Agnico-Eagle Mines (AEM.TO)

Likes it. Many of its mines are here in Canada. Cautiously optimistic that current political environment is better for developing the resource industry. With pressure on currencies, sees pricing for all commodities in USD continue fairly strong.

A bit disappointed on its relative performance within the sector, but "90% of success is just showing up", and his portfolios have benefited by just being in the gold sector.

Is up 130% this year. Is a momentum play off of gold. When oil is cheap and labour not overly expensive, their profits margins and free cash flow rise ($3.5 billion now vs. $500 million three years ago). The gold trade will continue into early 2026.

Is a growth name. He's owned this for a long time. A super run-up this year. You get safe jurisdictions to mine, low costs, disciplined manages, make smart acquisitions, they buy some juniors, not big, splashy ones. 

It's had a great run, but too many people are now in gold, and the gold price will pull back. AEM is one of the better names. Wouldn't own much gold in 2026 and even reduce your gold position now.

At that time, the gold price was breaking out and the gold stocks had top relative strength numbers. He still owns this and other gold stocks. It's pulled back but now stabilized.

Owns this in his firm's Canadian portfolio, with about a 4.5% position, which is about 40% of the weighting of gold in the TSX. His firm doesn't feel comfortable owning a full weighting in a commodity like gold. It's certainly kept up over the last 1-2 years but, over the very long term, it underperforms the market.

Took off with gold. Gold producers are overbought. Still in the trade, but he has peeled a bit off. Things do not go up forever and investors need to remember that. A pullback is healthy for a stock, and he expects this one to do that.

A more conservative name among the precious metals. When a bull market starts, it can go on for a decade in multiple stages. With gold, we're probably in the first one. Mining is a really hard business, so you want to own the leader. 

For years and years, management has done a great job doing what they say they're going to do. Multiple properties in geographically safe jurisdictions. Long-reserve-life assets. 

Balance sheet in great shape. Expect share buybacks. Great cashflow, nice growing dividend. Yield is 0.87%.

Gold can certainly correct but it is difficult to forecast and the reasons will vary. Gold has had five annual losses since 2005, including -51% in 2011 and -46% in 2013. The US dollar and interest rates are the biggest drivers (good and bad). Companies with good cost control such as AEM have very good leverage to price moves. At $5000 gold, we would be fairly sure AEM would trade above $300.  It is 23x earnings today. We would be fine buying in the $235 range. 
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Good company, but hard to buy right now. The only gold producer she owns. Yield is less than 1%, which no longer gives you much of a buffer; you're really banking on the stock price maintaining these levels. Stock more than doubled last year, up 72% this year. 90% of assets in really good jurisdictions.

Needs to see some steam come off the valuation before putting new $$ in.

(Note the short timeframe.)  Whether he looks at RSI rankings for the Canadian or global universe of stocks, gold is winning. This name is still doing well, still ranks highly, and he's still holding. The trend is your friend till it ends ;)

Still has growth, despite its big move recently and an extended valuation.