That's very simple thinking. The PE's for these companies are high because the market is accounting for future production growth from committed silver streams. I agree that the stock prices do not reflect significantly higher Ag prices, which I also think will eventually occur (this is the reason why I'm bullish), but I certainly know that a 40 or a 104 PE will not be the case when operations normalize.
I like what you are saying, but averaging $30 for silver for next year may be a bit optimistic. $22 - $25 might be a better guess. Either way, it bodes well for this stock. I still think we will see $30 by the end of this year.
I would like them to do another big deal like the Goldcorp deal. Maybe we could get another 25% from Goldcorp. They probably don't need the money now.
SLW will not reach its full potential until 2013 or later. I hope they DO NOT pay a dividend. I would like a stock buy back before a dividend.