Critical Comparison: Aris Mining (NYSE:ARMN) versus Agnico Eagle Mines (NYSE:AEM)

Agnico Eagle Mines (NYSE:AEM) and Aris Mining (NYSE:ARMN) are both basic materials companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, valuation, profitability, risk, analyst recommendations, dividends and institutional ownership.

Volatility & Risk

Agnico Eagle Mines has a beta of 1.1, suggesting that its share price is 10% more volatile than the S&P 500. Comparatively, Aris Mining has a beta of 0.16, suggesting that its share price is 84% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current recommendations for Agnico Eagle Mines and Aris Mining, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Agnico Eagle Mines	0	1	6	0	2.86
Aris Mining	0	0	0	0	0.00

Agnico Eagle Mines currently has a consensus price target of $90.50, indicating a potential downside of 8.91%. Given Agnico Eagle Mines’ stronger consensus rating and higher possible upside, research analysts plainly believe Agnico Eagle Mines is more favorable than Aris Mining.

Profitability

This table compares Agnico Eagle Mines and Aris Mining’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Agnico Eagle Mines	12.86%	8.88%	6.06%
Aris Mining	-0.66%	4.97%	2.70%

Institutional & Insider Ownership

68.3% of Agnico Eagle Mines shares are owned by institutional investors. Comparatively, 35.8% of Aris Mining shares are owned by institutional investors. 0.5% of Agnico Eagle Mines shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Earnings & Valuation

This table compares Agnico Eagle Mines and Aris Mining”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Agnico Eagle Mines	$6.63 billion	7.53	$1.94 billion	$2.00	49.68
Aris Mining	$447.67 million	1.55	$11.42 million	($0.02)	-202.25

Agnico Eagle Mines has higher revenue and earnings than Aris Mining. Aris Mining is trading at a lower price-to-earnings ratio than Agnico Eagle Mines, indicating that it is currently the more affordable of the two stocks.

Summary

Agnico Eagle Mines beats Aris Mining on 14 of the 14 factors compared between the two stocks.

About Agnico Eagle Mines

Agnico Eagle Mines Limited, a gold mining company, exploration, development, and production of precious metals. It explores for gold. The company's mines are located in Canada, Australia, Finland and Mexico, with exploration and development activities in Canada, Australia, Europe, Latin America, and the United States. Agnico Eagle Mines Limited was incorporated in 1953 and is headquartered in Toronto, Canada.

About Aris Mining

Aris Mining Corporation, together with its subsidiaries, engages in the acquisition, exploration, development, and operation of gold properties in Canada, Colombia, and Guyana. It also explores for silver and copper deposits. The company was formerly known as GCM Mining Corp. and changed its name to Aris Mining Corporation in September 2022. Aris Mining Corporation is based in Vancouver, Canada.