Companies

Head to Head Comparison: Eldorado Gold and Agnico Eagle Mines

Published December 8, 2024

Eldorado Gold (OTCMKTS:ELDXF) and Agnico Eagle Mines (NYSE:AEM) are both prominent players in the mining industry. Investors often wonder which of these companies offers a better investment opportunity. This article aims to provide an in-depth comparison of the two companies based on various factors including risk, dividends, valuation, analyst recommendations, institutional ownership, profitability, and earnings.

Valuation and Earnings

To start, we will look at the valuation and earnings of both companies. Here’s a brief comparison:

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Eldorado Gold N/A N/A N/A N/A N/A
Agnico Eagle Mines $6.63 billion 6.33 $1.94 billion $2.00 41.80

From these figures, it is clear that Agnico Eagle Mines has significantly higher revenue and earnings compared to Eldorado Gold.

Profitability

Next, we will assess the profitability of both companies by comparing their net margins, return on equity (ROE), and return on assets (ROA):

Net Margins Return on Equity Return on Assets
Eldorado Gold N/A N/A N/A
Agnico Eagle Mines 12.86% 8.88% 6.06%

Agnico Eagle Mines demonstrates superior profitability ratios compared to Eldorado Gold.

Analyst Ratings

Analyst recommendations are another important factor to consider when evaluating these companies. Below is a summary of current ratings from analysts:

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Eldorado Gold 0 0 0 0 0.00
Agnico Eagle Mines 0 1 7 0 2.88

The consensus target price for Agnico Eagle Mines is $86.78, suggesting a potential upside of 3.81%. These metrics indicate that analysts view Agnico Eagle Mines as a more favorable investment compared to Eldorado Gold.

Institutional and Insider Ownership

In terms of ownership, 68.3% of Agnico Eagle Mines’ shares are held by institutional investors, while only 0.5% are held by insiders. This strong institutional ownership typically indicates that large financial investors believe that a stock is likely to perform well in the long term.

Summary

After evaluating multiple factors, Agnico Eagle Mines outperforms Eldorado Gold in all nine categories compared.

About Eldorado Gold

Eldorado Gold Corporation primarily engages in mining, exploration, and development of mineral products. The company operates mainly in Turkey, Greece, Canada, and Romania, focusing on gold production along with other minerals like silver, lead, and zinc. Eldorado Gold holds interests in several mining projects and was incorporated in 1992, with its headquarters in Vancouver, Canada.

About Agnico Eagle Mines

Agnico Eagle Mines Limited specializes in gold mining and has exploration and production activities in various countries including Canada, Australia, Finland, and Mexico. Founded in 1953, Agnico Eagle has developed a strong presence in the gold mining sector, with its headquarters in Toronto, Canada.

stocks, mining, investment