Agnico Eagle Mines Ltd (AEM): Today's Featured Metals & Mining Winner

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model

Agnico Eagle Mines ( AEM) pushed the Metals & Mining industry higher today making it today's featured metals & mining winner. The industry as a whole closed the day down 0.3%. By the end of trading, Agnico Eagle Mines rose $0.48 (1.6%) to $30.56 on light volume. Throughout the day, 815,948 shares of Agnico Eagle Mines exchanged hands as compared to its average daily volume of 1,834,700 shares. The stock ranged in a price between $29.84-$30.70 after having opened the day at $30.08 as compared to the previous trading day's close of $30.08. Other companies within the Metals & Mining industry that increased today were: Prospect Global Resources ( PGRX), up 19.0%, Golden Minerals ( AUMN), up 18.5%, Pacific Booker Minerals ( PBM), up 15.6% and Great Basin Gold ( GBG), up 7.1%.
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Agnico-Eagle Mines Limited, through its subsidiaries, engages in the exploration, development, and production of mineral properties in Canada, Finland, and Mexico. It primarily explores for gold, as well as silver, copper, zinc, and lead. Agnico Eagle Mines has a market cap of $5.4 billion and is part of the basic materials sector. The company has a P/E ratio of 20.3, above the S&P 500 P/E ratio of 17.7. Shares are down 42.7% year to date as of the close of trading on Friday. Currently there are 7 analysts that rate Agnico Eagle Mines a buy, no analysts rate it a sell, and 10 rate it a hold.

TheStreet Ratings rates Agnico Eagle Mines as a hold. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, notable return on equity and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself, weak operating cash flow and unimpressive growth in net income.

On the negative front, China Gengsheng Minerals ( CHGS), down 11.8%, Alexco Resource ( AXU), down 10.6%, International Tower Hill Mines ( THM), down 9.4% and Nevsun Resources ( NSU), down 8.7% , were all laggards within the metals & mining industry with United States Steel Corporation ( X) being today's metals & mining industry laggard.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the metals & mining industry could consider SPDR S&P Metals & Mining ETF ( XME) while those bearish on the metals & mining industry could consider PowerShares DB Base Metals Sht ETN ( BOS).

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