AEM:CC - Agnico Eagle Mines: A Rare Setup For Sustained Outperformance In 2024
2024-03-13 10:19:15 ET
Summary
- Agnico Eagle Mines Limited has been outperforming the market, in spite of investor appetite for riskier assets.
- AEM stock still trades at very low multiples, while actual business performance has improved materially over the past year.
- With gold prices at new all-time highs, 2024 is gearing up to be a pivotal year for Agnico's free cash flow.
In recent years, we have witnessed a massive rally in growth stocks against lower-risk value ones, the collapse of the term premium and a very strong preference for risker assets - both when it comes to different asset classes and within equities.
In such an environment, gold mining stocks, such as Agnico Eagle Mines Limited ( AEM ), are bound to underperform the market as everyone seeks the next hot thing and the most exciting growth story as opposed to seeking refuge in so called "safe havens."...
Agnico Eagle Mines: A Rare Setup For Sustained Outperformance In 2024