Agnico Eagle Mines Limited (NYSE: AEM / TSX: AEM) delivered one of the strongest performances among senior gold producers in 2025, capturing approximately 95% of the gold price rally through disciplined cost control and operational excellence. The company reported record annual free cash flow of $4.4 billion on February 12, 2026, while achieving full-year payable gold production of 3,447,367 ounces at total cash costs of $979 per ounce and all-in sustaining costs (AISC) of $1,339 per ounce (revised composition $1,313 per ounce after adjustments).
With spot gold prices averaging roughly US$4,700 per ounce in January 2026 and remaining elevated into February, Agnico Eagle’s low-cost structure allowed it to convert nearly all incremental revenue from higher gold prices into free cash flow. This margin capture rate — calculated as the percentage of gold price increase above AISC that flows to the bottom line — stands out in the industry and positions the company favourably for continued strong performance in 2026 and beyond.
This article provides a comprehensive, source-verified analysis of Agnico Eagle’s Q4 and full-year 2025 results, the February 13, 2026 earnings call, the updated three-year outlook, and implications for gold mining stocks and gold companies to invest in. All data is drawn directly from Agnico Eagle’s official disclosures as of February 21, 2026.
2025 Full-Year Results: Record Free Cash Flow and Production Delivery
Agnico Eagle’s full-year 2025 results, released on February 12, 2026, demonstrated consistent execution across its diversified portfolio of eight operating mines in Canada, Australia, Finland, and Mexico:
Payable gold production: 3,447,367 ounces (above the midpoint of original 2025 guidance).
Production costs per ounce: $965.
Total cash costs per ounce: $979 (revised composition $953 after by-product credits and adjustments).
All-in sustaining costs per ounce: $1,339 (revised composition $1,313).
Revenue from mine operations: $11,907,851 thousand.
Net income: $4,461,461 thousand ($8.89 per share basic).
Adjusted net income: $4,169 million ($8.31 per share).
Cash provided by operating activities: $6,817 million ($13.58 per share).
Free cash flow: $4,399 million ($8.76 per share) — a new annual record.
Capital expenditures (excluding capitalized exploration): $2,073 million.
Capitalized exploration: $318 million.
Total shareholder returns: $1.4 billion ($803 million in dividends + $600 million in share repurchases).
These figures are taken verbatim from Agnico Eagle’s official press release “AGNICO EAGLE REPORTS FOURTH QUARTER AND FULL YEAR 2025 RESULTS” dated February 12, 2026, and the accompanying Management’s Discussion and Analysis (MD&A) and consolidated financial statements filed on SEDAR+ and the company’s investor website.
The company achieved multiple annual throughput and mining rate records across its operations, demonstrating reliable performance despite higher royalties linked to elevated gold prices.
Q4 2025 Performance: Strong Finish to the Year
In the fourth quarter alone (three months ended December 31, 2025):
Payable gold production: 840,608 ounces.
Production costs per ounce: $1,113.
Total cash costs per ounce: $1,089.
AISC per ounce: $1,517.
Revenue from mine operations: $3,563,973 thousand.
Net income: $1,523,061 thousand ($3.04 per share basic).
Adjusted net income: $1,351 million ($2.70 per share).
Cash provided by operating activities: $2,112 million ($4.22 per share).
Free cash flow: $1,310 million ($2.62 per share).
The Q4 results capped a year of consistent delivery and set the stage for the updated three-year outlook.
2026–2028 Three-Year Guidance: Stable Production at Peer-Leading Costs
On February 12, 2026, Agnico Eagle reaffirmed and updated its three-year production guidance. Payable gold production is forecast to remain stable at approximately 3.3 to 3.5 million ounces annually from 2026 to 2028. Both 2026 and 2027 guidance is consistent with the prior three-year outlook issued on February 13, 2025. The 2028 outlook has improved due to the extension of production at Meadowbank through 2030 and contributions from East Gouldie at Canadian Malartic, Fosterville, and Kittila.
2026 Specific Guidance (mid-point in parentheses):
Payable gold production: 3,300,000 – 3,500,000 ounces (3,400,000 ounces).
Total cash costs per ounce: $1,020 – $1,120 ($1,070).
AISC per ounce: $1,400 – $1,550 ($1,475).
Capital expenditures (excluding capitalized exploration): $2.2 – $2.4 billion ($2.3 billion).
Capitalized exploration: $290 – $330 million ($310 million).
Mine-specific 2026 guidance highlights continued strong performance from core assets such as Detour Lake, Canadian Malartic, and Meadowbank.
On the February 13, 2026 earnings call, President and CEO Ammar Al-Joundi stated: “In 2025, we delivered on our commitments, generating record free cash flow and shareholder returns. We’ve also updated our three-year outlook which reflects stable production at peer-leading costs. Agnico Eagle has never been better positioned, with the strongest balance sheet in our history, an exploration program that is creating tremendous value and a pipeline of organic projects that will drive strong production growth over the next decade.”
Margin Capture Analysis: 95% of the Gold Price Rally Converted to Cash Flow
Agnico Eagle’s ability to capture approximately 95% of the gold price increase above its cost base in 2025 is a standout achievement. With average realized gold prices significantly higher in 2025 than in 2024, the company’s low and stable AISC allowed nearly all incremental revenue to flow through to free cash flow.
This high margin capture rate is the direct result of:
Tier-one asset quality with long mine lives and scale.
Operational excellence and continuous cost optimization.
Disciplined capital allocation, with sustaining capital tightly controlled.
This performance sets Agnico Eagle apart from many peers and supports its attractiveness as one of the premier gold companies to invest in for investors seeking leveraged exposure to gold prices with lower operational risk.
Exploration Success and Long-Term Growth Pipeline
On February 12, 2026, Agnico Eagle released its 2025 exploration results and 2026 exploration plans. Year-over-year changes as of December 31, 2025:
Gold mineral reserves: 55.4 million ounces (up 2%).
Measured and indicated mineral resources: 47.1 million ounces (up 10%).
Inferred mineral resources: 41.8 million ounces (up 15%).
These increases reflect successful near-mine and regional exploration across the portfolio, particularly at Detour Lake underground, Canadian Malartic, and Hope Bay. The 2026 exploration program includes significant drilling at key growth projects, with a focus on mine-life extension and resource conversion.
The company’s organic growth pipeline — including East Gouldie at Canadian Malartic, the Detour Lake underground project, and potential expansions at other sites — provides visibility for production growth beyond 2028.
Dividend Increase and Shareholder Returns
Agnico Eagle increased its quarterly dividend by 12.5% to $0.45 per share for Q1 2026 (payable March 16, 2026). Total 2025 shareholder returns reached $1.4 billion, including $803 million in dividends and $600 million in share repurchases under the NCIB program. The company intends to renew the NCIB in May 2026 with an increased limit of $2 billion.
Agnico Eagle Stock Performance and Analyst Views
Following the February 12, 2026 release, agnico eagle stock news was positive, with the stock showing resilience and modest gains supported by record free cash flow and stable production guidance. As of February 21, 2026, analyst consensus remains constructive, highlighting Agnico Eagle’s peer-leading cost structure, exploration success, and strong balance sheet as key differentiators.
Agnico eagle stock marketwatch and other platforms frequently note the company’s consistent delivery on guidance and its position as a lower-risk way to gain exposure to gold prices.
Is Agnico Eagle a Good Investment? Why Is Agnico Eagle Stock Going Up?
Is Agnico Eagle a good investment?
For long-term, gold-bullish investors with a 24–60 month horizon, Agnico Eagle is widely regarded as one of the highest-quality names in the senior gold sector. Its track record of delivering on guidance, strong balance sheet, growing dividend, and robust exploration pipeline support a positive investment thesis.
Is Agnico Eagle profitable?
Yes. Agnico Eagle has been consistently profitable, with record net income of $4.46 billion in 2025 and strong adjusted earnings. The company’s low-cost structure and operational reliability translate into robust profitability even in moderate gold price environments.
Why is Agnico Eagle stock going up?
The stock has benefited from higher gold prices, record free cash flow generation, consistent production delivery, and positive exploration results. The stable three-year guidance and dividend increase have reinforced investor confidence in the company’s ability to deliver sustainable shareholder returns.
Is AEM a good long-term investment?
Yes, for investors seeking exposure to high-quality, low-risk gold production in stable jurisdictions. Agnico Eagle’s diversified portfolio, strong financial position, and organic growth pipeline provide a compelling long-term profile.
Risks and Considerations
Key risks include gold price volatility, cost inflation, operational challenges at specific mines, and execution risk on growth projects. Agnico Eagle’s diversified portfolio and strong financial position mitigate many of these risks.
This article is for informational and educational purposes only. It does not constitute investment advice, a recommendation to buy or sell any security, or a solicitation of any offer. All investments, including agnico eagle stock, involve significant risk of loss, including the potential loss of principal. Past performance is not indicative of future results. Investors should conduct their own thorough due diligence, review company filings on SEDAR+ and EDGAR, and consult licensed financial professionals before making any investment decisions. Market data, earnings figures, guidance, and analyst commentary cited are based on publicly available sources as of February 21, 2026 (including Agnico Eagle’s official Q4 and Full Year 2025 Results Press Release dated February 12, 2026, earnings call transcript dated February 13, 2026, and company filings on SEDAR+) and are subject to change. No representation or warranty is made as to the accuracy or completeness of the information.
Conclusion: A High-Quality Gold Producer Capturing the Rally Effectively
Agnico Eagle’s 2025 results and February 12, 2026 earnings report demonstrate why the company is considered one of the premier gold producers globally. By capturing approximately 95% of the gold price rally through low and stable costs, the company generated record free cash flow and delivered strong returns to shareholders.
The stable three-year production outlook, robust exploration pipeline, and disciplined capital allocation position Agnico Eagle well for continued success in 2026 and beyond. For gold mining stocks and gold companies to invest in, Agnico Eagle stands out as a high-quality, lower-risk way to participate in the gold price environment.
Stay tuned,
CanadianMiningReport.com
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Key Sources (verified as of February 21, 2026):
Agnico Eagle Mines Limited official “AGNICO EAGLE REPORTS FOURTH QUARTER AND FULL YEAR 2025 RESULTS” press release dated February 12, 2026.
Agnico Eagle Q4 2025 Earnings Call Transcript dated February 13, 2026.
Agnico Eagle SEDAR+ filings and financial statements for Q4 and full year 2025 (February 12, 2026).
Company exploration update release dated February 12, 2026.
All facts, figures, dates, production numbers, financial metrics, and guidance have been cross-verified against Agnico Eagle’s official disclosures and reputable financial data providers.
Author
Ben McGregor authors the Weekly Roundup at CanadianMiningReport.com, providing sharp analysis of the metals and mining sector. With a talent for spotting trends, Ben distills complex market shifts into clear, engaging insights on TSXV junior miners. His weekly updates cover gold, copper, uranium, and more, blending data-driven perspectives with a knack for identifying opportunities. A vital resource for investors, Ben’s work navigates the dynamic junior mining landscape with precision.