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Agnico Eagle (AEM) Q4 Earnings Meet Estimates, Sales Lag
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Agnico Eagle Mines Limited (AEM - Free Report) reported net income of $205.2 million or 85 cents per share in fourth-quarter 2020, down from net income of $331.7 million or $1.39 per share reported in the year-ago quarter.
Barring one-time items, adjusted earnings per share came in at 67 cents, in-line with the Zacks Consensus Estimate.
The company generated revenues of $928.4 million, up 23.3% year over year. However, the figure lagged the Zacks Consensus Estimate of $944.1.
Agnico Eagle Mines Limited Price, Consensus and EPS Surprise
Payable gold production was up 1.4% year over year to 501,445 ounces in the reported quarter. The figure includes pre-commercial production from the IVR open pit at the Meadowbank Complex and the Tiriganiaq open pit at Meliadine. Total cash costs per ounce for gold were $701, down 6% year over year.
All-in sustaining costs (AISC) were $985 per ounce, down 5.2% year over year.
FY20 Results
Earnings (as reported) for full-year 2020 were $2.12 per share compared with earnings of $2.00 per share a year ago. Net sales rallied 25.8% year over year to $3,138.1 million.
Financial Position
Agnico Eagle ended 2020 with cash and cash equivalents of $402.5 million compared with $321.9 million as of Dec 31, 2019. Long-term debt was around $1,565.2 million as of Dec 31,2020, compared with $1,364.1 million as of Dec 31, 2019.
Total cash from operating activities amounted to $403.5 million in the fourth quarter, up 56.7% year over year.
Outlook
The company expects gold production for 2021 to be 2,047,500 ounces. It also expects total cash costs per ounce of $700-$750 and AISC of $950-$1,000 per ounce in 2021.
Capital expenditures are predicted to be roughly $803 million in 2021 and in the range of $750-$800 million through 2024.
Price Performance
Shares of Agnico Eagle have gained 20.1% in the past year compared with 19.8% rise of the industry.
Zacks Rank & Key Picks
Agnico Eagle currently carries a Zacks Rank #4 (Sell).
Some better-ranked stocks in the basic materials space are Fortescue Metals Group Limited (FSUGY - Free Report) , BHP Group (BHP - Free Report) and Impala Platinum Holdings Limited (IMPUY - Free Report) .
Fortescue has a projected earnings growth rate of 74.2% for the current fiscal. The company’s shares have surged around 150.1% in a year. It currently sports a Zacks Rank #1(Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
BHP has an expected earnings growth rate of 59.5% for the current fiscal. The company’s shares have gained around 34.1% in the past year. It currently flaunts a Zacks Rank #1.
Impala has an expected earnings growth rate of 189.4% for the current fiscal. The company’s shares have rallied around 50.1% in the past year. It currently sports a Zacks Rank #1.
Zacks Top 10 Stocks for 2021
In addition to the stocks discussed above, would you like to know about our 10 best buy-and-hold tickers for the entirety of 2021?
Last year's 2020 Zacks Top 10 Stocks portfolio returned gains as high as +386.8%. Now a brand-new portfolio has been handpicked from over 4,000 companies covered by the Zacks Rank. Don’t miss your chance to get in on these long-term buys.
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Agnico Eagle (AEM) Q4 Earnings Meet Estimates, Sales Lag
Agnico Eagle Mines Limited (AEM - Free Report) reported net income of $205.2 million or 85 cents per share in fourth-quarter 2020, down from net income of $331.7 million or $1.39 per share reported in the year-ago quarter.
Barring one-time items, adjusted earnings per share came in at 67 cents, in-line with the Zacks Consensus Estimate.
The company generated revenues of $928.4 million, up 23.3% year over year. However, the figure lagged the Zacks Consensus Estimate of $944.1.
Agnico Eagle Mines Limited Price, Consensus and EPS Surprise
Agnico Eagle Mines Limited price-consensus-eps-surprise-chart | Agnico Eagle Mines Limited Quote
Operational Highlights
Payable gold production was up 1.4% year over year to 501,445 ounces in the reported quarter. The figure includes pre-commercial production from the IVR open pit at the Meadowbank Complex and the Tiriganiaq open pit at Meliadine. Total cash costs per ounce for gold were $701, down 6% year over year.
All-in sustaining costs (AISC) were $985 per ounce, down 5.2% year over year.
FY20 Results
Earnings (as reported) for full-year 2020 were $2.12 per share compared with earnings of $2.00 per share a year ago. Net sales rallied 25.8% year over year to $3,138.1 million.
Financial Position
Agnico Eagle ended 2020 with cash and cash equivalents of $402.5 million compared with $321.9 million as of Dec 31, 2019. Long-term debt was around $1,565.2 million as of Dec 31,2020, compared with $1,364.1 million as of Dec 31, 2019.
Total cash from operating activities amounted to $403.5 million in the fourth quarter, up 56.7% year over year.
Outlook
The company expects gold production for 2021 to be 2,047,500 ounces. It also expects total cash costs per ounce of $700-$750 and AISC of $950-$1,000 per ounce in 2021.
Capital expenditures are predicted to be roughly $803 million in 2021 and in the range of $750-$800 million through 2024.
Price Performance
Shares of Agnico Eagle have gained 20.1% in the past year compared with 19.8% rise of the industry.
Zacks Rank & Key Picks
Agnico Eagle currently carries a Zacks Rank #4 (Sell).
Some better-ranked stocks in the basic materials space are Fortescue Metals Group Limited (FSUGY - Free Report) , BHP Group (BHP - Free Report) and Impala Platinum Holdings Limited (IMPUY - Free Report) .
Fortescue has a projected earnings growth rate of 74.2% for the current fiscal. The company’s shares have surged around 150.1% in a year. It currently sports a Zacks Rank #1(Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
BHP has an expected earnings growth rate of 59.5% for the current fiscal. The company’s shares have gained around 34.1% in the past year. It currently flaunts a Zacks Rank #1.
Impala has an expected earnings growth rate of 189.4% for the current fiscal. The company’s shares have rallied around 50.1% in the past year. It currently sports a Zacks Rank #1.
Zacks Top 10 Stocks for 2021
In addition to the stocks discussed above, would you like to know about our 10 best buy-and-hold tickers for the entirety of 2021?
Last year's 2020 Zacks Top 10 Stocks portfolio returned gains as high as +386.8%. Now a brand-new portfolio has been handpicked from over 4,000 companies covered by the Zacks Rank. Don’t miss your chance to get in on these long-term buys.
Access Zacks Top 10 Stocks for 2021 today >>