Gibson Energy (GEI.TO)

(A Top Pick April 30/12. Down 4.08%.) Ever since their IPO they have consistently done better than predicted. Just reported 2^nd quarter which was a miss because of its US acquisition Omni. Getting evidence now that this is going to be better. Still likes. He could see $28.

(Top Pick Aug 13/12, Up 8.16%) Recently came out of it over the last few weeks because an acquisition was giving them some difficulty. The numbers are going the wrong way right now.

A support level where it is at. A fantastic stock, takes advantage of the differentials in oil prices.

Infrastructure, which is the highest quality earnings, is only 20% of their earnings and is a bit of a concern. The rest of their earnings is servicing and marketing, which is lower quality and less visible but have been doing well with them. Only trading at around 8.7X EV to EBITDA versus Pembina (PPL-T) which is trading at around 17X.

(A top pick June 29/12. Up 24.32%). Still likes. A diversified midstream company, not only in Canada but also the US. They service the oil companies to make sure the oil gets from the well head to its destination. 4.5% dividend on only a 6% payout ratio so they have room to grow that.

(A Top Pick June 21/12. Up 21.82%.)

Likes infrastructure plays (midstream assets). $3 billion market cap. IPO’d in June/11. Does some extraordinarily valuable things making sure that oil is terminaled and transported. It is a prime beneficiary of the railing movement of oil through Canada. Huge trucking fleet and has a lot of pipelines and other storage units. Company is investing a tremendous amount back into their business. Jumped the dividend 3 times in the last 18 months. 4.22% dividend yield.

Likes this because it is more about transportation. Loves the pipelines and the fact that we have to get the oil out. He has a $31 target on this one. 4% yield.

(A Top Pick June 21/12. Up 27.62%.) Trimming his positions. Still a great company but, post their Omni transaction that they did in the fall, the stock is now only about 40% infrastructure, which is what attracts the big market multiples. Has gotten ahead of itself.

Diversified in the energy deliverability space both in Canada and the US, whether it is trucking operations, rail terminals or marketing of propane and other liquids, they continue to do well. Pays a healthy dividend of 4.3%. A core holding for any portfolio.

(A Top Pick March 9/12. Up 30.09%.) A midstream company so it should benefit from whatever the infrastructure growth will put in to deliver oil to the US. Have several different things including storage tanks. Have also benefited by the crude by rail to the US. Dividend yield of 4.3%, which she sees as a growth dividend.

Likes this company and transportation. Benefiting from not enough pipelines being available to ship oil. Target of $29.

Moving fluids, trucking, handling oil, bringing it to railway terminals. A lot of growth projects ahead of them. Gives a good blend of 5% dividend and 5% growth opportunities. Growth opportunities are the most visible he has seen for this type of business over the last 5-10 years.

Mid stream company, a toll road. 4.2% dividend yield. Just increased to this this morning. Payout ratio is under 60%. Excellent cash flows. Because it is an infrastructure play, the gains are capped at 10% plus dividend.

(A Top Pick May 15/12. Up 19.42%.) Had a rough day yesterday when it got downgraded by a bank. Probably a buying opportunity. Midstream energy player but a lot less contracted revenue than some of the others. Have the ability to take advantage of the spreads that are hurting all the Canadian producers. 4% yield.