Canadian Imperial Bank of Commerce (CM.TO)

It has had a nice run. They are newer to the US marketplace. There is still juice left from that acquisition, to materialize. He likes where they are and would be buying it here for the medium to long term.

One of the higher dividend yields of the Canadian banks. He would be favoring Scotiabank, with the higher yield at the moment. It has US and domestic exposure and he thinks the dividend will continue to grow. He would continue to hold and collect the dividend. Yield 4.4%.

His favourite bank is BMO. There's resistance at $120 now. Resistance happens in early-September and that'll likely happen this year too. Can't see the driver to move this forward. You won't suffer holding it. Also likes TD.

They are big into mortgages. They have balanced their business and sees no hesitation in owing it. He owns other Canadian banks that have a better growth outlook.

It has been in an uptrend. Just entering into the buy season for the Canadian banks. Typically performs well from October until the end of the year. The trend is good and he is still holding it.

He likes it. The move into the US was timely. They took some risk off the table. He thinks they are in the early stages of realizing the benefits of that US exposure. They might be vulnerable to a pullback but there is upside over the next 3-5 years.

They are executing well in the US. They are in the early stages. We are in the early stages of enjoying the benefits of their acquisitions. (Analysts’ target: $130.33).

It has the largest mortgage portfolio in Canada, and 20% of Canadians are stressed about their mortgages. This probably is pressuring this stock, but he sees nothing wrong with CIBC. When the market rises, so will the banks.

Housing could be an issue but CIBC is bearing the brunt of it. They are at the high end of the six big banks. He would rather buy it at lower rather than higher prices. Growth will probably not be there as in the last months.

Even with a bad period, Canadian banks always bounce back. Buy the best of breed--TD, Scotia, Royal. But CIBC isn't in the top tier. That said, all the Canadian banks more or less trade in line over time. You can buy this, but there are
better Canadian banks.

Interest rates are rising and investors are doubting the stock. Also, the Canadian housing market is still correcting, ando ur household debt to income is the highest among industrialized countries. Their chart is not bearish, but it's lost upside momentum. Wait until it tests $104 again and whether it holds--then dip your toe in.

(A Top Pick April 28/17 Up 7%) Their exposure to mortgages is causing some possible headwinds in a rising interest rate environment – due to the risk of higher defaults. Their capital ratio is a little over 11% and they have good cost control. It remains a good core holding. Yield 4.7%.

Despite an earnings beat the share price is down almost 2%. The concern today is about mortgage origination. CM-T has large exposure to the residential mortgage market. This trend is scary for the sector as a whole.

Banks in the US had good numbers but the stocks are all down. So how much of the higher interest rates are already baked into the numbers. Loan loss provisions are at low levels. People are concerned about defaults. He has not been adding banks. This one's yield is higher than most, but he is not jumping up and down to buy more and is looking to expand elsewhere.

One of his larger bank holdings. There is a perception that they are more exposed to Canadian retail and mortgages, which is somewhat true. It trades at a reasonable multiple of book and is well capitalized, so he is quite content to hold it. Their last quarter was pretty good.