Corby Spirit and Wine (A) (CSW.A.TO)

Good company. Pretty safe with it. Spirits companies are great. Strong data with Corbys. ROIC 18% with 13% in recent years. Valuation reasonable. Good dividend at 3.8%.

This has been very steady and doing quite well. It doesn't get seriously bad. Well supported and has strong backing. Has a nice dividend. Well run.

Doesn't think you're going to get much in the way of capital appreciation on this. They pay $.84. Their year end is June 30. You are not going to get much in the way of capital appreciation, it's just the distributions that you get. His model price is $24.47, 14% higher than what it closed at yesterday. He sees so much value elsewhere that it would be hard for him to stick with this.

He has been watching it. It is Canadian. It is confined to the Canadian market and so not participating as much. It is a worldwide company.

Hard liquor and some wines. Very good brands. He has looked at it and likes it at times but they are too highly valued at times. It one shareholder has too much so it is not liquid enough for him. As cannabis becomes more main stream, they may want to invest in it in some way.

[Caller asked about 'B' but BNN put up chart for 'A'] It is a fine company. He has been in it long term. It is inclined to go up a little. People holding it don’t usually go rushing out the door because of the tax year.

It has been a story where he looked at it a year or so ago. It is a bit expensive on a multiple basis but someone will probably come along and take it out in the future. He would hold it if you own it. They try to make acquisitions of smaller brands from time to time. It is pretty sleepy.

One of the old greats in the liquor world. They distill certain things and have marketing rights to others. They do things overseas. Pays special dividends in January.

This has its own little niche and a much smaller distribution than some of the larger names. The spirits business had struggles last year. There is nothing wrong with this one.

This is in the consumer staples sector, and is not something he would be looking at. It has a high yield and is a great company and has done extremely well, but a pullback has taken place. Seasonally, this is not something he would favour.

The dividend yield is 3%, but they pay special dividends each year. Last year it made the yield a total of over 6% yield. They have been growing through their wine business in Canada and just launched Wiser’s in the US. He thinks their parent may take them out.

This will continue to be a steady Eddie as it is in an area that people go to when they celebrate, expressing sadness, or just having a nice evening with friends and family. The company has done an excellent job of making sure they have the portfolio of brands that consumers look for.

(Market Call Minute.) There is a pretty good outlook for this stock in the near term.

They sell alcohol. They have a large parent investor. The liquidity and market cap is not good so he does not own it. They have a history of paying a dividend and any takeout would depend on their large shareholder. They have iconic brands. He likes the company and they have a solid balance sheet.

Pernod, the parent, owns about 51% of the company, so there is no chance of a take out. This controls 1 in 5 Spirit bottles in Canada. They can always make licensing in, or brand acquisitions in Canada, so there is some scope for growth. For him it is a liquidity issue. Institutions are very scared of a stock like this because it is hard to get in and very hard to get out. If you are in the name you have to be willing to stick around for a very long time.