Jump to any asset
Newmont vs Agnico Eagle Mines
VS
Comparative Analysis
Newmont Mining (NEM) wins this head-to-head comparison against Agnico Eagle Mines (AEM), primarily driven by its superior profitability margins and a more balanced analyst sentiment. While both companies operate in the gold mining sector and present compelling investment cases, NEM's stronger financial performance and slightly more favorable valuation metrics give it a decisive edge. AEM shows stronger revenue growth, but NEM's ability to convert revenue into profit is more efficient. Investors seeking a blend of value and profitability may find NEM a more attractive option at this juncture. NEM's current price of $126.14 is trading below its 52-week high of $135.29, indicating some room for upside, while AEM's price of $196.68 is also below its 52-week high of $255.24. NEM's P/E ratio of 15.91 is slightly more attractive than AEM's 16.82. Both stocks have positive revenue growth, but NEM's net profit margin of 33.36% significantly outpaces AEM's 40.44%. Technical indicators show AEM with a stronger MACD, but NEM's RSI is closer to neutral, suggesting less immediate overbought pressure. The analyst community favors both, but NEM has a slightly higher proportion of 'Strong Buy' ratings.
Key Differentiator
The decisive factor favoring Newmont Mining (NEM) over Agnico Eagle Mines (AEM) is its superior profitability. NEM consistently converts a larger portion of its revenue into net profit, as evidenced by its significantly higher net profit margin. While AEM demonstrates impressive revenue growth, NEM's operational efficiency in generating earnings provides a more stable and attractive financial profile, making it the preferred choice for investors prioritizing profitability and consistent financial performance.
Joint Outlook
The outlook for both Newmont Mining (NEM) and Agnico Eagle Mines (AEM) is cautiously optimistic, heavily influenced by the trajectory of gold prices and broader macroeconomic conditions. For NEM, a sustained gold price above $1,200 per ounce could support its current valuation and allow for potential upside towards its analyst median target of $133, especially if it continues to demonstrate strong profitability. Conversely, a significant drop in gold prices or a failure to consistently meet earnings expectations could see it retest lower support levels near its 50-day moving average. AEM's outlook is tied to its ability to sustain its impressive revenue growth and capitalize on its more bullish technical momentum. If gold prices remain firm and AEM continues to execute operationally, it could challenge its 52-week high and move towards its median analyst target of $215.245. However, its higher valuation makes it more susceptible to pullbacks if market sentiment shifts or if its growth rate decelerates. Investors should watch for any changes in central bank policy and inflation data, which can significantly impact gold's safe-haven appeal.
Price Analysis Comparison
Valuation Metrics
| Metric | NEM | AEM |
|---|---|---|
| P/E Ratio | 15.91 | 16.82 |
| Market Cap | 132.91B | 99.59B |
| Price/Sales | 5.16 | 6.86 |
| Price/Book | 3.79 | 3.48 |
| EV/EBITDA | 7.76 | 9.80 |
| Dividend Yield | N/A | N/A |
Newmont Mining (NEM) presents a slightly more attractive valuation profile compared to Agnico Eagle Mines (AEM). NEM's P/E ratio stands at 15.91, which is marginally lower than AEM's 16.82, suggesting NEM is priced more favorably on an earnings basis. Both companies are trading below their respective 52-week highs, with NEM at $126.14 versus a high of $135.29 and AEM at $196.68 versus a high of $255.24. This indicates potential upside for both, but NEM's current price represents a smaller discount from its peak. NEM's market capitalization of $132.91 billion is larger than AEM's $99.59 billion, reflecting its greater scale in the industry. The dividend yields are comparable, with NEM at 0.82% and AEM at 0.90%.
Profitability & Efficiency
| Metric | NEM | AEM |
|---|---|---|
| Rev. Growth (Qtly) | 15.10% | 35.00% |
| Profit Margin | 33.36% | 40.44% |
| Return on Equity | 25.91% | 22.97% |
| Return on Assets | 15.76% | 15.68% |
| Debt/Equity | 15.81 | 1.12 |
Newmont Mining (NEM) exhibits superior profitability metrics compared to Agnico Eagle Mines (AEM). This indicates NEM's greater efficiency in converting revenue into profit. Both companies demonstrate strong returns on equity, with NEM at 25.91% and AEM at 22.97%. Their return on assets is nearly identical, with NEM at 15.76% and AEM at 15.68%. Despite AEM's higher revenue growth, NEM's ability to maintain higher profit margins is a key differentiator in its favor.
Earnings Reality Check
NEM
Last 5 Qs: NEM beat estimates 3x out of 5. Fell 2x after beats. (Sell the news?)
AEM
Last 5 Qs: AEM beat estimates 5x out of 5. Rose 3x after beats.
Technical Indicators
| Indicator | NEM | AEM |
|---|---|---|
| RSI (14) | 47.96 | 39.20 |
| 50-Day MA | $109.11 | $172.48 |
| 200-Day MA | $109.13 | $187.08 |
Technically, Agnico Eagle Mines (AEM) is showing stronger momentum signals than Newmont Mining (NEM). AEM's MACD is at 7.52, indicating a bullish trend, whereas NEM's MACD is at 5.03. AEM's RSI is currently at 39.2, suggesting it is approaching oversold territory, while NEM's RSI is at 47.96, indicating a more neutral momentum. Both stocks are trading below their 50-day and 200-day moving averages, with NEM's SMAs at 109.11 and AEM's at 172.48 (50-day) and 187.08 (200-day). NEM's price is closer to its 50-day SMA ($123.99 EMA) than AEM is to its 50-day SMA ($172.48). AEM's stochastic indicator is at 10.86, significantly oversold, while NEM's is at 33.41, also in the lower range but less extreme.
AI Analyst Sentiment
Technical rating — based on current price action versus moving averages and momentum. This measures short-term chart trend, not analyst opinion or company fundamentals.
NEM
Technical Score: 76/100
AEM
Technical Score: 76/100
Analyst sentiment is broadly positive for both Newmont Mining (NEM) and Agnico Eagle Mines (AEM), with a slight edge to NEM in terms of 'Strong Buy' recommendations. NEM has 5 'Strong Buy' ratings out of 23 analysts, compared to AEM's 6 'Strong Buy' ratings out of 22 analysts. However, NEM has a higher proportion of 'Buy' ratings relative to 'Hold' and 'Sell' ratings. The median analyst target for NEM is $133, suggesting a modest upside potential from its current price of $126.14. AEM's median target is $215.245, indicating more significant potential upside from its current price of $196.68. The overall analyst consensus leans towards 'Buy' for both, but NEM's rating distribution shows slightly less bearish sentiment.
Risk Stratification
| Metric | NEM | AEM |
|---|---|---|
| Beta (Volatility) | 0.54 | 0.67 |
| Sharpe Ratio | 1.29 | 1.33 |
For Newmont Mining (NEM), key risks include potential underperformance relative to its 52-week high and the possibility of earnings misses, as seen in its July 2026 report, which can trigger sharp price declines. While its profitability is strong, any significant increase in operational costs or a downturn in gold prices could impact its margins. Agnico Eagle Mines (AEM) faces risks related to its higher valuation multiples and the potential for its strong revenue growth to falter if market demand shifts. Its more volatile technical indicators, like the lower RSI and stochastic, suggest a greater potential for price swings, which could be amplified by broader market sentiment or specific company news. Both companies are exposed to commodity price fluctuations and geopolitical instability affecting the mining sector.
Comparative ProTips
- Monitor gold prices closely, as they are the primary driver for both NEM and AEM.
- Pay attention to NEM's upcoming earnings reports to see if it can maintain its profitability advantage.
- Consider AEM if you are looking for higher potential upside based on analyst targets and stronger current momentum, but be aware of its higher valuation.
Monte Carlo Projection (10yr)
Actionable Trade Plans
Compare entry, exit, and risk management levels for both assets
Select Your Trade Bias
Risk Tolerance
Conservative
3%
Aggressive
Portfolio Value
$
✎
Position Size: $200 - $300 per asset
NEM
Current: $126.14
ENTRY ZONES
Conservative
$119.83
Aggressive
$126.14
RISK MANAGEMENT
STOP LOSS
$116.24
MAX LOSS
-3%
Volatility-Adjusted Stop Loss
Calculated based on volatility and technical support levels.
Profit Targets (Based on Conservative)
+5%
$125.82
+10%
$131.82
+15%
$137.81
AEM
Current: $196.68
ENTRY ZONES
Conservative
$186.85
Aggressive
$196.68
RISK MANAGEMENT
STOP LOSS
$181.24
MAX LOSS
-3%
Volatility-Adjusted Stop Loss
Calculated based on volatility and technical support levels.
Profit Targets (Based on Conservative)
+5%
$196.19
+10%
$205.53
+15%
$214.87
Calculate Your Trade
Disclaimer
This comparison involves assets with varying risk profiles. The content is for educational purposes only. Comparison includes a higher-volatility asset (AEM). Correlations between assets with different volatility profiles can break down rapidly during market stress. Liquidity risks may prevent execution at displayed prices. Note: The AI favored NEM based on relative valuation. This is valid for the specified timeframe only.
Frequently Asked Questions
Which gold miner is a better buy, NEM or AEM?+
Newmont Mining (NEM) is a slightly better buy due to its superior profitability margins and more balanced analyst sentiment, despite Agnico Eagle Mines (AEM) showing stronger revenue growth and more bullish technicals. NEM's P/E of 15.91 is also more attractive than AEM's 16.82.
What are the key risks for NEM compared to AEM?+
NEM's primary risks include potential earnings misses and operational cost increases impacting its strong margins. AEM faces risks related to its higher valuation and the potential for its revenue growth to slow, alongside greater technical volatility.
How do NEM and AEM compare on valuation metrics?+
NEM offers a slightly more attractive valuation with a P/E of 15.91 compared to AEM's 16.82. Both stocks are trading below their 52-week highs, but NEM's price represents a smaller discount from its peak.
Which stock has better earnings performance?+
While both companies have beaten earnings estimates, AEM has shown a more consistent trend of positive surprises in its recent quarters. NEM experienced a significant miss in July 2026, although it had a strong beat in April 2026.
How do their profitability margins compare?+
Both companies show strong returns on equity.
What do technical indicators suggest for NEM vs AEM?+
AEM shows stronger momentum with a higher MACD and is approaching oversold RSI levels, while NEM's technicals are more neutral. Both are trading below their key moving averages.
What is the analyst sentiment for NEM and AEM?+
Analyst sentiment is positive for both, with NEM having a slightly better distribution of 'Strong Buy' to 'Buy' ratings. NEM's median target price suggests modest upside, while AEM's target indicates greater potential.