
TSE:HLF
This summary was created by AI, based on 1 opinions in the last 12 months.
High Liner Foods (HLF) has recently seen a significant uptick in its stock price, reaching a multi-year high. This increase is attributed to the acquisition of Mrs. Paul's and Van de Kamp, which aligns with HLF's strategy to diversify its global supply chain. While there is a slight immediate negative impact on earnings of 1 cent, experts believe the long-term strategic benefits justify this. The acquisition is expected to add $75 million in sales to HLF's existing base of approximately $950 million. Currently, HLF's stock is trading at 8 times earnings, which many view as attractive, especially given the strong year-to-date performance of 18%. However, there are concerns regarding the company's high debt levels. Overall, the deal and the upward momentum are seen positively, making HLF a suitable investment for more aggressive investors, particularly in tax-advantaged accounts like a TFSA.
Clearwater Seafoods (CLR-T) or High Liner Foods (HLF-T)? Both have done quite well. Feels the trend is your friend on these stocks. Revenues are climbing and the margins are strong. Hard to buy a stock that has gone up like these but they are going to go higher. If you don’t own, wait for an opportunity to buy.
Fish food processing. Seems to have found the magic formula for acquisitions using debt. Debt is about 3X equity. Did a very big acquisition in Iceland with a hostile bid for a privately held company. This gives them a big part of the East Coast US. Won’t have top line growth but are putting on cash flows like you wouldn’t believe. Very good managers.
(A Top Pick Aug 11/11. Up 28.54%.) Pays a dividend of $.40 a share. Have made a terrific acquisition by getting assets from Icelandic Group giving them an entrée into the US, retail, grocery and food service. Took on a lot of debt but are already paying it down. Trading at 8X earnings so is still very cheap
A defensive, staples play, probably something you should not pursue. Struggling to get above 20 and 50 day moving averages, underperforming markets. Stay away from it. Look for it to improve in the summer time – a good place to hide then. He wants to see relative strength improve and break above 20 and 50 day moving averages.