Jean-Francois Tardif Contrans Group Inc CSS-T WAIT Jun 23, 2008

Transport company and ship goods by truck all over North America. Raised their dividend 25% a month ago. Has survived many past downturns. Very well run. Dividend yield of 3.25%. Expect one day they will sell the company.

(A Top Pick April 4/12. Down 10.46%.) Had picked this one because he really wanted to get a company that had leverage to a rising economy. Nice little dividend. Doing okay, but hasn’t kicked in, in terms of that high degree of earnings leverage that he thought it would have. Feels it’s time will come, it’s just a little early. Still a buy.

(Top Pick Apr 4/13, Up 26.47%) They executed very well, raising dividend 20%. Last quarter was pretty solid.

TransForce (TFI-T) has an offer in to buy this and it is board approved. Transforce stock went up 10%. It’s $0.30 accretive to earnings, which at a 15X multiple is worth almost $5 to Transforce stock. Everybody loves this deal, which by default means it is a bad deal for Contrans. This stock, at $15 with a 15X multiple on next year’s earnings, is an $18 stock without a takeover. This is at the economic stage where earnings will start to ramp up. Yield of 3.97%.

The market is playing right into their hands. Thinks TFI-T will extend the bid. TFI-T is not paying their dividends right now. He thinks it is time to move on.

(A Top Pick July 29/14. Down 1.59%.) Has gone private (December 2014).