders and Bulls:) Go PAAS:)
    16 Mar, 07:27 PM Reply Like
  • milo3131
    , contributor
    Comments (38) | Send Message
     
    Goldman's foolish predictions - first on December and January 2014:
    http://cnb.cx/1ilTP1W

     

    and early today 1 hour ago again trying to stop the Gold rally:
    http://onforb.es/1ilTMTY

     

    Those bastards are trying purposely to manipulate the Gold market and to send prices lower and help the dollar. They have no chance, now is the time to buy Gold after this correction, cheers.
    21 Mar, 10:30 AM Reply Like
  • milo3131
    , contributor
    Comments (38) | Send Message
     
    There is no real recovery here. All numbers are fake...Unless we change the entire financial system from debt based economy with 17 trillion USD in debt, and centralizing federal reserve on top of it to something better that would enable us to have real budget, pay off debts, and keep NO fiscal deficit, I do not see how this entire ship would survive...Goldman's "recovery" process is delusional and manipulative...We are just prolonging the end by printing billions of dollars per month and keep this sick financial system in place...This whole thing is going to burst BIG time one day...WE HAVE TO BE PREPARED BY HOLDING PHYSICAL GOLD in our hands:)
    21 Mar, 10:54 AM Reply Like
  • milo3131
    , contributor
    Comments (38) | Send Message
     
    Yes, yes, yes, Goldman Sachs for a 3rd time reiterated its call for gold to decline this year as they project U.S. economic growth to pick up, but the bank listed potential for supply disruptions in platinum, palladium and nickel. As they did on March 20, bank analysts listed a year-end gold forecast of $1,050 an ounce. On March 20, Gold went down from $1391 to $1276 based on the very same call made by Goldman; after that Gold started a very successful recovery up to $1331 when the $1,050 target call by Goldman was made again yesterday, which helped smashing the price of gold down by 45 points in 1 day to $1286 again. This is a clear manipulation of the Gold price, and Goldman must be heavily prosecuted for that - every time Gold is rallying, Goldman manipulates the price down! The core CPI, which excludes volatile food and energy costs rose +0.2% on Monday showing clearly inflationary signs and it does not support Goldman's views that we are in deep deflation, but the opposite - in times of inflation, Gold shall rise not to decline. The American economy is not going to boom in the 2nd half of the year as Goldman says because real consumer incomes have been falling, not rising. If there is no income growth then there is no credit growth either. There are no good paying jobs being offered in the United States - they are just not there. The job statistics are always the same - it’s always low-paying minimum wage stuff. These are also part time jobs, so this is not an income that supports consumer demand. The bottom line is people are really struggling in the U.S. to make a good living. So the U.S. economy is definitely not going to accelerate, Goldman Sachs is one of the bullion banks. Goldman and Co. are totally corrupt, and they are in league with the Fed to keep pressure off the U.S. dollar. The problem for the Fed and Goldman Sachs is that these dollar pressures could be on the verge of exploding. The Fed can print all the money it wants to buy bonds and keep interest rates low, but it cannot print money to buy dollars. And there is some limit as to how much it can prevail on its EU puppet states (in Europe) to supply money to buy dollars. At some point these puppet EU states will realize that the consequences for them may mean a very high domestic inflation. The West may not be in a position to prevent an explosion in the gold price if Russia and other countries drop out of the SWIFT system and refuse to use dollars. The Russian energy transactions are a trillion dollars or more (each year). Well, that’s equal to the amount of QE that was injected into the system annually. So the elimination of that demand for dollars in international transactions would offset a year of QE. So Goldman Sachs, the Fed, and the other bullion banks, are doing whatever they can to stave this off. But if there is a run on the dollar, the gold price will explode, particularly if there is not any gold to speak of in the West. Remember the 70s when Gold exploded from $35 to $850...
    15 Apr, 08:53 PM Reply Like
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