Coeur Mining Swells 340% in the Past Year: What's Driving the Stock?

Coeur Mining, Inc. CDE has gained 341.3% over the past year compared with the Zacks Mining-Non Ferrous industry’s 88.2% increase and the S&P 500’s modest 23.2% rise.

Among its peers, First Majestic Silver Corp. AG and Hecla Mining Company HL are up 365.4% and 295.9% in the past year, respectively.

Price Performance of CDE vs. Industry, S&P 500, AG and HL

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Technical indicators show that CDE has been trading above the 50-day and 200-day simple moving average (SMA). The 50-day SMA is reading higher than the 200-day SMA, indicating a bullish trend.

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Let’s look at the CDE’s fundamentals to analyze the stock better.

Operational Improvements Support Production Momentum for CDE

Coeur reported a stronger production performance in the fourth quarter of 2025, supported by improved throughput, with 112,429 ounces of gold and 4.7 million ounces of silver. The growth is underpinned by higher grades and the continued ramp-up of key operations across its portfolio. The performance reflected a 29% increase for gold and a 47% rise for silver from the prior-year quarter.

The company’s Rochester Mine remained the primary growth driver as the ongoing expansion project continued to ramp up, enabling record operational activity during the quarter with roughly 6.4 million tons crushed and 9.3 million tons placed on the leach pad. It contributed 17,722 ounces of gold and 1.75 million ounces of silver toward the CDE’s total production in the fourth quarter of 2025.

Kensington Mine's gold production reached 29,567 ounces, representing a nearly 10% increase from the prior-year quarter, due to higher average gold grades and increased mill throughput supported by steady underground mining.

Production at the Wharf Mine declined sequentially to 24,759 ounces of gold as ore placement on the leach pad was reduced following a fire incident at the tertiary crusher during scheduled maintenance, which temporarily constrained crushing capacity. However, it came in higher than the year-ago quarter’s output of 21,976 ounces,

Palmarejo Mine delivered a relatively stable year-over-year output of 25,662 ounces of gold and 1.6 million ounces of silver, supported by consistent underground mining activity and steady ore grades. The newly acquired Las Chispas Mine contributed significantly with 14,719 ounces of gold and 1.4 million ounces of silver for the quarter, riding on higher gold and silver grades.

Coeur’s fourth-quarter production performance reflects the benefits of its ongoing operational optimization and portfolio strengthening initiatives. Its broader production profile demonstrates increasing operational momentum as newly integrated assets continue to contribute to the company’s growth.

Coeur's Solid Cash Generation Enhances Financial Flexibility

The company generated $374.6 million in cash flow from operating activities during the fourth quarter, significantly higher than $64 million in the previous-year quarter. This was driven by strong operational performance, higher metal sales volumes and elevated realized prices for gold and silver. It also recorded a free cash flow of about $313 million in the fourth quarter.

Coeur ended fiscal 2025 with a significantly strengthened financial footing, holding $553.6 million in cash and equivalents, marking a 904% increase from the prior year.

Total debt was about $340.5 million, representing a 42% reduction from year-end 2024, as the company continued to reduce leverage, aided by its strong cash generation. The total debt to capital fell to 9.3% from 34.3% on a year-over-year basis.

The company also continued to execute its capital return strategy through share repurchases of roughly $2.3 million during the quarter, bringing total buybacks for 2025 to approximately $9.6 million.

Capital investment during the quarter totaled $61.4 million, bringing full-year capital expenditures to $221.2 million. Approximately 78% of the quarterly capital spending was sustaining capital while the remaining 22% was directed toward development activities across its operating assets.

Rising cash balance, declining debt levels and strong free cash flow generation highlight Coeur’s improving financial health and enhanced capacity to fund growth projects and pursue strategic acquisitions.

New Assets and Drilling Power Coeur’s Growth

Coeur continued to advance several strategic projects and corporate initiatives during the fourth quarter of 2025, reinforcing its long-term growth strategy and operational expansion across North America. One of the most significant developments was the continued ramp-up of the Rochester Mine expansion project, which has transformed the operation into one of the largest primary silver producers in the United States.

The expansion has enabled substantially higher ore placement and improved recoveries, positioning the mine for sustained production growth and stronger free-cash-flow generation going forward.

The acquisition of SilverCrest Metals added the high-grade Las Chispas Mine to the company’s portfolio and provided a meaningful new source of high-margin gold and silver production. The integration of Las Chispas is expected to strengthen Coeur’s overall production profile and significantly increase its exposure to high-grade underground mining assets.

Coeur is also progressing work at its Silvertip Project, where ongoing exploration and development activities are focused on evaluating the potential restart of the high-grade silver-lead-zinc deposit.

Coeur announced an agreement to acquire New Gold Inc., expected to close in the first half of 2026. This deal, if it comes through, will add the New Afton and Rainy River mines to its asset base and further diversify its production profile across gold, silver and copper.

CDE’s Rising Earnings Estimates Reflect Positive Sentiments

The Zacks Consensus Estimate for 2026 and 2027 for CDE has been revised higher over the past 60 days.

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The Zacks Consensus Estimate for CDE’s fiscal 2026 earnings is currently pegged at $1.95 per share, suggesting a year-over-year growth of 144%. The same for 2027 is pegged at $1.83 per share, indicating a year-over-year decline of 6%

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CDE is Trading Below Industry

CDE is currently trading at a forward 12-month price-to-earnings multiple of 11.76X, below the industry average of 23.45X and its five-year median.

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The forward 12-month price-to-earnings multiples for First Majestic and Hecla Mining are 3.29X and 11.23X, respectively.

CDE has a Value Score of C, while AG and HL have a score of F.

Final Thoughts: Hold Coeur Mining

Coeur continues to demonstrate improving operational momentum and stronger financial health, supported by higher production, robust cash generation and a significant reduction in debt levels. Growth initiatives such as the Rochester expansion and the integration of the Las Chispas mine are expected to enhance the company’s long-term production profile.

However, some operational challenges remain as production at the Wharf mine declined after a fire incident temporarily reduced crushing capacity, highlighting potential operational risks. CDE trades at a lower valuation than the industry average. Hence, investors who own the stock may choose to retain it while monitoring operational stability and the execution of its growth projects.

CDE carries a Zacks Rank of #3 (Hold).

You can see the complete list of today’s Zacks #1 (Strong Buy) Rank here.

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Coeur Mining, Inc. (CDE): Free Stock Analysis Report

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This article originally published on Zacks Investment Research (zacks.com).

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