Top 5 Silver Stocks For 2017: Mid-Year Update


  • Silver has had an up-and-down kind of year, trading in a range from $15.50 to $18.50 an ounce.
  • The gold:silver ratio now trades at 77, which is the highest level since early 2015.
  • I discuss silver prices and highlight the performance my top silver picks given before the start of the year and give my thoughts on the rest of 2017.

This article was first available to subscribers of the Gold Bull Portfolio, a premium service offered by Gold Mining Bull.

Every year, I like to give my top silver stock picks for the upcoming year, in tandem with my top gold stock picks. My goal is to outperform not only the physical price of silver (NYSEARCA:SLV) but also silver miners as a whole, and I use the global X Funds silver miners index (NYSEARCA:SIL) as a benchmark; this ETF contains numerous silver stocks, but there are more than a few names I do not like in the SIL (such as Tahoe Resources (TAHO) and a non-silver stock, Alamos Gold (AGI)), so I've avoided buying it.

Silver stocks give investors big leverage to the price of silver, plain and simple. As a rough example, I've estimated in the past that every 10% gain in silver prices should net you approximately 30% or greater gains in silver miners; last year, a 20% rise in silver prices resulted in a gain of over 90% in the SIL. Of course, this works both ways, as a 10-20% drop in silver prices can also result in a 30% loss, or greater.

Related: Summary of the performance my top gold stock picks for 2017.

(Credit: Macrotrends. The price of silver trades below $16 an ounce as of writing)

Silver has had a rough year and has underperformed gold. As I pointed out in a recent article, while I’m still bullish on silver long term and think its gains could eventually exceed gold (for various reasons, including the low investment amount required vs. gold), I think gold is the better bet in the short to medium term. There is just too much uncertainty surrounding silver demand in the short term, and the metal is so volatile that I'm having a tough time recommending silver stocks

This article was written by

Gold Mining Bull profile picture
Access to my personal gold portfolio and build your own winning portfolio.

With over a decade of experience in the investment industry, I am a highly skilled private investor with a proven track record of success in the commodities and hard assets sector. My areas of expertise include investing in gold and silver miners, royalty and streaming companies, pure exploration companies, as well as oil and gas producers and MLPs. My comprehensive understanding of these markets and my ability to identify and capitalize on profitable opportunities have enabled me to consistently deliver strong returns for my subscribers.

Disclosure: I/we have no positions in any stocks mentioned, but may initiate a long position in GPL over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Recommended For You

Comments (20)

To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.
Is this happening to you frequently? Please report it on our feedback forum.
If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh.