NEW YORK (TheStreet) -- Agnico Eagle Mines (AEM) - Get Report shares are down 8.4% to $25.72 on Thursday after the Canada-based international gold miner missed analysts' third quarter earnings expectations.
The company reported a net loss of $15.1 million. On an adjusted basis the company posted a profit of 2 cents per diluted share compared to a net profit of 43 cents per diluted share last year. Analysts were expecting earnings of 15 cents per diluted share.
The company's bottom line was hurt by falling gold prices,which have declined 35% over the past three years, despite upping its third quarter production to 349,273 ounces of gold from the 315,828 ounces it produced last year.
TheStreet Ratings team rates AGNICO EAGLE MINES LTD as a Hold with a ratings score of C-. TheStreet Ratings Team has this to say about their recommendation:
"We rate AGNICO EAGLE MINES LTD (AEM) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures and solid stock price performance. However, as a counter to these strengths, we find that the company's return on equity has been disappointing."
Highlights from the analysis by TheStreet Ratings Team goes as follows:
- You can view the full analysis from the report here: AEM Ratings Report