CA - If You Are Bullish On Gold Agnico Eagle Remains A Great Pick
2024-02-10 04:58:34 ET
Summary
- Agnico Eagle is a favorite among gold investors due to its improving valuation and strong mining properties.
- The company's lower-cost operations in Canada provide a "margin of safety" for investors, while today's above-average dividend is very attractive.
- The balance sheet and management team at Agnico Eagle are highly regarded, making it a terrific choice for exposure to rising gold prices.
Agnico Eagle Mines Ltd. (AEM) remains a favorite of gold bugs and gold hedgers, holding a unique combination of bullish logic. The valuation is fair, while its underlying mining properties and resources are some of the best in the industry. A significant "margin of safety" for investors is supported by lower-cost operations from locations mostly in Canada. In addition, the balance sheet and management team are quite strong. My view is if you want exposure to rising gold prices, you had better own this company directly, or through sector ETFs and mutual funds.
Agnico Eagle may run the smartest "map" of properties for investors. Canada, Australia, Mexico and Finland locations for gold in the ground may even represent a more effective setup than industry-leading production name Newmont (NEM), at least in terms of property safety considerations like ownership rights, taxes and regulations. I have taken the January 2024 Investor Presentation map slide to illustrate its constructive and diversified footprint of assets....
If You Are Bullish On Gold, Agnico Eagle Remains A Great Pick