Neulion (NLN.TO)

This is considered as a good growth stock. They take the video from a lot of the sports leagues such as the NHL. They take all the data from the games, compress it and then send it into different formats so that we can watch it on our mobile devices. There is a lot of growth in this area, not only from sports, but from the TV Everywhere. Most cable companies are now rolling out some sort of TV Anywhere package. At this point the company is a North American story, but he thinks it will grow into a global one as they discover and work with more broadcasters. Recently acquired DivX, which adds to their platform. Feels they have a very strong future ahead of them. Wouldn’t be surprised if they got acquired at some time.

Video streaming for the NHL. This has done well. Had a big run up last year, but has come off a bit. Likes the product, but not enamoured with the valuation. Also, not his type of company to invest in.

The current ranking is in the bottom 3^rd of his database, in part because the PE multiple is based on earnings estimates for 2015 of 30X earnings, but if it turns out the company is successful in meeting analyst forecasts for 2016, the PE drops down to 12X against 27% earnings growth giving a PE to growth multiple of about 0.5. Anything below 1 is viewed as attractive. ROE is attractive at 17%. They provide college basketball and football games, and he thinks there is pretty good growth opportunity for them. Pretty good opportunity over the coming year.

An American company listed on Toronto. They did a reverse takeover of a company in a similar space. Mostly US$ revenue. Also, an arrangement with Rogers. Loves the company. It is the backbone for live sports streaming. They have a huge international market to go after. A great hedge to a traditional broadcaster. It could be a takeover candidate over the next few years.

They are the back end for video streaming services. The big story has been hockey streaming with Rogers. They recently reported and it was a disappointment on the Rogers side. He is out of the stock now. He likes to see continued earnings momentum.

University and college basketball games in the US primarily. Thinks it will continue to do well. It pulled back but now it is moving back to recent highs. Thinks there is an opportunity for them to do better. He is following it and will possibly establish a position.

He is a little shy of penny stocks because they don’t chart as well. However, this one does show an uptrend. If it makes new highs, make sure the volume increases. What you don’t want is a breakout with new highs on low volume. Also, watch the old highs and watch for selling at that point.

High risk/high growth name. Profitable.

Likes a lot. Thinks they are going to continue to gain share in sports, online streaming, and providing backbone for those services. The new NHL apps that they are powering are fantastic. The reason it is not a Netflix is that the demand for sports content is not there. Thinks the stock is going a lot higher. Growing at about 30% on the revenue line, and which might accelerate over the next year.

Was a top pick and is a top holding right now. He is not selling any time soon, based on NHL deal with Rogers. Don’t worry about the volatility, just watch the quarterly results. It could be a takeout candidate in the next few years. They have the market locked up and have a recurring revenue stream.

They help with watching different sports online and have a deal with Rogers (RCI.B-T). Had always thought the stock was fairly expensive.

(Top Pick Sept 30/13, Up 104.00%) Rogers is using them, as is BNN. Thinks you will see more deals like this with sports leagues.

Has a technology that allows them to compress and stream different feeds through their system. Their biggest client is the NHL which films their games. If you go to the NHL website to watch the 2 minute highlights of the night before, that is this company’s technology. It also allows them to send it out to all different devices. If you use an Apple, Blackberry or an iPad, that all has to be compressed and modulated for that specific device. This is what this company does. Going forward, there is going to be so much more viewership on mobile devices. Thinks this will continue to grow and do well. Sold his holdings at about $1.10 and is waiting to see what happens with their earnings over the next couple of quarters. If he sees acceleration in earnings again, that’s when he will probably move back in. Major league baseball is one of the only major sports that doesn’t use this company’s technology.

NFL is a big customer. Agreements with all the big sports events. They have the market locked up.

They are very impressive. They are going onward and upward. They did the world soccer.