Viterra Inc (VT.TO)

COMMENT
One of the hottest sectors during the last couple of years. Agricultural sector tends to have very strong seasonality characteristics. Have not shown up as well in the last year or two because fundamentals of the industry have been so strong. Historically, the best time to Buy his around the end of June when they do very well until the end of December. For an agriculture stock, he would prefer Deere (DE-N), which is both agriculture and infrastructure.
BUY ON WEAKNESS
Likes this stock. Agriculture is the right industry group as everything is doing well. Very close to record highs, which scares people so wait for the $13.50 level before buying.
TOP PICK
The best of the companies in the agricultural space. Brilliantly run and brilliantly diversified.
WEAK BUY
The best agricultural stock in the Canadian market place. Their merger was good. They’re in a very strong pricing environment. Can trade at a higher earnings multiple than it is right now.
TOP PICK
The full wrapper for agriculture. Expecting to double their cash flows over the next year. Was out of favour for 18 years, has a number of years of strength in front of it.
TOP PICK
This stock had a big upwards gap. This stock has made a recovery high. It’s doing very well. It went through a big reorganization, new names, new people. Great stock.
TOP PICK
Formerly Saskatchewan Wheat Pool. Tremendous management and have had great results. Subject to the vagaries of the weather it should continue to do brilliantly. Thinks it's capable of breaking out from these levels.
COMMENT
(Caller - Wheat is at $25 a bushel, but this stock hovers around the $12 mark. Why?) There is a disconnect as they are benefiting from the movement of grain but not from the price. Analysts’ target prices are only slightly higher from its current price. Have been resolving a lot of their assets in terms of restructuring. Like their acquisition of Agricore. A better way to attack the issue is through Potash (POT-T) or Agrium (AGU-T) although the direct way is buying commodities.
COMMENT
Seems a little on the expensive side. Still doesn't understand where all their earnings come from so he hasn't bought this. Not sure how it all works. He does like the agricultural cycle and thinks it will continue for a while.
BUY
Thinks this gets dragged slowly along with other agricultural items. Brilliantly run. A good one to hold. Won't give you the super spikes that you are getting with other areas of agriculture.
COMMENT
Love's agriculture but has trouble finding things to buy. It should be able to make a bag of money with prices where they are but it really hasn't taken off.
PAST TOP PICK
(A Top Pick Oct 24/07. Down 0.68%.) If you want to trade stocks, this is one that is all over the place. The longer-term trend is up. Really believes a portion of all portfolios should be in agriculture.
BUY
He has a target price of $12.84 but thinks it could easily blow through there. They control about 42% of the Canadian market and they have a lot of upside. Have additional debt, but the balance sheet is much bigger so they can support it.
DON'T BUY
Cheap relative to the other agricultural areas but not mispriced. Model price is $12, so basically it is right on its model price.
HOLD
Has had too much of a run for him in the near-term. On a good pull back, may be worth looking at.
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