Agnico's low costs and solid balance sheet are two reasons why it has been able to offer 26 years of consecutive dividends. The company quadrupled its annual dividend to 12 cents a share in December.
Agnico doesn't hedge against changes in the value of gold. So, like Goldcorp's, its stock will be tightly geared to the continued increase in gold prices that Ruff expects. The company also produces silver, copper and zinc -- so it should benefit if a weakening dollar continues to make commodity prices go up in 2007.
Investing 2007: Crazy Happens, Part 2 12/22/2006 7:12 AM EST The era of small-cap outperformance may be coming to an end.
At the time of publication, Brush held no positions in the stocks mentioned, although positions may change at any time. Brush is an award-winning New York-based financial writer. In addition to writing for RealMoney, he has a weekly market column on MSN Money called Company Focus, and a column called Insiders Corner at InvestorIdeas.com. Brush has covered business and investing for The New York Times, Money magazine and the Economist Group. He studied at Columbia Business School in the Knight-Bagehot Fellowship program and the Johns Hopkins School of Advanced International Studies. He is the author of Lessons From the Front Line, a book that offers insights on investing and the markets based on the experiences of professional money managers.
Under no circumstances does the information in this column represent a recommendation to buy or sell stocks. Brush appreciates your feedback; click here to send him an email.
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