Opinions Stockchase Insights
Agnico-Eagle MinesAEM.TODON'T BUYFeb 17, 2023
Stock price when the opinion was issued
As of Jun 04, 2026. Market Open.
You might be interested:
Parabolic increase in January, things got extended. He reduced then. Gold bull markets advance in stages, with corrections lasting ~3-5 months. We're now 3-4 months into that. He's been rebuilding. Next leg should be a strong leg higher.
Long-term investors should just buy and hold.
David BurrowsA dividend pick. Dividend are one of the best, easiest ways to hedge against inflation. This is a dividend grower, increasing each year by nearly 202% annually over the past 5 years. The total return over 3 years is 230%.
Kevin Simpson
She doesn't like gold now. She bought this is in the $60-70s. Its mines are in low-risk areas, like Canada and the US. Gold used to be a safe haven, but this has recently reversed with gold now trading as a risk-on stock. The space got crowded and became speculative. Tread carefully. She is not adding her holding. AEM is the best gold stock,.
Rebecca TeltscherRevenues are 99% gold, 1% silver. Its 10 mines reduce single-mine concentration risk. Jurisdictions have negligible political risk. Management has well-deserved reputation of credibility.
Met production guidance in 9 of last 10 years. Beat street earnings estimates in 29 of last 30 quarters. Loves Finnish acquisition of last week. Great entry point. Yield is 0.92%.
Brian MaddenDoesn't like miners as an investment -- not a good enough business that delivers high enough ROIC. ABX and AEM are the top 2 gold companies in Canada. He'd lean more toward AEM.
Only reason to buy is if you have a firm belief that gold prices are going a lot higher, but it's impossible to know.
(Note the shortish timeframe.) When a stock gets to 10% of a portfolio, they peel it back. Still first- or second-largest holding in portfolios. Only knock on it today is valuation, but that's the quality speaking. Quality is how you make $$ in the long run.
Still a great place to be.
Lyle Stein
;fill-opacity:1;'/%3e%3cpath%20d='M31%2018.6001V30H8V18.6001L14.1334%2022.4334L19.4999%2014L24.8669%2022.4334L31%2018.6001Z'%20fill='%23EE5432'%20style='fill:%23EE5432;fill:color(display-p3%200.9340%200.3310%200.1956);fill-opacity:1;'/%3e%3c/svg%3e){kind=small}
Premium contentOur PAST TOP PICK with AEM has triggered its stop at $270. To remain disciplined, we recommend covering the position at this time. When combined with previous guidance, this will result in a net investment gain of 20%.
Premium contentOn the back of an abrupt pullback in gold prices, we again reiterate AEM as a TOP PICK. Cash reserves are growing while debt is aggressively retired. We recommend maintaining the stop at $270, looking to achieve $379 — upside potential of 18%. Yield 0.7%
(Analysts’ price target is $332.00)Premium content
EPS was 41c, matching estimates; revenue was $1.385B, 3% short of estimates.
EBITDA of $496M was 20% short.
Guidance was weak: AEM noted it expected production to be lower and costs to be higher for the next three years.
The stock dropped the most in two years.
Guidance is about 6% below prior forecasts due to 'permit issues, noise restrictions and revised mining operations'.
Cost guidance rose 15% from the company's prior expectations. 4Q gold production was 799,438 ounces, vs 812,537 estimated.
The Yamana deal is expected to close in March. We can deal with short term issues, but we do not like a three year outlook of lower production as well as higher costs.
The price drop is justified here.
Unlock Premium - Try 5i Free