Stella-Jones Inc. (SJ-T)

Earnings not as good last quarter (recent for share price weakness). Overall - a strong business that is consistently profitable. Consolidation in sector will help. A great example of a cyclical growth company. Would recommend buying on weakness. 

Pulled back based on underlying demand. Businesses are pretty steady-eddy. Infrastructure buildout would help, but questions surround new US administration. Interest rates ticking up means home renos have ticked down. Don't step in here.

Hurricanes (needing lumber replacement) can't be predicted from one period to the next. Investors want to see predictable, recurring revenue and cashflow.

EPS was $1.42, missing estimates of $1.75; revenue of $915M missed estimates of $1.01B. EBITDA of $162M missed estimates by 12%. Lower sales of utility poles was the main reason for the miss. Updated 2025 revenue guidance was also below consensus estimates. Margins were weaker as well. Total sales fell 3.6%. Lumber sales fell 19%. Net income fell 27%. It was a big miss from a usually-reliable company. We would not react here, as the utility issue could be temporary. But certainly not a good quarter. 
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Owns shares, and will continue to own. Has taken partial profits, but has been considering adding more. Well positioned in utility poll business. Strong brand with excellent prospects. Climate change actually good for the business (replacements with disasters). Strong management tea with excellent return on equity. 

Large utility pole business. Strong performance resulting from increased power demand. Unsure of demand for products - would prefer utility providers (not components). 

Does own shares at this time. Likes company overall - building continues in Canada. A good company to watch. 

Likes basic materials in general, the WOOD ETF is performing pretty well. SJ is a special business. Good earnings  growth. He'd be comfortable owning here.

Not a monopoly, but biggest market player in railway ties and utility poles. Behemoth. Earnings beat today, solid results, net income up nicely, increased dividend by 22%. Shares dropped during today's conference call, due to commentary on "customer budget constraints". Still, US and Canada infrastructure spending to come.

Important business now, and will be going forward. Attractive multiple, very high returns, balance sheet quite strong. Likes it.

Very simple business, has done well, the only game in town. Stock's done so well, it's too expensive. He'd need to wait for a pullback. 

US infrastructure demand is lifting shares. Well-run and returns are higher than the market. Trades at a good PE. Buy on dips or even now and hold long term.

Darling in market the past year. Railway sector very strong. Federal government always spending on railways. Would recommend buying for the long term. Current valuation very attractive. 

It was a top pick pick a while ago and he sold a bit too early. It is well positioned for an increase in infrastructure demand since its products are needed for enhancing the grid. It is a long term buy but you could wait for a pullback.

NA's largest supplier of railway ties and utility poles. Owns and operates timberland and sawmills. 75% of demand comes from replacement work. Product is cheaper, more environmentally friendly, and lighter than alternatives. Attractive valuation of 14.5x earnings. Buy here, hold for long term. On a pullback, he'd buy aggressively. Yield is 1.5%.

Is tied to infrastructure which is a great tailwind. They make utility poles which need replacing in fires, so they benefit from climate change. The PE remains reasoanable.

Very boring business - railway ties & telephone poles.
Excellent business model.
Still has room for share price to increase.
Owns shares in company.
Very strong management team.