While headlines are focused on the latest surge in December gold futures (GCZ23) above $2,000 per ounce, the recent silver price rally has been worth watching, too. From its oversold lows early in the month, silver for December delivery (SIZ23) has added a quick 10%, and gained ground alongside gold in today's session on reports of expanded Israeli operations in the Gaza Strip.

With these recent moves in the metals market in mind, it's an interesting time to dig into the world of silver stocks. These two buy-rated names are not only positioned to provide exposure to higher silver prices, but they also deliver steady dividends to their shareholders.

WPM: A Streamer with a Solid Dividend Track Record

Wheaton Precious Metals (WPM) isn't your average miner. With agreements in place with 20 operational mines and 13 development projects, WPM is one of the largest precious metals streamers globally - which means they pay upfront fees to secure the rights to purchase future production in gold, silver, palladium, and cobalt at fixed prices. This approach keeps their costs predictable, their margins healthy, and their investments diversified across various commodities and geographies.

What makes WPM particularly interesting, especially for dividend-seeking investors eyeing silver stocks, is their recent strategic move. On October 24, 2023, WPM made a significant acquisition by securing a new silver stream from the Mineral Park Mine in sunny Arizona. Under this agreement, WPM now owns 100% of the silver production from the project for as long as the mine remains in operation. The acquisition will boost Wheaton's total estimated proven and probable mineral silver reserves by 14.6 Moz, measured and indicated mineral silver resources by 18.4 Moz, and inferred silver resources by 16.2 Moz - and sets the stage for WPM to enjoy substantial revenue visibility going forward.

WPM is up 12% year-to-date, outpacing the broader equities market. 

For investors interested in dividends, WPM has paid dividends every quarter since 2011, based on 30% of their average operating cash flow from the previous four quarters. Currently, this translates into an annual dividend rate of $0.60 per share, offering a yield of 1.40% - with room to grow further.

Looking ahead, analysts expect EPS growth to accelerate next year. While the average growth forecast for fiscal 2023 is nearly flat at 0.89%, Wall Street's average estimate for FY 2024 is 19.47% growth.

Out of 11 analysts covering the stock, the average rating is a “moderate buy.” Seven analysts have given it a “strong buy” rating, one suggests a “moderate buy,” and three maintain a “hold” rating.

The mean target price for WPM is $55.17, indicating a potential upside of about 29% from current levels. The Street-high projection is even more optimistic, reaching $66.

SVM: A Low-Cost Producer with a High Dividend Yield

Vancouver-based Silvercorp Metals (SVM) is a mining company with a focus on silver, gold, zinc, and lead, with operations concentrated in China. They're running four mines in the buzzing Ying Mining District, one of the top spots for silver in China. Plus, they own the industrially oriented GC Mine, a silver-lead-zinc operation in Guangdong Province. 

With concerns about China's economic growth front and center this year, SVM's share price has dropped 22.5% on a YTD basis. 

That said, with government support helping to prop up China's latest GDP numbers - and some long-term forecasts predicting a silver “super cycle” - this pullback in SVM could present a buying opportunity. 

When it comes to dividends, SVM doesn't mess around. Right now, they offer a yearly $0.03 per share, or a 1.12% yield, paid semi-annually - and backed by six years of consecutive growth. There's room for more upside, too, with a payout ratio of just 12%. 

The stock is reasonably valued, outpacing its industry peers at 12x forward earnings - and Silvercorp offers stronger earnings and cash flow growth projections than the sector median, as well.

All four analysts tracking SVM are in the bullish camp. Three are waving the "strong buy" flag, and one's going with "moderate buy." The mean target price is $5.25, which suggests 129% upside from current levels.