Danesh Rohinton TMX Group X-T WATCH Jul 25, 2024

Business depends on new listings, and right now there are fewer IPOs. It's grouped as a financial, but he sees it as a tech platform, and that's where the difficulty is in assessing it. Not looking to buy.

Stock exchange plus sells data. Good businesses. Fewer IPOs contributed to a slump, but next year will be better. Will grow its data offerings through AI. Good investment over the long term. Not a bad place to buy here.

Very strong business with excellent business model. Stock performance has been very strong. Data and analytics business also expected to rise. Steady dividend growth with 2% yield. Trading at 20x earnings. 

Recent all time high in share price. Owns shares and will continue to own. Capital light business that is able to generate strong profits. Well executed investor day recently. Has a diverse offering of trading platforms. Would recommend holding for the long term investor. A majority of revenues are recurring which is excellent for profits. 

Rising with the market. Pop in July. We've had a correction, but it's important that it hasn't corrected back to where it broke out at $38.50. At this point, it's just a correction within an uptrend. On RSI, nicely in the upper half, doing pretty well.

We continue to like TMX group. They should continue to benefit in an uptrending market and from a valuation persepctive, given the stability and steady growth, we don't view the 23X P/E as particularly 'challenging'. If a bit more deal activity comes back in the New Year, TMX should see an extra tailwind as well. For entry price, we think something in the range of low to mid-40's here makes sense.
Unlock Premium - Try 5i Free

One of his largest positions. Very well run. Likes that it got into owning and selling proprietary data for ETFs and the energy industry. Phenomenal business model. Double-digit grower. Valuation quite reasonable. No plans to sell.

One of his top 10 positions. All of the exchanges are trading well. Volumes are strong. Has held up during recent weakness. Trading better than 92% of companies in the S&P over the last 12 months. Nice steady earnings growth ahead of it, nice dividend growth.

Consistently does well. You might want to wait for it to pop down. Decent one to buy now and hold for 5-6 years.