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  5. AEM: hi, one assumes there is methodology that you look at to value this company as it relates to the price of Gold vis a vis all other mining costs etc. [Agnico Eagle Mines Limited]
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Q: hi, one assumes there is methodology that you look at to value this company as it relates to the price of Gold vis a vis all other mining costs etc. Where do you see the price of AEM with a Gold price at $5000? do you know how often the price of Gold meaningfully corrects in these bull markets? what price would you buy or add to AEM?
cheers, Chris
Asked by chris on October 06, 2025
5i Research Answer:

Gold can certainly correct but it is difficult to forecast and the reasons will vary. Gold has had five annual losses since 2005, including -51% in 2011 and -46% in 2013. The US dollar and interest rates are the biggest drivers (good and bad). Companies with good cost control such as AEM have very good leverage to price moves. At $5000 gold, we would be fairly sure AEM would trade above $300.  It is 23x earnings today. We would be fine buying in the $235 range.