- Agnico Eagle Mines released its Q4 and FY2021 results last week, reporting annual production (pre-merger) of ~2.03 million ounces (~2.09 including Hope Bay) at all-in sustaining costs of $1,038/oz.
- This came in line with my estimates of ~2.10 million ounces (including Hope Bay), but costs did come in higher, which is no surprise due to inflationary pressures sector-wide.
- Unfortunately, the stock took a beating following the report due to underwhelming three-year guidance, with what appear to be very conservative estimates at a few operations.
- While this is disappointing, I continue to see meaningful growth over the next 4-7 years, and I believe this weaker outlook is more than priced into the stock, making this correction a gift for long-term investors.
For further details see:
Agnico Eagle Mines: Higher Prices Ahead