Alaris Equity Partners Income Trust (AD.UN-T)

Good track record, meaningful insider ownership. Didn't like that it pays out most profit in distributions. Rather than retaining capital to grow, raises equity to do acquisitions. He likes companies being self-financed.

Has done fairly well recently, but still thinks there's more that can come from it. Has diversified its investment holdings. Doing better and better. As it gets larger, seems to have more opportunities to make substantial additions to its portfolio. Yield's not what it used to be, but still pretty good and expects increases.

EPS of 69c rose from 61c last year and beat estimates of 53c; revenue of $42.1M was marginally ahead of estimates. EBITDA fell 16% to $33.5M and was marginally below estimates. With a royalty company, the main concerns are the sustainability of the dividend, the quality of its portfolio (AD has at times had investments that stopped paying it its royalties) and its ability to continue to add royalties. The company has had a long, and generally successful, history. Payout ratio is fine at 53% and it has managed to de-risk its business with improving debt ratios. It is still a fairly small entity and with companies at times paying 15%+ there are to be problems on occasion. But we think it is priced well to reflect these concerns and would consider it a decent small cap income stock. 
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Very well prices for bargain hunting investors. Wide range of industry exposure. Ability to deploy capital very strong, with excellent returns. Overall a strong business. Reliable dividends that are expected to continue. 

He's suffered through the ups and downs of the capital, but it's always paid its dividend, even increased from time to time. Diversified. Will continue to do well. If you didn't own a lot, he'd be looking to add. Yield is 10%.

Management good at diversifying. A recent Top Pick. Growing fairly well over the last number of years. Previous years did see some stumbles. Internal rates of return on investment have been extraordinary. CEO an extremely good manager. Impressive yield over 8%, which should increase as cashflows do. More assets in US than Canada. No hesitation in recommending.

EPS of 74c beat estimates of 59c. Revenue of $51M beat estimates by 7%. 
EBITDA of $53M beat estimates by 29%. Revenue rose 36% but earnings did fall year over year. 
The forecast calls for a revenue run rate 2023 of $151M. This is about $6M less than estimates. 
Payout ratio was only 39% due to less cash taxes paid. 
We are comfortable here and consider the results OK. The stock is very cheap. 
The decline today is likely the weak market and profit taking more so than disappointment on the quarter.  
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Has been a top pick before, but has had its ups and downs. Now, they have a good balance of companies they're invested in. Can payout their payout even in a downturn, and they payout is much lower around a payout ratio of 65%. They have been investing in common stock of some companies, which has worked, and they could be investing for third parties. Pays a tremendous yield of 7%. This trades around book  value and cash flows are stable that will grow. So, he'd like to see the yield decline over time.

(Analysts’ price target is $21.00)