Firstservice Corp (FSV.TO)

Surprisingly, hasn't met his goals for return performance. But starting points do matter, and it ran up dramatically prior to pandemic, so maybe it got a little pricey. Restoration business suffered due to good weather. Long-term thesis. Serial acquirer. ("Genius") founder run and owned.

On his watchlist. Trophy of a company. Never cheap but has pulled back, now a less demanding multiple. Quality compounder, strong management, large addressable market, dominant position. Pullbacks are buyable.

It has done well growing and expanding across the country. Most of their clients have enough personal real estate so he prefers not to have it in their portfolios as a way of diversification. There is some volatility as it vulnerable to a major downturn in real estate prices.

Compounded revenues at 19% a year for the last 5 years, part organic and part acquisition. Loves this type of company. Recent acquisition of US roofing company gives it another vertical. In property management, restorations, home renovations. Not cheap and never will be. Quite attractive here.

A great Canadian company. A low capex business that grows organically and through tuck-in acquisitions. They execute very well. Definitely buy on pullbacks.

It is involved in property management and franchise divisions. It is one of the largest players in the property management side and is also large in the U.S. It can grow by acquisitions and is good at integrating them.

Low capex, lots of free cashflow. Small market share, but lots of opportunity for acquisitions, which they're very good at. Contracts have inflation escalation built-in. Customers are locked into 3-5 year contracts.

Economies of scale. Market leader. Serial acquirer and compounder. Near recession-proof. Inflation-protected contracts. With more damage from climate change events, building a juggernaut restoration service, which has the potential to be a national player. Still small market share. Not cheap, never will be. Still in early innings. Yield is 0.63%.

One of the leaders in the business, but still represents only a small market share. Lots of room to grow. Inflation-protected contracts. Light capex. Incredibly well run.

Recently broke out, so it looks good. Thinks it can get back to the old level around $230. Plenty of upside from where it is now around $200. Chart's done a cup formation and a handle, and now it's breaking out. He plans to hold a little while longer.

Valuation isn't super-cheap, but has checked back to an attractive level. Property management plus various brand-name services. One interesting division is Century Fire, which checks fire extinguishers. Grows by acquisition, funded by free cashflow. Yield is 0.64%.

It is in the property management field and is well managed. Has been pinched with higher labour costs. Since it is expensive he bought Colliers International instead.

Low capex business. Lots of free cashflow. Always trades at higher multiples, but great to buy at these levels. Executes incredibly well. Disciplined acquisitions.