First Majestic Silver (FR-T)

(Past Top Pick, April 3, 2017, Up 29%) Best leveraged stock to the price of silver. It's a low-cost producer with high reserves in the ground. Great management in Mexico. Silver will do better than gold. This should do extremely well.

This should be trading much higher. They just acquired Primero Mining and upgraded resources estimate with production rising. Costs remain steady. Has enjoyed a great run since 2015. Great entry point now. (Analysts' price target $11.16)

Silver producer in Mexico. It trades at a premium but he does not feel it is justified. There are better and cheaper silver names to own. They will have to invest quite a bit in an acquisition they just made. It will take about a year.

In the past, this has had very strong seasonality from approximately from the middle of December right through until the end of February. This year nothing happened. We are not getting the normal seasonality you would expect. (See Top Picks.)

As long as the economy remains as strong as it is, then these stocks will be okay. Unfortunately it does not have any fair market value left in it so you have to have more bullion pricing there. We have to wait for the Fed to stimulate the economy.

The information on the chart for 2016 is very disturbing. It had a sharp selloff after its big rally, with a very poor recovery. He would stay away.

He does not specifically follow this one but the first one he would look at would be SLW-T. He thinks of silver with the trend being dominated by gold and it would be a bit better in a good economic period. In the short term we are not looking good for a rate increase and it will look better in the wedding demand period in the spring.

His suspicion is that all the smaller silver stocks are ahead of themselves. Because of its liquidity, his inclination is to employ trailing stops if you own it. If you like the junior sector, you might be well advised at this point to be in a silver or small gold miner ETF, so that liquidity can be spread across the number of names.

This is silver, and almost exclusively focused on Mexico. You have to have a view on silver. His view is pretty agnostic between silver and gold. They both should be driven by these monetary fears that are driving precious metals at the moment. In silver, he sees more supply growth in the next few years, which means demand is going to have to really step up to take that supply in without the price going down. He sees better supply/demand fundamentals in gold. Also, silver producers are typically way more expensive than gold producers, typically trading at a 50% premium. In silver, this company would be at the very, very expensive end of the spectrum.