23 Stock Top Picks and 2 ETF (Jan 18-24)

He owns more American banks than Canadian. He likes the longer term outlook for the space. Longer term BAC will continue higher.

Buffett has bought many private companies at good prices and they have performed well over time. Recently, the stock has underperformed. He is running into the law of large numbers: when a company gets very large, it is hard to continue to grow at the same rate. The company’s management is evolving, but what will…

A huge play on e-commerce. One of their largest tenants is Amazon, who recently expanded their contract with them. You can own it for the long term, he feels, as it has traded off recently. Occupancy rates are near 98%. It trades around NAV. It has a good strong yield and is cheap at this…

(Past Top Pick Sept.29, 2017, Up 8%) They sold their majority stake in their Asian insurance business. It does suffer lumpy earnings, but they write profitable insurance. Made a big purchase in Allied World last year. Some of their investments, like the Toronto Star, may or may not work out, but Prem Watsa is a…

For TFSA? The dividends are juicy on all Brookfield stocks. This is good for a TFSA because of this. It's still a good time to buy this.

A robotics company. In a very cyclical business. They're skewed to the auto business within Japan and China, but lead in the motor and drive technology side. They've been beaten up in the past year, but're coming out of that down cycle now. (Analysts’ price target is $3117.65)

Has been an ongoing turnaround story for several years. 3 1/2% yield. A late cycle play from an economic standpoint. Reasonable valuation.

Tow boats use sonar to sweep ocean floors for water mines from naval warfare. A niche product which creates barriers to entry from competitors. Just approved by the U.S. Navy for some of its products. The market is finally paying attention to this.

It is a fine company. It is on his watch list. He does not own it because of his concern with regulatory issues. They have so much share of search that it attracts the attention of regulators. He anticipates the separation of YouTube from Google Search and that would not be good. Wait for some…

It is one of the best stocks on the board. Buy it on a bad day like today. It is still growing at over 20%. It is not affected by the trade wars.

Not a fast grower. Wait for a while. Expensive now.

(A Top Pick May 09/18, Up 32%) They are a leading in the Cloud and the their membership sales are strong. Software is now a service.

3.2% yield and a 28% payout. Recent sales were up a lot. Earnings are expected to be up 52% when they report in May. PE of 18x, so not cheap. 7.5x ROE. A mixed forecast.

Loves it. A great performer. It signals what'll happen to its peers, because it's a new mine without the history of its peers. Good earnings and reserves. Managment is putting it together and it shows in the price.

Likes it, because it's a premier base metals company. He's owned it in the past. It's formed a nice base. His target is $39. They produce zinc; zinc prices are rising around the world.

*Bear Call Spread* Thinks interest rates are going higher. If so, bond prices are going lower. This is the most liquid bond ETF in the US, and has very liquid options. He suggests the sale of December $126 Calls and Buying a December $133 Call. If the stock closes below $126 in December, both options…

Emerging Markets ETF. Great deal of volatility but good for younger children for the long term if you want growth.

Dollar General vs. Dollarama The dollar stores are a good ivnestment when the economy stores. American dollar stores are priced at a discount to Canadian ones. December's pullback was a good opportunity to buy, and she would be on a future pullback. Dollarama's same-stores growth has slowed and has always traded at a premium to…

This has been one of the best performing stocks in the NYSE’s history. Had owned this about 15 years ago at $19, but the multiple is lower today than it was then. They will make somewhere in the neighbourhood of $78 a share in earnings this year, and may even touch $90 a share next…

10.625% Bonds due July 15/15. One of the largest heavy discount US retailers. No sales over $10. Because of the recession, same-store sales have been fantastic and growing about 8%-10%.

It is in a very competitive market. Recent results suggest the move to streaming is weighing on Shaw. There is increasing competition in the wireless space. It is too early to tell how they will do here. It is an oligopolistic industry so there are some limits to how high rates can go from here.…

There were in the penalty box for quite some time. They did not structure their acquisition very well. It is now going better than they expected. He really likes that they are in a similar play to another that is perfecting the play in Alberta. The market is not rewarding them for this at present.…

We have been in a gas bear market for 4 years. This space has been decimated. It is a medium oil producer in Alberta. They continue to grow but have too much debt. They should be fine when prices recover.

Excellent news recently, with drilling success in Morocco and Egypt. They have lots of drilling to do. They will probably double production from 3200 boe/day to 7500 to 8000 by the end of this year. They are getting lucrative natural gas prices, $12 US, in Morocco. He has a $2 target for this year and…

This company is very leveraged (5 times debt-to-cash flow), which will limit its ability to develop capital projects. He has stayed away and was not a fan of the various joint ventures and prefers to own companies that own their own infrastructure.