Old West Management, an investment management company, released its 2022 fourth-quarter investor letter. A copy of the same can be downloaded here. 2022 was one of the most difficult years for investors. However, the fund performed better than the market. Even though its long-only separate accounts delivered negative returns for the year, they beat their respective benchmarks, and the fund’s three Limited Partnerships performed relatively well. The Old West Income Fund increased by 12.4% for the year. In addition, please check the fund’s top five holdings to know its best picks in 2022.
Old West Management highlighted stocks like Agnico Eagle Mines Limited (NYSE:AEM) in the Q4 2022 investor letter. Headquartered in Toronto, Canada, Agnico Eagle Mines Limited (NYSE:AEM) is a mining company that primarily focuses on the production and sale of gold deposits. On January 17, 2023, Agnico Eagle Mines Limited (NYSE:AEM) stock closed at $54.58 per share. One-month return of Agnico Eagle Mines Limited (NYSE:AEM) was 4.36%, and its shares gained 0.52% of their value over the last 52 weeks. Agnico Eagle Mines Limited (NYSE:AEM) has a market capitalization of $24.885 billion.
Old West Management made the following comment about Agnico Eagle Mines Limited (NYSE:AEM) in its Q4 2022 investor letter:
“Agnico Eagle Mines Limited (NYSE:AEM) is the third largest gold miner in the world with mines in Canada, Australia, Finland, and Mexico. Although we have long respected the company, we became shareholders when they acquired our portfolio holding, Kirkland Lake Gold. Agnico chairman Sean Boyd is one of the most respected executives in the mining industry. He was appointed CEO in 1998 and was recently appointed Executive Chairman. Boyd is a large shareholder and perfectly fits our owner/manager role. This year the company is projected to make nearly $1 billion in net income on $5.8 billion in revenue with $758 million of free cash flow. Net income has been growing 15% per year for several years. Agnico has a fortress balance sheet with $1.3 billion of long term debt, which is only 2 times EBITDA, and $820 million cash in the bank. The stock trades at $55 per share, which is 26 times earnings with a 2.9% dividend yield.”
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Agnico Eagle Mines Limited (NYSE:AEM) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 39 hedge fund portfolios held Agnico Eagle Mines Limited (NYSE:AEM) at the end of the third quarter, which was 31 in the previous quarter.
We discussed Agnico Eagle Mines Limited (NYSE:AEM) in another article and shared the best gold stocks to buy for recession. In addition, please check out our hedge fund investor letters Q4 2022 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.
