Agnico Eagle Mines (AEM) ended the recent trading session at $183.21, demonstrating a +1.03% change from the preceding day's closing price. The stock outpaced the S&P 500's daily loss of 0.03%. Elsewhere, the Dow saw a downswing of 0.04%, while the tech-heavy Nasdaq depreciated by 0.09%.
Shares of the gold mining company have appreciated by 4.81% over the course of the past month, underperforming the Basic Materials sector's gain of 9.22%, and outperforming the S&P 500's gain of 2.57%.
The investment community will be closely monitoring the performance of Agnico Eagle Mines in its forthcoming earnings report. The company is forecasted to report an EPS of $2.01, showcasing a 59.52% upward movement from the corresponding quarter of the prior year. Meanwhile, the latest consensus estimate predicts the revenue to be $3 billion, indicating a 35.01% increase compared to the same quarter of the previous year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $7.78 per share and a revenue of $11.49 billion, signifying shifts of +83.92% and +38.64%, respectively, from the last year.
Investors should also note any recent changes to analyst estimates for Agnico Eagle Mines. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.07% higher. As of now, Agnico Eagle Mines holds a Zacks Rank of #1 (Strong Buy).
Digging into valuation, Agnico Eagle Mines currently has a Forward P/E ratio of 23.31. This represents a premium compared to its industry average Forward P/E of 17.73.
Also, we should mention that AEM has a PEG ratio of 0.66. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Mining - Gold industry had an average PEG ratio of 0.56 as trading concluded yesterday.
The Mining - Gold industry is part of the Basic Materials sector. This industry, currently bearing a Zacks Industry Rank of 47, finds itself in the top 20% echelons of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Agnico Eagle Mines Limited (AEM): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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