AGNICO EAGLE MINES LTD (AEM) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:AEM - CA0084741085 - Common Stock
194.33 USD
+3.19 (+1.67%)
193.25 USD
-1.08 (-0.56%)
Taking everything into account, AEM scores 7 out of 10 in our fundamental rating. AEM was compared to 157 industry peers in the Metals & Mining industry. Both the health and profitability get an excellent rating, making AEM a very profitable company, without any liquidiy or solvency issues. An interesting combination arises when we look at growth and value: AEM is growing strongly while it also seems undervalued. This makes AEM very considerable for value and growth and quality investing!
1. Profitability
1.1 Basic Checks
In the past year AEM was profitable.
In the past year AEM had a positive cash flow from operations.
AEM had positive earnings in each of the past 5 years.
In the past 5 years AEM always reported a positive cash flow from operatings.
1.2 Ratios
AEM has a Return On Assets of 10.55%. This is amongst the best in the industry. AEM outperforms 90.45% of its industry peers.
AEM's Return On Equity of 14.67% is amongst the best of the industry. AEM outperforms 87.26% of its industry peers.
AEM has a better Return On Invested Capital (12.78%) than 86.62% of its industry peers.
AEM had an Average Return On Invested Capital over the past 3 years of 5.95%. This is below the industry average of 10.34%.
The 3 year average ROIC (5.95%) for AEM is below the current ROIC(12.78%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.55% | ||
| ROE | 14.67% | ||
| ROIC | 12.78% |
ROA(3y)5.31%
ROA(5y)5.35%
ROE(3y)7.74%
ROE(5y)8.32%
ROIC(3y)5.95%
ROIC(5y)6.64%
1.3 Margins
AEM has a better Profit Margin (32.62%) than 94.90% of its industry peers.
In the last couple of years the Profit Margin of AEM has grown nicely.
AEM has a Operating Margin of 49.49%. This is amongst the best in the industry. AEM outperforms 94.90% of its industry peers.
AEM's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 70.29%, AEM belongs to the best of the industry, outperforming 95.54% of the companies in the same industry.
In the last couple of years the Gross Margin of AEM has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 49.49% | ||
| PM (TTM) | 32.62% | ||
| GM | 70.29% |
OM growth 3Y10.7%
OM growth 5Y15.25%
PM growth 3Y16.36%
PM growth 5Y3.82%
GM growth 3Y4.57%
GM growth 5Y4.67%
2. Health
2.1 Basic Checks
AEM has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for AEM has been increased compared to 1 year ago.
The number of shares outstanding for AEM has been increased compared to 5 years ago.
The debt/assets ratio for AEM has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 7.41 indicates that AEM is not in any danger for bankruptcy at the moment.
With a decent Altman-Z score value of 7.41, AEM is doing good in the industry, outperforming 74.52% of the companies in the same industry.
AEM has a debt to FCF ratio of 0.09. This is a very positive value and a sign of high solvency as it would only need 0.09 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.09, AEM belongs to the top of the industry, outperforming 95.54% of the companies in the same industry.
AEM has a Debt/Equity ratio of 0.01. This is a healthy value indicating a solid balance between debt and equity.
AEM's Debt to Equity ratio of 0.01 is fine compared to the rest of the industry. AEM outperforms 72.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.09 | ||
| Altman-Z | 7.41 |
ROIC/WACC1.39
WACC9.19%
2.3 Liquidity
AEM has a Current Ratio of 2.12. This indicates that AEM is financially healthy and has no problem in meeting its short term obligations.
AEM has a Current ratio of 2.12. This is comparable to the rest of the industry: AEM outperforms 43.31% of its industry peers.
A Quick Ratio of 1.31 indicates that AEM should not have too much problems paying its short term obligations.
AEM has a Quick ratio (1.31) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.12 | ||
| Quick Ratio | 1.31 |
3. Growth
3.1 Past
AEM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 94.63%, which is quite impressive.
The Earnings Per Share has been growing by 33.97% on average over the past years. This is a very strong growth
The Revenue has grown by 35.16% in the past year. This is a very strong growth!
Measured over the past years, AEM shows a very strong growth in Revenue. The Revenue has been growing by 27.13% on average per year.
EPS 1Y (TTM)94.63%
EPS 3Y20.13%
EPS 5Y33.97%
EPS Q2Q%89.47%
Revenue 1Y (TTM)35.16%
Revenue growth 3Y28.89%
Revenue growth 5Y27.13%
Sales Q2Q%41.93%
3.2 Future
AEM is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.45% yearly.
The Revenue is expected to grow by 3.75% on average over the next years.
EPS Next Y92.64%
EPS Next 2Y59.68%
EPS Next 3Y37.88%
EPS Next 5Y8.45%
Revenue Next Year40.43%
Revenue Next 2Y29.34%
Revenue Next 3Y17.94%
Revenue Next 5Y3.75%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 28.20, which means the current valuation is very expensive for AEM.
Based on the Price/Earnings ratio, AEM is valued a bit cheaper than the industry average as 73.25% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of AEM to the average of the S&P500 Index (27.25), we can say AEM is valued inline with the index average.
The Price/Forward Earnings ratio is 18.02, which indicates a rather expensive current valuation of AEM.
63.06% of the companies in the same industry are more expensive than AEM, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.98, AEM is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.2 | ||
| Fwd PE | 18.02 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AEM is valued a bit cheaper than 66.88% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, AEM is valued cheaper than 83.44% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.74 | ||
| EV/EBITDA | 13.71 |
4.3 Compensation for Growth
AEM's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of AEM may justify a higher PE ratio.
A more expensive valuation may be justified as AEM's earnings are expected to grow with 37.88% in the coming years.
PEG (NY)0.3
PEG (5Y)0.83
EPS Next 2Y59.68%
EPS Next 3Y37.88%
5. Dividend
5.1 Amount
AEM has a yearly dividend return of 0.87%, which is pretty low.
AEM's Dividend Yield is a higher than the industry average which is at 0.98.
Compared to an average S&P500 Dividend Yield of 1.92, AEM's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.87% |
5.2 History
The dividend of AEM is nicely growing with an annual growth rate of 24.77%!
AEM has paid a dividend for at least 10 years, which is a reliable track record.
AEM has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)24.77%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
AEM pays out 20.78% of its income as dividend. This is a sustainable payout ratio.
AEM's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP20.78%
EPS Next 2Y59.68%
EPS Next 3Y37.88%
194.33
+3.19 (+1.67%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners72.41%
Inst Owner Change0%
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap97.48B
Revenue(TTM)10.57B
Net Income(TTM)3.45B
Analysts83.75
Price Target205.27 (5.63%)
Short Float %1.09%
Short Ratio2.1
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.87% |
Yearly Dividend1.34
Dividend Growth(5Y)24.77%
DP20.78%
Div Incr Years0
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)15.73%
Min EPS beat(2)14.11%
Max EPS beat(2)17.35%
EPS beat(4)4
Avg EPS beat(4)12.43%
Min EPS beat(4)5.95%
Max EPS beat(4)17.35%
EPS beat(8)8
Avg EPS beat(8)14.07%
EPS beat(12)10
Avg EPS beat(12)11.3%
EPS beat(16)13
Avg EPS beat(16)14.1%
Revenue beat(2)2
Avg Revenue beat(2)8.01%
Min Revenue beat(2)6.53%
Max Revenue beat(2)9.49%
Revenue beat(4)3
Avg Revenue beat(4)4.11%
Min Revenue beat(4)-1.08%
Max Revenue beat(4)9.49%
Revenue beat(8)7
Avg Revenue beat(8)4.3%
Revenue beat(12)8
Avg Revenue beat(12)2.43%
Revenue beat(16)10
Avg Revenue beat(16)2.24%
PT rev (1m)0.78%
PT rev (3m)37.97%
EPS NQ rev (1m)0%
EPS NQ rev (3m)19.75%
EPS NY rev (1m)0.99%
EPS NY rev (3m)10.15%
Revenue NQ rev (1m)8.85%
Revenue NQ rev (3m)13.27%
Revenue NY rev (1m)1.38%
Revenue NY rev (3m)4.99%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.2 | ||
| Fwd PE | 18.02 | ||
| P/S | 9.22 | ||
| P/FCF | 26.74 | ||
| P/OCF | 16.7 | ||
| P/B | 4.15 | ||
| P/tB | 5.04 | ||
| EV/EBITDA | 13.71 |
EPS(TTM)6.89
EY3.55%
EPS(NY)10.79
Fwd EY5.55%
FCF(TTM)7.27
FCFY3.74%
OCF(TTM)11.64
OCFY5.99%
SpS21.07
BVpS46.86
TBVpS38.57
PEG (NY)0.3
PEG (5Y)0.83
Graham Number85.23
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.55% | ||
| ROE | 14.67% | ||
| ROCE | 17.1% | ||
| ROIC | 12.78% | ||
| ROICexc | 13.86% | ||
| ROICexgc | 16.25% | ||
| OM | 49.49% | ||
| PM (TTM) | 32.62% | ||
| GM | 70.29% | ||
| FCFM | 34.49% |
ROA(3y)5.31%
ROA(5y)5.35%
ROE(3y)7.74%
ROE(5y)8.32%
ROIC(3y)5.95%
ROIC(5y)6.64%
ROICexc(3y)6.12%
ROICexc(5y)6.83%
ROICexgc(3y)7.08%
ROICexgc(5y)7.56%
ROCE(3y)7.96%
ROCE(5y)8.88%
ROICexgc growth 3Y3.23%
ROICexgc growth 5Y15.99%
ROICexc growth 3Y-0.77%
ROICexc growth 5Y13.49%
OM growth 3Y10.7%
OM growth 5Y15.25%
PM growth 3Y16.36%
PM growth 5Y3.82%
GM growth 3Y4.57%
GM growth 5Y4.67%
F-Score9
Asset Turnover0.32
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.09 | ||
| Debt/EBITDA | 0.04 | ||
| Cap/Depr | 136.02% | ||
| Cap/Sales | 20.75% | ||
| Interest Coverage | 71.52 | ||
| Cash Conversion | 85.32% | ||
| Profit Quality | 105.72% | ||
| Current Ratio | 2.12 | ||
| Quick Ratio | 1.31 | ||
| Altman-Z | 7.41 |
F-Score9
WACC9.19%
ROIC/WACC1.39
Cap/Depr(3y)124.43%
Cap/Depr(5y)123.02%
Cap/Sales(3y)24.69%
Cap/Sales(5y)24.29%
Profit Quality(3y)81.25%
Profit Quality(5y)81.62%
High Growth Momentum
Growth
EPS 1Y (TTM)94.63%
EPS 3Y20.13%
EPS 5Y33.97%
EPS Q2Q%89.47%
EPS Next Y92.64%
EPS Next 2Y59.68%
EPS Next 3Y37.88%
EPS Next 5Y8.45%
Revenue 1Y (TTM)35.16%
Revenue growth 3Y28.89%
Revenue growth 5Y27.13%
Sales Q2Q%41.93%
Revenue Next Year40.43%
Revenue Next 2Y29.34%
Revenue Next 3Y17.94%
Revenue Next 5Y3.75%
EBIT growth 1Y94.51%
EBIT growth 3Y42.69%
EBIT growth 5Y46.52%
EBIT Next Year157.69%
EBIT Next 3Y46.15%
EBIT Next 5Y15.05%
FCF growth 1Y493.61%
FCF growth 3Y68.02%
FCF growth 5YN/A
OCF growth 1Y158.96%
OCF growth 3Y43.33%
OCF growth 5Y35.05%
AGNICO EAGLE MINES LTD / AEM FAQ
What is the fundamental rating for AEM stock?
ChartMill assigns a fundamental rating of 7 / 10 to AEM.
Can you provide the valuation status for AGNICO EAGLE MINES LTD?
ChartMill assigns a valuation rating of 7 / 10 to AGNICO EAGLE MINES LTD (AEM). This can be considered as Undervalued.
Can you provide the profitability details for AGNICO EAGLE MINES LTD?
AGNICO EAGLE MINES LTD (AEM) has a profitability rating of 9 / 10.
What are the PE and PB ratios of AGNICO EAGLE MINES LTD (AEM) stock?
The Price/Earnings (PE) ratio for AGNICO EAGLE MINES LTD (AEM) is 28.2 and the Price/Book (PB) ratio is 4.15.
Is the dividend of AGNICO EAGLE MINES LTD sustainable?
The dividend rating of AGNICO EAGLE MINES LTD (AEM) is 5 / 10 and the dividend payout ratio is 20.78%.