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  5. AEM: I read the questions regularly and I know AEM is a favourite of 5i. [Agnico Eagle Mines Limited]
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Investment Q&A

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Q: I read the questions regularly and I know AEM is a favourite of 5i. Can you rate these gold/silver stocks: MAG, IMG, ORA, AGI, K, ARIS and also rate ETF's PHYS, and ZGD.
Much appreciated.
Asked by Dennis on September 16, 2024
5i Research Answer:

With so many companies in the question we can only be brief. MAG is a silver company. At 19X earnings, it offers good growth, good management and a strong balance sheet. We like it. IMG has done very well. Its assets are a mixture of partial ownership of mines, but it is priced well at 11X earnings. Still cheap after its gains. ORA has some debt, but very strong expected earnings growth. It offers a high yield and is expensive at 56X earnings but interesting nonetheless. AGI is one of the larger companies in Canada. 25X earnings, very strong balance sheet, decent earnings growth, good leverage to the price of gold. K is also large at $15B, 15X earnings, OK balance sheet, OK (not huge) growth. ARIS is very cheap at 10X earnings. Production of 220,000+ ounces is expected for the year. The stock took a hit on its Q2 miss but very strong earnings growth (more than double) is expected in 2025, and cash flow is high. PHYS is one of our favourite physical gold funds. We were involved in its set up. Gold is held in Canada and units can be converted into bullion. ZGD is small at $60M but has done well and we like its securities holdings. It has some international exposure but is still 74% Canada.