Agnico Eagle Mines Announces Investment in Rupert Resources

Agnico Eagle Mines Limited AEM stated that it has purchased 2,602,500 common shares of Rupert Resources Ltd. through a non-brokered private placement at a price of C$4.50 per common share for a total consideration of C$11,711,250.

Before the Private Placement, AEM owned 30,169,111 common shares or about 13.3% of the issued and outstanding common shares, on a non-diluted basis. Agnico Eagle owned 32,771,611 common shares at the close of the Private Placement, which accounted for roughly 14% of the issued and outstanding common shares on a non-diluted basis.

Agnico Eagle purchased the common shares for investment purposes. Depending on market conditions and other considerations, Agnico Eagle may buy additional Rupert common shares or other securities from time to time, or it may sell some or all of the Rupert common shares or other securities it possesses at such time.

Shares of Agnico Eagle have gained 75.4% in the past year compared with a 40.3% rise of the industry.

The company anticipates producing 3.3-3.5 million ounces of gold in 2025. AEM forecasts total cash costs per ounce to range from $915 to $965 and AISC per ounce to be between $1,250 and $1,300. Excluding capitalized exploration, the projected capital expenditures for 2025 are between $1.75 billion and $1.95 billion.

AEM’s Rank & Key Picks

AEM currently carries a Zacks Rank #3 (Hold).

Better-ranked stocks in the basic materials space include Carpenter Technology Corporation CRS, CSW Industrials Inc. CSWI and Axalta Coating Systems Ltd. AXTA

Carpenter Technology currently carries a Zacks Rank #2 (Buy). CRS beat the Zacks Consensus Estimate in each of the last four quarters, with the average earnings surprise being 15.7%. The company's shares have soared 156.6% in the past year. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

The Zacks Consensus Estimate for CSW Industrials’ current fiscal-year earnings is pegged at $8.50. CSWI, carrying a Zacks Rank #2, surpassed the Zacks Consensus Estimate in each of the trailing four quarters, with the average earnings surprise being 10.1%. The company's shares have rallied 29.4% in the past year.

Axalta Coating Systems, which currently carries a Zacks Rank #1, beat the consensus estimate in each of the trailing four quarters. In this time frame, it has delivered an earnings surprise of roughly 16.3%, on average. AXTA’s shares have gained 1% over the past year.
 

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