NYSE:AEM

Stock Analysis Report

Executive Summary

Agnico Eagle Mines Limited engages in the exploration, development, and production of mineral properties in Canada, Mexico, and Finland.

Rewards

Earnings are forecast to grow 20.57% per year

Risk Analysis

No risks detected for AEM from our risk checks.


Snowflake Analysis

Reasonable growth potential with imperfect balance sheet.


Similar Companies

Share Price & News

How has Agnico Eagle Mines's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: AEM has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

1.4%

AEM

3.0%

US Metals and Mining

0.8%

US Market


1 Year Return

57.6%

AEM

18.0%

US Metals and Mining

22.0%

US Market

Return vs Industry: AEM exceeded the US Metals and Mining industry which returned 18% over the past year.

Return vs Market: AEM exceeded the US Market which returned 22% over the past year.


Shareholder returns

AEMIndustryMarket
7 Day1.4%3.0%0.8%
30 Day4.3%6.7%1.7%
90 Day9.5%9.0%5.2%
1 Year59.3%57.6%21.6%18.0%24.7%22.0%
3 Year68.9%63.7%11.6%5.7%46.9%37.3%
5 Year158.2%145.3%28.5%18.4%65.5%47.3%

Price Volatility Vs. Market

How volatile is Agnico Eagle Mines's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Agnico Eagle Mines undervalued compared to its fair value and its price relative to the market?

3.06x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: AEM ($61.14) is trading above our estimate of fair value ($41.23)

Significantly Below Fair Value: AEM is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: AEM is unprofitable, so we can't compare its PE Ratio to the Metals and Mining industry average.

PE vs Market: AEM is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate AEM's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: AEM is overvalued based on its PB Ratio (3.1x) compared to the US Metals and Mining industry average (1.6x).


Next Steps

Future Growth

How is Agnico Eagle Mines forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

20.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AEM is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.7%).

Earnings vs Market: AEM is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: AEM's is expected to become profitable in the next 3 years.

Revenue vs Market: AEM's revenue (8% per year) is forecast to grow faster than the US market (7.4% per year).

High Growth Revenue: AEM's revenue (8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AEM's Return on Equity is forecast to be low in 3 years time (7.8%).


Next Steps

Past Performance

How has Agnico Eagle Mines performed over the past 5 years?

-4.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AEM is currently unprofitable.

Growing Profit Margin: AEM is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: AEM is unprofitable, and losses have increased over the past 5 years at a rate of -4% per year.

Accelerating Growth: Unable to compare AEM's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: AEM is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (-9%).


Return on Equity

High ROE: AEM has a negative Return on Equity (-5.27%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Agnico Eagle Mines's financial position?


Financial Position Analysis

Short Term Liabilities: AEM's short term assets ($1.1B) exceed its short term liabilities ($799.5M).

Long Term Liabilities: AEM's short term assets ($1.1B) do not cover its long term liabilities ($2.7B).


Debt to Equity History and Analysis

Debt Level: AEM's debt to equity ratio (36%) is considered satisfactory.

Reducing Debt: AEM's debt to equity ratio has increased from 34.2% to 36% over the past 5 years.


Balance Sheet

Inventory Level: AEM has a high level of physical assets or inventory.

Debt Coverage by Assets: AEM's debt is not covered by short term assets (assets are 0.7x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Insufficient data to determine if AEM has enough cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if AEM has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is Agnico Eagle Mines's current dividend yield, its reliability and sustainability?

1.14%

Current Dividend Yield


Dividend Yield vs Market

company1.1%marketbottom25%1.4%markettop25%3.7%industryaverage2.3%forecastin3Years1.0%

Current dividend yield vs market & industry

Notable Dividend: AEM's dividend (1.14%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.43%).

High Dividend: AEM's dividend (1.14%) is low compared to the top 25% of dividend payers in the US market (3.71%).


Stability and Growth of Payments

Stable Dividend: AEM's dividend payments have been volatile in the past 10 years.

Growing Dividend: AEM's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: AEM is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: AEM's dividends in 3 years are forecast to be well covered by earnings (35.8% payout ratio).


Next Steps

Management

What is the CEO of Agnico Eagle Mines's salary, the management and board of directors tenure and is there insider trading?

7.5yrs

Average management tenure


CEO

Sean Boyd (60yo)

21.9yrs

Tenure

US$9,510,276

Compensation

Mr. Sean Boyd, CPA, C.A. has been the Chief Executive Officer of Agnico Eagle Mines Limited since 1998 and served as its President from February 2012 to April 6, 2015. Mr. Boyd has been with Agnico-Eagle s ...


CEO Compensation Analysis

Compensation vs Market: Sean's total compensation ($USD9.51M) is about average for companies of similar size in the US market ($USD10.94M).

Compensation vs Earnings: Sean's compensation has been consistent with company performance over the past year.


Management Age and Tenure

7.5yrs

Average Tenure

60yo

Average Age

Experienced Management: AEM's management team is seasoned and experienced (7.5 years average tenure).


Board Age and Tenure

8.9yrs

Average Tenure

65.5yo

Average Age

Experienced Board: AEM's board of directors are considered experienced (8.9 years average tenure).


Insider Trading

Insider Buying: AEM insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$62,01304 Dec 19
John Roberts
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,000
Max PriceUS$62.01
SellUS$100,65929 Oct 19
Donald Allan
EntityIndividual
Role
Head of Corporate Development
Senior Vice-President of Corporate Development
Shares1,731
Max PriceUS$58.15
SellUS$49,32028 Aug 19
Alain Blackburn
EntityIndividual
Role
Senior Key Executive
Senior Vice-President & Strategic Adviser of Exploration
Shares773
Max PriceUS$63.80
SellUS$126,64327 Aug 19
Donald Allan
EntityIndividual
Role
Head of Corporate Development
Senior Vice-President of Corporate Development
Shares2,000
Max PriceUS$63.32
SellUS$364,20623 Aug 19
Jean Robitaille
EntityIndividual
Role
Senior Key Executive
Senior Vice-President of Business Strategy & Technical Services
Shares6,000
Max PriceUS$61.27
SellUS$59,50015 Aug 19
Leanne Baker
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,000
Max PriceUS$59.50
SellUS$59,81212 Aug 19
Sean Riley
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,000
Max PriceUS$59.81
SellUS$258,26911 Aug 19
Donald Allan
EntityIndividual
Role
Head of Corporate Development
Senior Vice-President of Corporate Development
Shares4,384
Max PriceUS$58.93
SellUS$293,72508 Aug 19
Jean Robitaille
EntityIndividual
Role
Senior Key Executive
Senior Vice-President of Business Strategy & Technical Services
Shares5,000
Max PriceUS$58.74
SellUS$40,50606 Aug 19
Yvon Sylvestre
EntityIndividual
Role
Chief Operating Officer
Senior Vice-President of Operations - Canada & Europe
Shares729
Max PriceUS$55.56
SellUS$226,82406 Aug 19
Alain Blackburn
EntityIndividual
Role
Senior Key Executive
Senior Vice-President & Strategic Adviser of Exploration
Shares4,000
Max PriceUS$56.74
SellUS$545,10831 Jul 19
David Smith
EntityIndividual
Role
Chief Financial Officer
Senior VP of Finance & CFO
Shares10,000
Max PriceUS$54.51
SellUS$1,129,44931 Jul 19
Donald Allan
EntityIndividual
Role
Head of Corporate Development
Senior Vice-President of Corporate Development
Shares21,000
Max PriceUS$53.79
SellUS$102,20524 Jun 19
Alain Blackburn
EntityIndividual
Role
Senior Key Executive
Senior Vice-President & Strategic Adviser of Exploration
Shares2,000
Max PriceUS$51.10
SellUS$99,13424 Jun 19
John Roberts
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares2,000
Max PriceUS$49.57
SellUS$109,09824 Jun 19
Donald Allan
EntityIndividual
Role
Head of Corporate Development
Senior Vice-President of Corporate Development
Shares2,184
Max PriceUS$49.95
SellUS$704,01724 Jun 19
James Nasso
EntityIndividual
Role
Chairman of the Board
Independent Chairman of the Board
Shares14,095
Max PriceUS$49.95
SellUS$806,14021 Jun 19
Jean Robitaille
EntityIndividual
Role
Senior Key Executive
Senior Vice-President of Business Strategy & Technical Services
Shares16,865
Max PriceUS$47.82
SellUS$477,92918 Jun 19
Robert Laing
EntityIndividual
Role
Chief Legal Officer
General Counsel
Shares10,000
Max PriceUS$47.79
SellUS$140,25013 Jun 19
Jean Robitaille
EntityIndividual
Role
Senior Key Executive
Senior Vice-President of Business Strategy & Technical Services
Shares3,000
Max PriceUS$46.75
SellUS$126,01306 Jun 19
Alain Blackburn
EntityIndividual
Role
Senior Key Executive
Senior Vice-President & Strategic Adviser of Exploration
Shares2,733
Max PriceUS$46.11
SellUS$44,98604 Jun 19
Donald Allan
EntityIndividual
Role
Head of Corporate Development
Senior Vice-President of Corporate Development
Shares1,000
Max PriceUS$44.99
SellUS$223,95204 Jun 19
Alain Blackburn
EntityIndividual
Role
Senior Key Executive
Senior Vice-President & Strategic Adviser of Exploration
Shares5,000
Max PriceUS$44.79
SellUS$219,91521 Mar 19
Donald Allan
EntityIndividual
Role
Head of Corporate Development
Senior Vice-President of Corporate Development
Shares5,000
Max PriceUS$43.98
SellUS$88,57821 Mar 19
Alain Blackburn
EntityIndividual
Role
Senior Key Executive
Senior Vice-President & Strategic Adviser of Exploration
Shares2,000
Max PriceUS$44.29
SellUS$88,66013 Mar 19
Alain Blackburn
EntityIndividual
Role
Senior Key Executive
Senior Vice-President & Strategic Adviser of Exploration
Shares2,000
Max PriceUS$44.33
SellUS$208,25712 Mar 19
Yvon Sylvestre
EntityIndividual
Role
Chief Operating Officer
Senior Vice-President of Operations - Canada & Europe
Shares4,800
Max PriceUS$43.39
SellUS$170,30508 Mar 19
Yvon Sylvestre
EntityIndividual
Role
Chief Operating Officer
Senior Vice-President of Operations - Canada & Europe
Shares4,000
Max PriceUS$42.58
SellUS$171,00306 Mar 19
Yvon Sylvestre
EntityIndividual
Role
Chief Operating Officer
Senior Vice-President of Operations - Canada & Europe
Shares4,000
Max PriceUS$42.75
SellUS$78,36525 Feb 19
Robert Gemmell
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,792
Max PriceUS$43.73
SellUS$219,96425 Feb 19
Donald Allan
EntityIndividual
Role
Head of Corporate Development
Senior Vice-President of Corporate Development
Shares5,000
Max PriceUS$43.99
SellUS$42,49722 Feb 19
Yvon Sylvestre
EntityIndividual
Role
Chief Operating Officer
Senior Vice-President of Operations - Canada & Europe
Shares967
Max PriceUS$43.95
SellUS$8015 Jan 19
Marc Legault
EntityIndividual
Shares2
Max PriceUS$39.97
SellUS$201,72009 Jan 19
Donald Allan
EntityIndividual
Role
Head of Corporate Development
Senior Vice-President of Corporate Development
Shares5,000
Max PriceUS$40.34
SellUS$16,58104 Jan 19
John Roberts
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares414
Max PriceUS$40.05
SellUS$39,07217 Dec 18
John Roberts
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,000
Max PriceUS$39.07

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Sean Boyd (60yo)

    Vice-Chairman & CEO

    • Tenure: 21.9yrs
    • Compensation: US$9.51m
  • Ammar Al-Joundi (55yo)

    President

    • Tenure: 4.7yrs
    • Compensation: US$4.68m
  • Alain Blackburn (62yo)

    Senior Vice-President & Strategic Adviser of Exploration

    • Tenure: 0.3yrs
    • Compensation: US$2.70m
  • Don Allan (63yo)

    Senior Vice-President of Corporate Development

    • Tenure: 17.9yrs
    • Compensation: US$2.40m
  • Greg Laing (60yo)

    General Counsel

    • Tenure: 13yrs
    • Compensation: US$2.13m
  • David Smith (55yo)

    Senior VP of Finance & CFO

    • Tenure: 7.2yrs
    • Compensation: US$3.03m
  • Jean Robitaille (56yo)

    Senior Vice-President of Business Strategy & Technical Services

    • Tenure: 5.8yrs
    • Compensation: US$2.28m
  • Louise Grondin (65yo)

    Senior Vice-President of Environment

    • Tenure: 4.8yrs
  • Brian Christie

    Vice President of Investor Relations

    • Tenure: 7.9yrs
  • Yvon Sylvestre (57yo)

    Senior Vice-President of Operations - Canada & Europe

    • Tenure: 7.8yrs
    • Compensation: US$2.88m

Board Members

  • Sean Boyd (60yo)

    Vice-Chairman & CEO

    • Tenure: 21.9yrs
    • Compensation: US$9.51m
  • Jamie Sokalsky (62yo)

    Independent Director

    • Tenure: 4.5yrs
    • Compensation: US$280.36k
  • James Nasso (85yo)

    Independent Chairman of the Board

    • Tenure: 0yrs
    • Compensation: US$585.93k
  • Mel Leiderman (67yo)

    Independent Director

    • Tenure: 16.9yrs
    • Compensation: US$281.36k
  • Leanne Baker (67yo)

    Independent Director

    • Tenure: 16.9yrs
    • Compensation: US$306.91k
  • Sean Riley (65yo)

    Independent Director

    • Tenure: 8.9yrs
    • Compensation: US$280.36k
  • Robert Gemmell (62yo)

    Independent Director

    • Tenure: 8.9yrs
    • Compensation: US$305.57k
  • Merv Roberts (69yo)

    Independent Director

    • Tenure: 11.5yrs
    • Compensation: US$287.03k
  • Martine Celej (53yo)

    Independent Director

    • Tenure: 8.8yrs
    • Compensation: US$280.36k
  • Deborah McCombe (66yo)

    Independent Director

    • Tenure: 5.8yrs
    • Compensation: US$295.48k

Company Information

Agnico Eagle Mines Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Agnico Eagle Mines Limited
  • Ticker: AEM
  • Exchange: NYSE
  • Founded: 1953
  • Industry: Gold
  • Sector: Materials
  • Market Cap: US$14.618b
  • Shares outstanding: 239.10m
  • Website: https://www.agnicoeagle.com

Number of Employees


Location

  • Agnico Eagle Mines Limited
  • 145 King Street East
  • Suite 400
  • Toronto
  • Ontario
  • M5C 2Y7
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AEMNYSE (New York Stock Exchange)YesCommon SharesUSUSDDec 1972
AEMTSX (The Toronto Stock Exchange)YesCommon SharesCACADDec 1972
AE9DB (Deutsche Boerse AG)YesCommon SharesDEEURDec 1972
AEMSWX (SIX Swiss Exchange)YesCommon SharesCHCHFDec 1972
0R2JLSE (London Stock Exchange)YesCommon SharesGBCADDec 1972

Biography

Agnico Eagle Mines Limited engages in the exploration, development, and production of mineral properties in Canada, Mexico, and Finland. The company operates through Northern Business and Southern Business ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/15 23:30
End of Day Share Price2019/12/13 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.