This week there were 23 Top Picks and 2 ETF in a wide range of industries: Financials, Industrials, Technology, Basic Materials, ETF, Consumer, Telecommunications and Energy.
It has a 3% dividend yield and trades at 0.8-0.9 times book value. They increased profitability by reducing costs. They took less of a loan loss provision than the other banks. They have a great balance sheet and will continue to pay their dividend. They have a great capital markets and wealth management business. (Analysts’…
It's done so well over the years, you buy it when others don't want it, there's a lid on the price, and there's some negative press. He wouldn't bet against them.
They collected 99.5% of rents in July, a great number. Leverage is high. They pay out 100% of their AFFO, so they won't raise their dividend. She likes this, but prefers Granite REIT.
He thinks they failed on several fronts. Their insurance division faces interest rates that are zero or going negative. If we stay in a deflation world, it will be hell for them for the next several years. He sees no reason to own this right now.
(A Top Pick Oct 04/19, Up 7%) Has great assets like toll roads, airports, railways, seaports. Low interest rates mean that pension plans and lifecos have to buy into these types of assets to lock in long-term yields to meet obligations.
(A Top Pick Jan 22/19, Up 36%) There is some cyclicality in robotics in Japan, but they are one of two world leaders. He still owns it.
(A Top Pick Jul 04/19, Down 11%) Sold last month. Started to underperform the broader S&P. Recycling segment is hurting the company.
It's doing better now. Their sonor device looks for underwater mines and does underground mapping of pipelines. Earnings are expected to leap to 5 cents in 2021 to give it a 10x PE. If so, then there's a $1 target minimum. Lots of upside.
(A Top Pick Sep 05/19, Up 21%) It's not an expensive stock and has a moat around itself. About half of all advertizing today is digital. Google owns 30% of all digital advertizing in the US. They continue to execute very well. They continue to grow. They are 70% of all search.
It has been a great company in the last decade. However, he has always hesitated buying China-based business due to political risk like what is happening with TikTok. You can get exposure to similar themes in North American with companies like Amazon or Google.
(A Top Pick Jan 22/19, Up 2%) There are the leader in programmable chip technology -- this fits well with autonomous driving. He will stick with it.
After the last crash, its value was decimated. He saw it as a utility company, as people need to pay MSFT to upgrade. Tremendous job of growing its cloud business. He's not selling anytime soon.
Cyclicals haven't bounced that much off the bottom. Driven by global growth, which has lagged tech. Still a good company, generating free cash, good vertical integration, paying down debt. Stick with it.
$20B market cap that operates in N Ontario and California. A very big free cash flow yield. Earnings, sales are both up nicely. They are undertaking a new drilling program that could potentially offer high grade underground deposits. A potential 10-17% upside. (Analysts’ price target is $79.82)
Doesn't own any base metal stocks. Chosen to stay away from very cyclical areas of the market. Recessionary environment, so tends to be oversupply for some time. An uneven recovery. You need not only China to recover, but also Europe, etc.
A past pick of his for Canadian investors. TLT does a great job of being a ballast in times of distress. Lower interest rates drive bond rates And the Canadian dollar will drop and the USD will rise. This amounts to a double-whammy for TLT when thrives in tough times. It's possible that rates can…
(A Top Pick Jan 16/20, Down 9%) They bought this 2-3 months ago. The market was quite negative in 2018 and it has been consolidating. It's building a base right now. He feels that it will return and breakout.
This segment will likely come out of this doing well. They will benefit from increased consumer thriftiness. He has others out there he prefers in this market segment, where growth opportunities are better.
(A Top Pick Aug 22/19, Down 3%) An online travel marketing machine without fixed costs. Adversely affected by the pandemic. He sold. Market is building up the price on hopes of a vaccine and a recovering economy. Likes the concept, but not the right time.
Stockchase Research Editor: Michael O'Reilly This discount retailer released strong earnings and continues to expand its business. In its earnings report released today EPS of $3.12 beat expectations of $2.47 and were up 92% from the previous year. Same store sales are up 15%. Management plans to complete a $2.5 billion share buyback by end-January.…
The dividend is safe. All telcos are good at increasing their dividend yearly. BCE pays 5.9%. She buys this below $55. A solid income stock.
It remains a top holding for him. The company is cheaply valued relative to asset quality and balance sheet strength. He thinks it's too cheap to last and the sector will probably consolidate. He expects it to be acquired at a meaningful premium.
Right now, you want to focus on oil over gas, and in the small to mid cap space. He's always struggled with owning this. Highly leveraged. There are better opportunities. It's going to be a laggard. For now, you want to be in name brand companies.
(A Top Pick Aug 13/18, Down 61%) They disenfranchised the Canadian shareholders. He sold out sooner before the de listing, so did not do as badly, nor did his subscribers. He disagrees with their move.
Debt concerns? BXE took bankruptcy protection when debt became too much. There is no equity value in it any longer. Companies that have debt that matures in 2020 or 2021 will have issues. He sees no issues with BIR or TVE on this topic. The new Federal relief program for large companies may be difficult…