Pall Corp. (PLL-N)

(Top Pick June 23/14, Up 47.24%) It is in the process of being taken over. The deal will close later this year. He views it as cash. He has been building cash to between 15-20% because he thinks the market will sell off at some point.

It is being acquired. An excellent company that got an attractive bid with 10 times 2016 earnings. It has high recurring revenue. The risk reward is not in your favour. This is the highest multiple paid in that industry in a long time. What if the deal gets called off? The risk/reward is not in your favour.

They make filtration systems. It is a great business because the customer can’t go to anyone else once they start doing business. Being acquired is a good fit. It is a well run company. It will work out in the long run. If you want to get out to move on to something else, then you could do that. He would take the stock you receive.

(A Top Pick June 23/14. Up 46.34%.) Being acquired. He will tender the stock when the takeover is done.

(Top Pick Nov 25/13, Up 13.45%) The profits are in the continuing supply of membranes and filters.

They make a sale by selling to municipalities and then sell filters to everyone else.

Water filtration systems. Has done very well and is up 50% in the last year, so you are not buying it at a particularly cheap valuation. A lot of the good news is in the price. It is 30X PE. However, it is a well-run company and this is one of those big demographic plays, because people need fresh, drinkable, safe water in the emerging markets. Also, we in the developed markets need to replace some of our early 20^th-mid-20^th century infrastructure. Wait for a bit of a pull back.

Filtration. It never goes on sale, gradually increases its dividend.

This is in the fluid filtration business, which has been a big growth business. They sell the infrastructure, but make the money on their filters. You have economic sensitivity in this through industry and you have growth through finding new customers. They are very good at what they do.

(A Top Pick Dec 20/12. Up 36.77%.) A very quiet, sleepy type of company. They do filtration.

Water Filtration Business. Main customers are municipalities as well as Pharma companies and blood services. The stock is never cheap. They make money on the consumables and it is a growing business.

Filtrations systems for a range of industries. 80% of revenues are recurring. Dividend growth profile, buys back shares, very, very good balance sheet, well globally diversified, 1/3 in Asian, 1/3 in US, rest in Europe. Buy on weakness for shorter term or now for longer term hold.

(A Top Pick Aug 26/11. Up 15.15%.) Manufactures filters. Doing well but they have a lot of exposure in Europe so they have had to temper their earnings expectations. Still growing very nicely.