Avigilon Corp (AVO.TO)

Was surprised the stock fell off because the results were quite strong. Their increase in hiring indicates their confidence. They are all bullish signs. Thinks it is a buying point. Regrets he missed out on this one.

Going to go to $17.47, EBV +3 with the December balance sheet now in. A bottoming has to take place.

(A Top Pick March 28/14. Down 10.58%.) Had a couple of missteps. Made the announcement of the CFO leaving on the morning of their earnings announcement, so everybody sort of panicked. She thinks the quarter was fine and that they are back on track. Not an expensive stock. Good value.

He doesn’t do fundamentals, but there are 2 things he sees on this company. 1.) It is a crowded trade. 2.) He doesn’t see a moat around the stock, so there could be competition. Chart shows there has been an ABC correction. This means the correction is probably done. He wouldn’t be surprised if this ran back up to the old top. If you are Long you might want to exit at the old high of $35-$36. He wouldn’t see this as being a long-term investment.

This looks good, and is one of the companies that’s on his lists of a company to see. He is hoping to meet with management in the next few weeks. There was a lot of turmoil about 6-9 months ago in the management suite, but they have kind of settled down. Valuation looks right and will probably be a Buy subject to him meeting with management and asking a few key questions.

(A Top Pick Jan 15/14. Down 49.5%.) Sold his holdings at $28. He would reconsider on a pickup in the business, and is actually looking at it right now. Depending what happened in the next quarter, he might go back into the stock.

Basically does a complete solution which includes cameras, hardware for storing images and the software. If they can grow earnings by 35% in 2015, this appears to be reasonably priced at 19X PE with a 16% ROE. Thinks the underlying business will continue to grow quite well. He is waiting for an opportunity to jump back in. Has good opportunity for growth.

This is a tough one as it has a lot of stuff going on in the background. They are doing an acquisition. The question is whether you Buy more or just Hold. He hasn’t had a discussion with management yet, and that is where he needs to go. There was turmoil in the executive suite in the last little while. Thinks they just announced an acquisition this last week or so. There is a lot of stuff to re-evaluate.

(A Top Pick Jan 15/14. Down 50.32%.) High definition surveillance cameras. Sold his holdings in the $28 range in February, when it broke down from a supply/demand perspective. Revenue numbers were great on the quarters following that, but they were spending a lot of money to generate that revenue, and the earnings numbers were a lot weaker than what the street had expected. Still has this on his radar screen. They continue to grow and execute very well. Another quarter like the last one, and there is a pretty good chance that he could be looking at this again. Have started to integrate their systems, so it is not just the cameras that they were once selling, but their whole software solution as well.

Sometimes when markets get volatile, they sell everything that has risk associated with it such as high growth, higher than average valuation and uncertain earnings stream. That is this company. This is a great name. This is organic growth, which he really likes. When you take out cash, the stock is trading at 13X earnings. This should do very, very well in this environment.

(A Top Pick Jan 15/14. Down 45.84%.) Still likes. The market put them in the penalty box. He started to see things break down from a technical standpoint in early February. Sold his stock at the $28 level and ended up making money. Past quarter was quite good and the stock had a big one-day move. He wants to see it follow through with another quarter of good numbers.

(A Top Pick Oct 9/13. Down 6.77%.) These 3 picks were large cap liquid stocks that hopefully would not give you a surprise. There was a technical Sell mid-April. CFO also left the company. Sold his holdings. Ranks well in his Quant model, but still needs to move about $21 to convince him that the long-term trend is back on. Have excellent products, and thinks there will still be lots of growth ahead of them.

High definition cameras. Loves to follow this name. Had been Short this not too long ago. Feels it might be in for trouble in the near-term. Any time you have a company that has a product or service that is not too difficult to replicate, you know their competitors are going to try to copy. High levels of revenue growth are built into the stock, and he tries to stick to the value side of things which gives you a margin of error.

Its strengths and weaknesses are roughly in balance, so this would be a Hold, and we need to see a resolution on something. There seems to be something going on underneath the surface of the company, which he feels has to do with the personalities of the people at the top. At this price it looks cheap, but he wouldn't be a seller or adding until there was some conclusion.

He is still on the sidelines on this. Any time a stock drops as much as this did, particularly in technology, he gets interested in trading it, but it really has been an elevator ride down. Some think their product is really getting commoditized which could stunt their growth going forward. He would like to wait and see what the next quarter comes out with.