Alimentation Couche-Tard (B) (ATD.B.TO)

Fantastic company. Superb ROE. The valuation is expensive, but there is a superb earnings flow. He doesn’t see this changing anytime in the future.

It has a volatile trend. It will have resistance at $61.20 and we are close to that. He wants to see it break through that. This is a pretty strong name compared to Wal-Mart. The long term trend is pretty nice so if you want it for a long term hold it is fine.

This is sort of a safety call. A convenience store/gas station operator. Likes the global expansion they’ve done. Have really started to take over Europe. Now you have a very, very big company that is still growing very, very fast. In 2010, revenues were in the $16 billion range. Looking forward a year they are going to be north of $40 billion. Earnings per share in that period have gone from $0.40 to forecasted fiscal 2017 more than $2 a share. Huge growth for a company that is not that well known. Really solid acquisitions. They know how to extract costs out of their acquisitions. Not cheap, but he would rather pay a lot more for a great company than a less for one that is not great. Dividend yield of 0.36%.

(A Top Pick Oct 28/14. Up 59.7%.) The synergies and cost savings are working out very well. Just reported fantastic earnings, and most of the street has upgraded their target prices. One of the very few low volatility growth names in Canada, that is not financial or energy. Dividend yield of 0.37%.

(A Top Pick Aug 20/14. Up 84.03%.) Just reported and the numbers were terrific. Good management team. Their US business was incredibly strong. US same-store sales were up over 5%, which was way above what people were expecting. In an environment that is this difficult and this low, there is nothing wrong with getting growth by acquisition.

In this market people are looking for stability and this appears to be one of those companies. They have growing earnings and have paid down their debt. They are always on the acquisition hunt. Have always been able to successfully pull off their acquisitions. Fairly richly valued, but over time you are not going to go very wrong if you continue to own it.

A really well managed company that grew effectively by acquisition. They bought under managed assets and added them to their businesses. They have lots of room to grow. They are in the right group. With oil hitting new lows, this is a company that can continue to perform very well.

It is a really good space. It had a pretty good run. It may come off though. Recommends a consumer staple ETF. Loblaws or Weston you could buy today, but may be a little bit expensive. Recommends Ticker XST on the TSX which has Couche Tard, Loblaws, Metro, Saputo and more.

Doesn’t own this because the yield is so low. It is well-managed. They have a model of consolidating gas/retail, and it works very well for them in Canada, US and Europe.

This is really a cash flow machine. Have been growing cash flow and earnings at a phenomenal rate for the last 5 years. Earnings have grown at almost 30% compounded per year. They just keep building up cash and then going out and make an acquisition. Have really freed up their balance sheet in the last little while. After they made a pantry acquisition they have been paying down some of their debt, and he wouldn’t be surprised if they made another acquisition fairly soon. Every time they make an acquisition, the market always doubts what they have done, but turns out better than what has been expected. Dividend yield of 0.33%.

Second largest convenience store operator. They continue to just keep delivering solid results. They digested the Pantry acquisition in the US and we’ll see how that is going on when they report on July 14. Dividend yield of 0.33%.

(Market Call Minute.) Has been recently adding to his existing position. One of the great long-term super compounders in the Canadian market.

His model price is $54.60, a 2% upside from its current price. Any sort of a pullback would be a positive for the stock. He has it going to $66.16 in one year’s time.

(Market Call Minute) They had a huge run up. They are very successful at buying up convenience stores and increasing their efficiency.

(Market Call Minute) Operating on momentum. If the music ever stops, look out.