Buy, Sell or Hold: Stella-Jones Inc. (SJ-T) — Stock Predictions at Stockchase

TSE:SJ

33.04

0.52 (1.60%) 1d

Showing 1 to 15 of 133 entries

DON'T BUY

Has owned them before, not now. Very good returns in the mid/high-teens, but they're tied to cyclical lumber. See better opportunities elsewhere. That said, it's a strong company, but doesn't meet his returns metrics.

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PAST TOP PICK

(A Top Pick Jun 23/21, Down 17%) Core position of portfolio. Is very defensive position. Most sales recurring (railway ties etc.). Residential lumber business continues to grow even after the pandemic boom (people renovating homes etc.). Returning capital to shareholders through dividend increases and share buybacks. Share prices very low and presenting good buying opportunity.

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Unspecified

Makes railroad ties and utility poles as well as re-selling lumber and value added products. Ties and poles have to be replaced so it is a stable business. Previously owned it then sold it pre-Covid. The CEO retired and there was insider selling. The price hasn't really moved anywhere.

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PARTIAL BUY

Well managed for many years, focused on railway ties and have expanded into wood products, but got caught up in the lumber price downturn. That hit the stock. Also, exports to China has declined due to Covid there. Lumber is in a cyclical downturn, so this is a tough call. Share have fallen into the mid-30s. The value remains, but market momentum will remain negative to 6-8 months. But this fear may be baked into shares now.

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BUY

Sell Vermilion to buy this? He entered this starting last year, because of its lumber business. SJ is a ply on infrastructure, say building ports which need lumber. The stock has trailed since late last year, but current PE is attractive. He would add to this long term. After the current mess in the economy, there will be infrastructure spending.

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BUY on WEAKNESS

It has broken the technical support level and the downside is behind it. There is a trading opportunity at $35. It has a strong fair market value and a 2% yield.

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BUY

Enjoys a duopoly. Their lumber business saw a pandemic bump as people renovated their homes. SJ is still growing in lumber to pre-pandemic levels. Shares have fallen, because it's seen as a Covid stock, but it trades at a cheap 11x earnings and generates big cash flow. Are buying back shares and raising dividends. You can't get safer than this and will enjoy demand in providing utility poles as there is more green energy added to the grid. (Analysts’ price target is $52.31)

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COMMENT

He bought this 8 years ago, because he thought it was a simple business: rail ties and telephone poles. What could go wrong? Well, the replacement cycle of the latter is hard to calculate, and railways don't replace the former not often. Also, spiking timber prices hit this company. This is trading near 52-week lows. A good company and it should do well over time. But there were more problems here than he expected.

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BUY

Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. The EPS beat estimates at 34 cents. Sales were 6% better than estimates at $545M. The dividend was also increased by 11%. Generally, the quarter was solid and guidance was good. The dividend bump gives further confidence. Unlock Premium - Try 5i Free

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COMMENT

Used to own it. In 2022, industries like this will likely get ahead of the market. Tech stocks will fare poorly in the face of rising rates vs. stocks and industries like SJ.

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BUY

Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. The stock has been trading horizontally for the past 5-6 years. Dividends have climbed steadily. Sales are growing and it is profitable. Valuation is decent, though EPS growth is muted. If they demonstrate solid revenues and EPS growth in the next few years, it could perform well. Unlock Premium - Try 5i Free

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STRONG BUY

Even though lumber is a quarter of their business, utility pole replacement is a large part of their business along with railway ties. If you normalize lumber prices, the stock is trading at an all time bargain at 13x earnings, with lots of free cash flow and the company is buying back shares. They could boost the dividend if they wanted to and are looking at acquisitions. One of the highest quality stocks trading at great value. He owns it and would it to put it away.

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BUY

Decimated today, as it revised EBITDA down. Stock's so cheap and company's so profitable, it's a great time to buy. Huge surge in profits last year. High quality. Lots of room to grow the dividend. Back in acquisition mode. Long-term hold.

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TOP PICK

They have a lumber business, pressure treated, in addition to utility poles. We are going to see massive build-outs in terms of ports and so on and this will benefit SJ-T. There will also be a need to increase the building of homes. (Analysts’ price target is $53.69)

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BUY

Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. The stock was upgraded to outperform this week by an analyst at Scotiabank. Price target by another analyst at TD was cut from $56 from $57. The stock has popped 10% following the upgrades. Unlock Premium - Try 5i Free

misc industrial products

Showing 1 to 15 of 133 entries

Stella-Jones Inc.(SJ-T) Rating

Ranking : 4 out of 5

Bullish - Buy Signals / Votes : 11

Neutral - Hold Signals / Votes : 0

Bearish - Sell Signals / Votes : 1

Total Signals / Votes : 12

Stockchase rating for Stella-Jones Inc. is calculated according to the stock experts' signals. A high score means experts mostly recommend to buy the stock while a low score means experts mostly recommend to sell the stock.

Stella-Jones Inc.(SJ-T) Frequently Asked Questions

What is Stella-Jones Inc. stock symbol?

Stella-Jones Inc. is a Canadian stock, trading under the symbol SJ-T on the Toronto Stock Exchange (SJ-CT). It is usually referred to as TSX:SJ or SJ-T

Is Stella-Jones Inc. a buy or a sell?

In the last year, 12 stock analysts published opinions about SJ-T. 11 analysts recommended to BUY the stock. 1 analyst recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Stella-Jones Inc..

Is Stella-Jones Inc. a good investment or a top pick?

Stella-Jones Inc. was recommended as a Top Pick by on . Read the latest stock experts ratings for Stella-Jones Inc..

Why is Stella-Jones Inc. stock dropping?

Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.

Is Stella-Jones Inc. worth watching?

12 stock analysts on Stockchase covered Stella-Jones Inc. In the last year. It is a trending stock that is worth watching.

What is Stella-Jones Inc. stock price?

On 2022-07-07, Stella-Jones Inc. (SJ-T) stock closed at a price of $33.04.

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