Agnico-Eagle is about to report earnings. Here is the Bull Case Scenario
Agnico-Eagle has achieved a very high growth rate in the past half-decade or so. Starting at roughly 230,000 ounces in 2007 to just under 1.1 million ounces in 2013.
Producing assets are in the relatively stable and mining-friendly countries of Canada, Finland, and Mexico. Next to no geo-political risk baked in.
Gold companies tend to be countercyclical. They also provide an excellent hedge to inflation risk. Now if we can only figure out if we are in cycle and where is inflation really heading.
George Gutowski writes from a caveat emptor perspective.