Amdocs (DOX-Q)

One theme she really likes is a company that provides products and services that other companies simply can't live without. This company is so ingrained with other businesses processes. They work with AT&T, BCE, Telus, Rogers and Vodafone. Do back-end billing, making sure you are getting charged what you are supposed to be charged for all the services and back end functions. A great stock.

(A Top Pick Feb 9/17. Up 13%.) One of his favourite companies, because their business is so sticky and they generate a tremendous amount of cash flow. Supplies all the billing and back-office support for telecom and cable companies. Switching costs are very high. They have no debt and generate a tremendous amount of cash flow. Grows their dividend at a nice clip every year.

(A Top Pick Feb 9/17. Up 8%.) Provides the back office and billing support for many global wireless carriers. AT&T (T-N) is a 30% customer, so when you get a bill from AT&T, this company is providing that and doing all the support behind the scenes. Has a recurring revenue and generates a lot of cash flow. Has no debt on the balance sheet. For the last 10 years, they’ve been buying back stock at 4% annually. Trading at about 14X earnings. Have grown the dividend about 30% annually for the last couple of years.

(A Top Pick May 24/16. Up 10%.) This is just consolidating some good performance. She likes this because it is so central to wireless companies as they merge with cable and Internet companies. Thinks this will continue to do well.

His favourite company that no one knows about. A $9 billion dollar company that does billing for telecom operators. Switching costs are very, very high. It has a 1.3% dividend yield, which has grown 15% annually for 3 years and they have bought back stock for 10 years. 80% of their business is recurring revenue. (Analysts’ target: $ 63.11).

(Top Pick Feb 19/16, Up 4.26%) She is not happy with the return over the last year. There are concerns about AT&T spending. But they are doing interesting things on the networking side. She likes companies that other companies can’t live without. She thinks there will be a lot more penetration to telecoms globally. They have a 7% free cash flow yield.

This company does the back end for a lot of the telco companies and the cable companies. When you had your 1^st cell phone, you had minutes, but now you can bundle with half your office plus your grandmother, etc. It is so complicated trying to figure out how much data you are using and what you are getting billed for, and this company puts all that together. AT&T is their big customer. Dividend yield of 1.36%.

A leading provider of billings and customer management services to telco providers. They are really global. Their specialty is with the complexity of product offerings increasing. This past quarter they announced a number of good contract wins. Have a little bit of a headwind with AT&T delaying a little bit of spend in the US, but the trends behind this kind of a story are strong on a multiyear period. Dividend yield of 1.35%.