Agnico Eagle Mines (AEM) Stock Sinks As Market Gains: What You Should Know
Agnico Eagle Mines (AEM) closed the most recent trading day at $57.49, moving -1.49% from the previous trading session. This change lagged the S&P 500's daily gain of 0.33%. At the same time, the Dow added 0.3%, and the tech-heavy Nasdaq gained 1.92%.
Coming into today, shares of the gold mining company had gained 14.79% in the past month. In that same time, the Basic Materials sector gained 3.73%, while the S&P 500 gained 5.67%.
Investors will be hoping for strength from Agnico Eagle Mines as it approaches its next earnings release, which is expected to be April 27, 2023. The company is expected to report EPS of $0.39, down 36.07% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $1.3 billion, down 1.91% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.86 per share and revenue of $6.13 billion. These totals would mark changes of -19.13% and +6.7%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Agnico Eagle Mines. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 5.87% higher within the past month. Agnico Eagle Mines currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Agnico Eagle Mines has a Forward P/E ratio of 31.32 right now. For comparison, its industry has an average Forward P/E of 22.9, which means Agnico Eagle Mines is trading at a premium to the group.
Meanwhile, AEM's PEG ratio is currently 31.32. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Mining - Gold stocks are, on average, holding a PEG ratio of 4.18 based on yesterday's closing prices.
The Mining - Gold industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 107, which puts it in the top 43% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Agnico Eagle Mines Limited (AEM) : Free Stock Analysis Report
