The 2 Best Gold Stocks, According to Credit Suisse

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In a note out Tuesday morning, Credit Suisse analyst Ralph M. Profiti highlighted his two top picks in the gold sector,
Goldcorp Inc. (USA)GG
and
Agnico Eagle Mines Ltd (USA)
AEM
. Some highlights from the report:
Goldcorp ($GG)
remains our preferred senior gold equity due to its growth profile, strong balance sheet (low absolute level of debt), dividend yield and longer average mine life with strong exploration potential at key assets. GG has already provided 2015 guidance to the market and indicated at an analyst presentation in January that its goal is to grow reserves overall at 2014YE (in contrast to the peer group where we see net depletion as likely).
Agnico Eagle ($AEM)
remains one of our top picks in the gold sector due to its strong FCF outlook, operational track record and relatively de-risked 2015 outlook. However, we are slightly cautious into guidance given that the stock has been a top performer YTD and its valuation could now be reflecting better than street expectations on costs, which may be realized over the course of the year but may not be reflected in guidance due to more conservative FX assumptions. Shares of both Goldcorp and Agnico Eagle Mines are trading slightly lower Tuesday morning, with gold futures showing some weakness.
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Posted In: Analyst ColorLong IdeasAnalyst RatingsTrading IdeasCredit SuisseGoldRalph M. Profiti
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