Agnico Eagle Mines (AEM) is a Top-Ranked Value Stock: Should You Buy?
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For new and old investors, taking full advantage of the stock market and investing with confidence are common goals.
Achieving those goals is made easier with the Zacks Style Scores, a unique set of guidelines that rates stocks based on popular investing methodologies, namely value, growth, and momentum. The Style Scores can help you narrow down which stocks are better for your portfolio and which ones can beat the market over the long-term.
Why Investors Should Pay Attention to This Value Stock
Value investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, and Price/Cash Flow, the Value Style Score identifies the most attractive and most discounted stocks.
Agnico Eagle Mines (AEM)
Toronto, Canada-based Agnico Eagle Mines Limited is a gold producer with mining operations in Canada, Mexico and Finland, and exploration activities in Canada, Europe, Latin America and the United States. It successfully completed its merger with Kirkland Lake Gold in February 2022.
AEM is a Zacks Rank #1 (Strong Buy) stock, with a Value Style Score of B and VGM Score of B. Shares are currently trading at a forward P/E of 21.1X for the current fiscal year compared to the Mining - Gold industry's P/E of 14.5X. Additionally, AEM has a PEG Ratio of 0.7 and a Price/Cash Flow ratio of 16.4X. Value investors should also note AEM's Price/Sales ratio of 5.5X.
Value investors don't just pay attention to a company's valuation ratios; positive earnings play a crucial role, too. Seven analysts revised their earnings estimate upwards in the last 60 days for fiscal 2024. The Zacks Consensus Estimate has increased $0.40 to $4.05 per share. AEM has an average earnings surprise of 19.2%.
AEM should be on investors' short lists because of its impressive earnings and valuation fundamentals, a good Zacks Rank, and strong Value and VGM Style Scores.
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Agnico Eagle Mines Limited (AEM) : Free Stock Analysis Report