DH Corporation (DH.TO)

Has a really boring stable business of cheque writing, which is shrinking. A recent software acquisition has facilitated bank loans, which has been a big win for them. As they continue to integrate and develop, it will continue to create synergies.

(Market Call Minute.) Have effectively become a mortgage processor, a very successful move.

(Top Pick Sep 4/13, Up 29.27%) He would still buy it. They shed their old image of cheque printing.

US business is growing nicely and outweighs the mortgage business that has not performed as well so he would buy it.

Has had a nice run. Doesn’t own the stock, but does owned their convertible bonds. Well-run company. A stable business in forms and cheques.

Have done extremely well, and went from cheques into other sectors, and have shown themselves to be really heads up. Have done very well. 4% yield.

Getting into financial technology where they have software they provide to financial institutions. Had about 2000 clients in the US and then made a large US acquisition which gave them 5000 more. They plan to cross market and cross sell their product between their 7000 clients and they are doing quite well at it. Doesn’t own this because it is difficult to predict how well an acquisition is going to turn out.

He is very impressed. Recent results show that it has transitioned into a very major supplier of management solutions for the banks, in the states in particular. Have doubled their revenues to over $1 billion. Thinks this will just carry on up.

Have done a good job in diversifying and buying assets out of their mature cheque writing business. Has had a good run, and is digesting its gains. Reasonably valued, but not going to be a strong grower. If you own, consider taking profits, and putting them elsewhere.

Owns their convertible debentures, which have done quite well. Smart asset allocators. Able to transform the business from cheque processing to forms. They make all these wonderful forms for mortgages, etc. and this is a growing business in the US. You have to be patient with this type of company. Has a reasonable payout ratio. Be patient and know that it will grow 3%-5% a year.

(Top Pick Apr 26/13, Up 40.31%) The deal in the US was transformational. It will move sideways for the next little while. Doesn’t think they will increase the dividend for a while.

Great dividend payer. Chart shows a long upper trend from the middle of 2012. Great chart. Nothing wrong with this picture. As long as it doesn’t break the trend, stay with it.

Made a great transition from cheques into loan compliance services, registration of property liens and student loan portfolios. 4.1% yield is attractive. Growing its earnings in the high single digits and trading at about 13X earnings. Thinks it is fairly valued.

Loves the company, but would not buy here. It has some support at $29. He is not buying it. But would on a 10% pullback.

Likes it. It is the example that yellow pages should have followed. They took the cash flow from cheque printing and used it to leverage themselves into financial services. Likes the growth process 5-7% organic growth and he would not be surprised to see a dividend increase this year.