This week there were 25 Top Picks and 4 ETF in a wide range of industries: Technology, Energy, ETF, Consumer, Financials, Telecommunications, Basic Materials, Healtcare and Industrials.
Here are this week’s Top Picks as selected by: Jeff Parent B., Tim Regan, Barry Schwartz, Bruce Murray, Darren Sissons, Cameron Hurst, Brian Madden, Dennis da Silva, Christine Poole and Hap (Robert) Sn.
He would want to buy pullbacks to the $10 area. We made a good test in May. A pullback to that level would indicate a buying opportunity.
Look back 25 years or more. It went from $150 to $120 approximately late last year. In '08 it went from $25 to $12 in the recession. He thinks it should be in most portfolios. They would go down as much as the broad markets but it will likely outperform in the long run.
CGI vs. OTEX He's been watching Open Text and will buy it under $40. They're good at making purchases. He prefers it to CGI which is too high right now.
Obviously, it's a tough sector that's fallen at least 50%. CPG should be worth more than what it's trading at. CPG is starting to do a better job and no longer issuing shares. Rather, they're buying back shares. Until this sector takes off, CPG won't make a huge move either. He doesn't think the oil…
Norwegian off-shore oil services. They have more cash than debt. There's a gradual increase in off-shore energy E&P, so this will do well. Sustainable dividend. (6.4% dividend, Analysts' price target: NOK139.87)
He bought it two weeks ago. They have improved their reserve life index from 4 to 11 years. Their netbacks are expected to grow 19% this year. They will likely buy back 10% of their shares next year. There is Colombian exposure, but for 4% weight in his portfolio he is happy to take the…
He sees $9 as key support. Earnings are expected in the next day or so. This is one of the best performing oil and gas stocks this year. It is at a high relative level and with oil prices falling over $2 be careful. He would use $6.90 as a stop.
He likes it. Line 3 seems to be a never ending thing. He is still modeling 7% growth. Trading cheap enough still. Q4 was a beat. What could hurt here: if bond yields back up.
Internet ETF. Analysts do not make consensus targets for ETFs. The average PE is no different from the overall NASDAQ. The trend is healthy. It is not cheap.
Energy in Brazil. Also commodity related type of economies. Geared to rise and fall very much with the area of energy. Clever way of playing energy and emerging markets at the same time.
Current yeild is 5.8%. Is a great ETF. Start worrying if interest rates start moving up, which he doesn't think will happen anytime soon.
Healthcare does better in August and into October. But it ran up since February. We have that political football. Be careful because it is an election year.
(Market Call Minute) Avoid theatre operators because they are getting pushed out because people will download and watch at home.
Disney Plus will be its new streaming service. They bought Fox assets, which will help that platform. They already create content for their amusement parks and will for their streaming service. ESPN Plus has enjoyed massive subscriber growth, paving the way for Disney Plus. (Analysts’ price target is $126.55)
They no longer want to own the hotel, they want to own the franchise and collect the royalties. In 3-5 years, they'll be 100% there. Has some of the best real estate and at a cheaper valuation than Marriott. Yield is 0.9%. (Analysts’ price target is $80.30)
Takeover of WB-T. He does not think there will be another bid. He has not finished researching whether to hold the resulting stock after the takeover closes.
Same store sales growth is 16.9%. 4 to 5% is normally not a bad number in retailing. It rose only a little after the IPO.
She has owned this for years. They had a great quarter, just announced this morning. She listened on the call. The market is concerned with future housing starts. But HD looks at GDP growth, unemployment (low), consumer confidence (high) and other metrics. HD shows good growth and they predict U.S. housing price appreciation in 2019.…
(Market Call Minute.) This is hanging in really well. They just put up some strong numbers. Yield and revenues have been quite good. Chart seems reasonably supportive from this point on.
Chart looks good, though US financials have been acting quite poorly. He’s taking wins in his US banks, because they’ll bear the brunt first.
Often the worst bank one year does the best the next. BNS is 50% Canada and 50% foreign operations. (Analysts’ price target is $79.17)
Bonds maturing 2017. Price of these bonds has gone from 100 cents on the dollar to about $.87. If an experienced investor with a long time horizon, these could be looked at. Company has a lot of high-quality assets so can raise a lot of money by selling some of these. Assets throw off pretty…
(A Top Pick May 10/17, Up 8%) Also a top pick today. Earnings grew 10% in the past year but the share price has been flat, so the PE has gone down. Looking ahead, earnings will be higher in 10 years, so current levels are at a good price.
He'd read a negative report about ATT. Their debt puts them in some danger. Look at Verizon or T-Mobile or Vodafone instead, because they are less levered.
This is doing fine. It provides for hospitals, etc. Relative to US companies, they are having pricing competition in Europe. In their most recent quarter, earnings weren’t great and sales were down because of the currency. It is important for investors to look at these European companies, as to how much exposure they have on…
Located in the Sugar zone in Ontario. They’ve drilled the top 400 m of their deposit, which has a decent grading resource at about 7-8 g a ton, and have about 4000 ounces. That means they have found about 1000 ounces per vertical metre. That is a pretty good metric for the start of a…
Copper should rally to $3.20 with China as a tailwind (currently $2.93). For TECK.B, $33.60 is the next level to hit, then it can hit $37-39. Could be a two-month trade to early-summer. (Analysts’ price target is $38.45)
This is sitting at around 17.5X forward earnings. The St. Jude acquisition was a big one for them. It expanded their balance sheet. They still have the Alere acquisition overhang. Have some things to chew through this year in order to get the multiple expansion up to something like 21X, where its direct competitors would…
It is a risky name. They have dramatically improved their balance sheet. An asymmetric bet in terms that a lot of potential upside if there is no recession and they execute and not much downside if there is a recession.