J.P. Morgan Estimates Pan American Silver Still Underweight Pending Argentinean Law Change (PAAS)

According to J.P. Morgan, Pan American Silver PAAS remains underweight after Bolivian President Evo Morales's Labor Day (May 1) speech, although it brought positive news for PAAS. Prior to President Morales' speech, the administration had publically backed down from nationalization after pressure from the minors union. According to J.P. Morgan, “Since we estimate the Bolivian asset (San Vicente) represents about 9% of the value of Pan American's mining assets, the latest speech could be positive for the PAAS stock in trading on May 2. However, we retain our Underweight rating as we await the promised change to Argentinean mining law to allow monetization of PAAS's Navidad asset in that country.” Pan American Silver is currently trading at $34.93.