Stockchase Opinions

Michael Smedley Canada Cartage Diversified Income Fund TRK.UN-T BUY Apr 20, 2006

Very high-quality transport freighting company. It's not out priced compared to its issue price. Respectable yield at 9.3%.
$10.800

Stock price when the opinion was issued

Transportation
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TOP PICK
New trust in March/06. Payout ratio of about 75%. Yield is about 9.2%. Like its business model. They basically have configured fleets to serve specific customers and are dedicated to those customers.
HOLD
A great name. As long as there is robust economic activity in North America, they will do well. Most of the easy money has been made.
PAST TOP PICK
(A Top Pick Apr 28/06. No change.) A great business model. Should continue to do well.
DON'T BUY
Economy cyclical. Exposed to the Quebec, Ontario and midwest corridor, so he is cautious on this. Great management and good business model, but doesn't like the cyclicality.