This is the parent of Sobeys. They are shaving costs. Earnings have been growing phenomenally even though sales are almost flat. They offer a 1.7% dividend and have a 6.1% free cash flow yield with strong projected earnings growth. (Analysts’ price target is $29.18)

He has owned it in the past.  They had a good run and a year ago put in a plan to cut costs from their business.  They have razor thin margins.  It is a very competitive business.  He does not like to buy these kinds of businesses.  EMP-T also has CCR.UN-T REIT but you are in an industry that is so highly competitive with AMZN-Q and so on that it is hard to own it at this price.

(Past Top Pick on January 26, 2018, Down 0.4%) He believes this will do well. Since last September, it's seen an up channel. He continues to prefer this over the other Canadian grocers. Good management with a program to expand revenue in the next three years. He doesn't fear a challenge from online grocery shopping--he wants to feel tomatoes before he buys them.

This company owns Sobeys’, who acquired Safeway. They have turned things around and “Project Sunrise” is working to centralize things. Same-store traffic and margins are improving. They are doing very well in a very competitive sector. The stock now has momentum. Yield 1.7%. (Analysts’ price target is $28.28 )

A year ago they went through a restructuring and then a big acquisition in Safeway.  They were left with a banner that had few discount brands in Western Canada, then tinkered with their loyalty program and that upset consumers.  Last quarter the results were not liked.  He used to have it but now prefers WN-T or L-T. 

This has rebounded quite nicely off the low, and are showing signs that the turnaround is working. Whether to buy it today is a very tricky decision. He doesn’t think you can understate the impact of the on-line threat. They are dealing with razor thin margins, so what happens when they start shipping out their groceries at $10 a box. He would stay away from the whole group.