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

Likes a lot. Have been investing a lot into Canadian wines and a deal to market Wiser’s in the US. The latter is more interesting and they came out with a new brand called Wiser’s Premium. Currently in about 8 states and will be going national with it. A lot of potential with it. Recent earnings were good. They are growing in the US shipments so quickly, they have to build the channel so some of the sales are part of that channel build and it should last while they are building it up. Once you see them roll into the full 50 states, then he would take a look to see what the actual sell-through is. 3.4% yield.

(A Top Pick Dec 28/12. Up 15.25%.) A tremendous cash flow generator. Announced last year that Pernod, their largest shareholder, was taking over the distribution of Wisers in the US using the same kind of marketing they did in Canada and introduce it as a premium brand. They are going slow and steady with that but he thinks there are lots of growth opportunities there. He has been buying more recently.

This sector tends to be more defensive. This hasn’t performed well when all the other stocks in the Consumer’s Staples sector have. It has been falling at the same time the S&P 500 has been going up.

Still loves it. Not a huge growth name but you can think of all the capital they return to shareholders as the growth. The upside now is the potential for a onetime growth hit here as the parent is now distributing Weisers in the US. The parent may decide to buy the rest of the stock in as it grows. Zero debt.

Dividend has been going up. There was some thought that their French parent would take them over at some point but the parent owns enough of it now so there is no rush for them to do so.

Majority owned by a French company. A cash flow machine. Last quarter’s numbers weren’t good because of a delay in Lambs rum shipment to the UK.

Has a long position. Lambs had a poor quarter. Likes some of the catalysts. They are marketing Weisers in the US which has a lot of upside in terms of sales growth and they are using their distributorship muscle within Canada and are starting to market more wines and they get a nice commission. Sitting on cash.

Great business. Not cheap. Owned by Pernod and he feels that at some time they will just take it out of Canada. Nice dividend.

Excellent dividends. Special dividends capability. Probably gets taken in eventually by its parent Pernod.

Has a smattering of some historical holdings in some clients’ portfolios but is not interested in owning generally. Company has done well. His concern, longer-term, is the French company that really controls what goes on there. Well managed.

Cash flow return on investment has improved dramatically since they went to an asset light model and is showing up in the special dividends that the company has been paying. Really under levered. Have $100 million in net cash, 20% of their market. Generates tremendous cash flow. There is a rumour that their parent will use the cash to purchase the distribution rights for José Cuervo Tequila.

Makes booze and it’s a cash flow machine. Thinks they are in the process of paying a special dividend. Business is good. Not very liquid. Pretty decent conservative play and you can pick away at it.

They are into the swinging things in cocktails. Subject to the largest minority holding (12%) by a funds management, which means very big dollars for all the assets they held for very long time.

(Top Pick Nov 24/11, Up 16.86%) They just announced another special dividend. He likes it a lot.

In a nice upward trend but it got to a point where he could do better for yield in other stocks so sold his position. An absolutely safe stock. 3.4% yield.