The spot price of gold was trading at US$1,930 per ounce as of early afternoon trading on January 31. Meanwhile, silver was trading at $23 per ounce. Silver is trading at its highest level since the early part of 2022. Today, I want to zero-in on a silver stock and a gold stock that look undervalued in this positive precious metal environment.
MAG Silver (TSX:MAG) is a Vancouver-based company that is engaged in the exploration and development of precious metal mining properties. Shares of this silver stock have plunged 16% in 2023 at the time of this writing. The stock is still up 5.5% from the previous year.
This company unveiled its third quarter fiscal 2022 earnings on November 14. MAG Silver delivered net income of $8.22 million or $0.08 per share compared to a net loss of $2.28 million or $0.02 per share in the third quarter of fiscal 2021. Shares of this silver stock are trading in favourable value territory compared to its industry peers.
Wesdome Gold Mines (TSX:WDO) is a Toronto-based company that is engaged in the exploration, extraction, processing, and reclamation of gold in Canada. Its shares have plunged 43% in the year-over-year period. In Q3 2022, the company saw revenue fall 8% to $61.8 million.
Shares of this gold stock are trading in attractive value territory compared to its competitors. Now is a good time to buy-the-dip in this gold stock that can take advantage of better pricing in the quarters ahead.
