Aimia (AIM.TO)

Because of overpayment of dividends, the BV per share has been sliding. Has a terrific yield of 8.7%. The dividend is covered, but barely. Doesn’t like these kinds of companies because it is like the ground is giving out beneath your feet. Has a target of about $7, but it cut through strong support at about $10.

(A Top Pick May 28/14. Down 26.39%.) Started breaking down technically in August, so he got out. With lower revenue, they basically saw their margins compressed. Has this on his radar screen again. Just announced earnings and the numbers were quite good. Also, announced a dividend increase and a share buyback.

Majority of their business is Aeroplan. The company just bumped their guidance from a cash flow standpoint, which is something he always likes to see, so their Earnings per Share numbers were up in the last quarter and continues to trend up as credit cards get added. Cash flow is up and earnings are up. Yield of 3.76% which they continue to increase. Trading at a very reasonable multiple of about 12X next years earnings.

(Top Pick Oct 17/12, Up 25.77%) Company is a worldwide leader in data analytics and advise on marketing. They can increase revenue from this with some of the plans they have in place. Still thinks it is going higher.

Likes this company a lot. Likes what they do and they are in a good space too. They have all this data for consumers which is going to become extremely important and valuable going forward. Right now it is a very volatile stock so there are a lot of question marks where it is going. Decent free cash flow yield and not an expensive stock. Too volatile for him.

Loyalty plan. Their Nectar UK program is very wide spread so therefore the Aeroplan side is less important to them than it was 4 or 5 years ago. In partnership with CIBC but this is up at the end of this year and CIBC is talking about having their own plan. He is sure that somebody else would be happy to pick up that part. This looks like an interesting stock.

Data analytics is a real growth industry. This one has a 3.4% yield. Their plan is to be the top in the world when it comes to data analytics. They are in Africa, Asia, Canada, US and Great Britain. Low volatility.

(A Top Pick Aug 4/11. Up 3.9%.) 6.5%, Series 1. Continues to pay well.