George Loughery
Quebecor World Inc.
IQW-T
TOP PICK
Mar 15, 2005
A contrarian pick. Deep cyclical company, hasn't gone out of business and has started to improve a little. Initially improvements have come through cost cutting, but expects it to eventually come though operating leverage.
Hasn’t been his favourite company. Has been cheap, but in terms of the earnings profile, it hasn’t been that strong. Advertising world is still under pressure.
Had a big breakdown in August followed by another big breakdown in November. At this point, if you are brave you could look for a recovery rally but, remember the saying “don't catch a falling knife”.
This is on his Stock Watch list. As a contrarian, he likes to avoid a falling knife and this one is still falling precipitously. Could possibly go into receivership.
Under bankruptcy protection but keeps signing contracts. Think of this as a lottery ticket. A good example of a company that got too greedy. They could have sold a lot of assets much, much higher before going into bankruptcy.
Still in reorganization. Usually in these cases, common shareholders get diluted down to about zero. Paper business is seen as a 19th century business, not a 21st.