Torex Gold Resources, Kinaxis Inc and More at 52-week Highs & Lows (Mar 15-21)

(A Top Pick Jan 05/23, Up 4%) Pretty strong dividend, which he's bullish on right now. One of the best charts in the gold space, if not the best. Doesn't hesitate to recommend.

(A Top Pick Mar 03/20, Up 14%) Are developing gold in Nunavut in a fully-permitted, high-grade, open-pit project. The knock is that it's in a northern frontier which means higher costs to fly in and out supplies, and it's less easy to work up north. He's owned this stock for years and is confident with…

(A Top Pick Feb 07/22, Up 17%) One mine is winding down, but another is ramping up production. Well funded, cash on the balance sheet. No debt. Trading at 3-4x operating cashflow. He took profits when it ran up.

AGI vs. FVI Likes both. Down from peak. Lots of exploration work, massively increased high-grade gold reserves. Finding new gold deposits around the globe has been very difficult. So when they double their reserves at home, in Canada, that's even better. Stick with it.

Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research. DPM is now trading at 7.0x times' Forward P/E. In the 4Q, DPM’s revenue declined -8% to $152.9M, compared to last year of $166.4M and EPS wass $0.24, beating estimates of $0.20. The balance sheet is strong, with net cash of $419M. Trailing twelve-month cash flow…

The silver sector has had a spectacular run. He has a prejudice against small mines, because they have all the risks of the big mines, but can never make you money.

The CAD can easily go to 65 cents, reflected in the price of gold. Either the TLT or PHY explodes. If we enter recession, TLT outperforms and gold declines.

Their ventilator business has grown in recent years tough they struggled to access Covid patients in hospitals. They had great revenues in their last quarter. They're expanding operations as they enter new markets. EBITDA was lower than expected, so shares pulled back. They trade at half the PE of their peers. The CEO is one…

Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research. Solid M&A pipeline. Trades at a premium. Continued growth during COVID. Tailwinds from global trade complexities.

Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research. 50% increase in workforce; positive sign. Reduced margins expected to normalize. Backlog remains healthy. Fair valuation compared to software peers.

Margins not as robust as some peers. Stock's done fairly well in last 2 years. He prefers other names in the group, though they all look expensive right now. He'd look at WSP or STN. Owns ARE, but that's a different kind of story.

Fundamentally a strong company.Recent increase in shares makes name expensive.Waiting for shares to fall before buying.Long term is a good investment.Very strong assets and management. 

Lots of opportunity in the US. Guilty of using easy money to build massive facilities. Big writedowns. Big equity offering. Doesn't see an imminent big export market. Longer term potential, but it's an outside probability.

Wellness drives CBD demand and there's more competition entering this space. The CBD market continues to expand into drinks and food. He used to own this, but sees better opportunities. But CWEB is one of the U.S. leaders in this crowded space, so it's okay. You want to be in this space.

He's looking at the space, which is attractive. Off the highs. Business is materially tougher, but we need it. Regulatory issues and scrutiny on EXE. Labour situation also difficult. Likes the price, but wants to see more on the business fundamentals.

Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research. Trades at a cheap valuation. Investors’ patience has run out. Recent acquisition gave it a new life. Current environment can be favorable. Unlock Premium - Try 5i Free

(A Top Pick Jan 14/21, Up 35.1%)Stockchase Research Editor: Michael O'Reilly Our PAST TOP PICK with OGI has triggered its stop at $3.00. We recommend covering the balance of the position at this time. When combined with the previous recommendation to cover half the position, this results in a net investment gain over 46%.

A smart move to get into beer by buying some brands. True, they are losing money, but this and Canopy are the best in this space.

Medical robotics? He does not know TMD-T well. He plays the space through and ETF of BOTZ-Q. He prefers ISRG-Q, if you wanted an individual holding.

It is the biggest in the Canadian market and is moving into the U.S. market as well. He focuses on the U.S. market. An inventory of cannabis products is building in New York with some of it being the illegal variety.

Doesn't know much about this. Shied away from it for now, because it doesn't trade much. Has the potential to be a bigger small-cap healthcare company, an area that he likes.

Underlying business still working fantastically. Comes down to market size and market cap. Trades at around 1x sales, whereas peers are around 3x sales. As they continue to grow organically and by acquisition, revenue keeps going up. Announced NASDAQ listing, which will boost multiple. Acquisition in progress should boost revenue by 35-40%, share price should…

It got stuck above $30 and is now building a nice base. He likes this.

Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. The company develops and commercializes diagnostic tools to monitor heart disease. Minimal to no revenues so still very speculative. Largely in the development phase. They signed new contracts with GE Healthcare Corp and new patents are being filed. Unlock Premium - Try 5i Free

Chain of cannabis dispensaries, solely in Canada. Deep pockets, due to investment from ATD, which taps into smart management but caps potential. You want to own the integrated operators that go from seed to store. He owns CURLF instead.

Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research. Struggling with broad market weakness. Investors are throwing in the towel. Has to prove it can meet expectations. Turnaround might be taking hold.

(A Top Pick Jan 26/23, Down 10.7%)Stockchase Research Editor: Michael O’Reilly Our PAST TOP PICK with CCA has triggered its stop at $61.  To remain disciplined, we recommend covering the position at this time. 

Balance sheet's come down in 3 steps. After the first 2 steps, the stock doubled, but it was short term and you had to be quick. No guarantees it will happen again a third time. Yesterday's dividend cut may cause a quick pop in the stock.

Going forward, will be a large market for healthcare products. Aging population will ensure demand for products. Vitamins will help aging population. Healthcare will do well in the long term.

They pick up vintage, expensive handbags they find in Asia then sell them here in kiosks. Interesting business, but has performed poorly. He didn't buy it.

Cannabis is such a challenging sector. Has expanded into the U.S. He has great respect for management. It could be a possible takeout target.

This does mobile marketing for big brands, where you use your phone to run loyalty programs and purchase validations. Down 53% in the last year, because it got caught up in the downdraft in the TSX Venture. It would be higher today, except that their financing was the worst kept secret on Bay Street, which…

Leaders in their field and have a huge backlog, but they're losing a lot of money, since it's a capital-intensive business.  They recently raised some money, with Power Corp investing half that. If they keep growing at this rate, they will continue to need capital. If you believe in EV's, you have to be in…

(A Top Pick Jan 26/23, Down 7.8%)Stockchase Research Editor: Michael O’Reilly Our PAST TOP PICK with AX.UN has triggered its stop at $8.80.  To remain disciplined, we recommend covering the position at this time.  

Believes company has done good job in growing & diversifying business. Largest portion of business in equities. Excited about move into private business models. Weak financial numbers lately a concern. Would not recommend buying company. Stick to Blackstone instead.

Likes the sector, lots of runway. Renewable natural gas. Governments are increasing demand. On his radar. Will look at again when risk appetite in the market returns.

A small-cap company, not focussed on real estate, managed by Dream Unlimited. Focused on renewable energy and have an interest in the office buildings owned by Dream Office REIT. DRA has a growing land base in the GTA for condo sites. It's trading at a discount to NAV. They've traded a substantial issuer bid to…

It owns medical facilities globally. This includes medical office buildings, hospitals, etc. The balance sheet is a bit stretched along with an 8% yield. Another concern is some cash flow disruption due to not hedging currencies.

He's bearish on office REITs, given work-from-home. SOT operates in secondary markets, which can be a good business, but is capital intensive. SOT is doing a fine job, but offices face double-digit vacancies. Money needs to be spend on improving spaces, less to shareholders.

Smaller cap office space REIT focused in Canada. Has a bit more of government concentration so that provides some stability. Has a high distribution yield but it is not fully covered by cash flow.. Analysts have 4 holds.

Event driven investment (not long term) based on cash on the balance sheet. Lots of cash on the balance sheet. Estimate sum of parts share value is $7 when currently trading at $4 on the markets.

Way off from highs. Covid has changed how and where we work. What is your conviction level that office occupancy will revert to the pre-Covid mean? What's the timeline for that? He doesn't have the answers. It's in the "too hard" pile. If looking for a similar yield, try BCE.

Their debt has always been an issue. Trading at in-line levels for their multiple. Does not check his boxes in his fund.

Looking at the chart, pretty big runup since the pandemic. Most energy stocks have had a sideways consolidation over the last year or so. Oil likely to move lower and be in a sideways, choppy trading range. Easy money's been made.

Great energy stock, but seeing better opportunity in other names. Operating in Colombia which has geopolitical risk. Windfall taxes etc.

(A Top Pick Feb 07/23, Down 20.6%)Stockchase Research Editor: Michael O’Reilly Our PAST TOP PICK with WOVVhas triggered its stop at $49.  To remain disciplined, we recommend covering the position at this time. 

Energy is very cyclical. This will lose money when the economy is on the downturn. That happened a few years ago. Unless you are optimistic about oil prices, don't build a position.

Recent market selloff due to quality of acreage. Current share price presenting good buying opportunity (1x cash flow). Expecting stock buybacks next year. Low conviction on the name.

Sell or hold? Most controversial of the pipelines with Coastal GasLink over budget. Combined with inflation in operations, may not see dividend increases going forward. A lot of revenues are contracted and protected. 

One of the most international oil names in Canada. Is vulnerable to crude oil prices moves, so it has pulled back lately. She only lightly invests in this area and isn't buying energy producers. Oil is too hard to forecast.

There are aspects that will detract institutional ownership. There are some promotional aspects. The name is cheap and are paying down debt. It is not a name he is looking at. The quantitative and qualitative aspects need to match and for him it does not meet his requirements.

Output should be higher in Q2 from Q1. 85% oil. Annual yield of about 7.5%, paid monthly. Going after oil in older fields. He'd like to start seeing volume growth. Likes management. He thinks oil will be above $70 over this winter, and this company will be throwing off a lot of cash.

A small-cap that supplies information to oil/gas-drillers. Shares tanked when drilling ceased during early Covid, but have rebounded. They hold $200 million cash in the balance sheet, which is how they survived. Drilling levels have returned to 2015 levels. They have endured. Earning are way up and commands strong market share in Canada with some…

Not as bullish on energy services (not as much drilling). Good job at paying down debt. Capital allocation will ensure less activity in drilling services.

Not a good investment with current management team. Other energy companies available with better opportunities.

(A Top Pick Feb 23/22, Down 36%) Experienced management. In a hot geographical area for oil and gas, but investment moved away to more profitable areas when oil price declined. Working to ramp up production and strengthen balance sheet. Small cap, market's not interested. He's on the sidelines.

Experienced management. Recently re-capitalized. Good balance sheet. 10,000 barrels a day. Can grow through drilling and through small acquisitions. Oil can bounce around, but they can still grow. Fairly significant cashflow at $75 oil, break even at $40. No dividend. (Analysts’ price target is $1.30)

More volatile than he expected. Using enhanced technology to recover gas from existing fields. Production rate's pretty low, but gets a premium on price. Growing, with nice profile over next few years.

Would not buy at current share price.Too much investment into the sector will depress prices.Well run company, but saturated market.Strong management.If shares fall under $100, will look into buying. 

In general terms still on a downtrend. Bearish big picture. Could get back into the 20 dollars.

(A Top Pick Sep 07/21, Down 15%) Today it's cheap, versus long-term expectations. Trading in line with peers. Lumber companies have been trading sideways at best on fears of major slowdown in housing. They're discounting Armageddon, and he doesn't see that happening. IFP bought 16%, and they're not done.

Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research. Recent earnings: EPS was a loss of 7c versus an expected gain of 3.2c. EBITDA did increase 12%, though. Cash flow per share increased 18%. Debt remains high at 2.9X EBITDA, though just within the company's targetted range. A couple of brokers lowered target prices on the results. While a…

It specializes in biodegradable plant based products for packaging. The management team has done really well and has delivered exactly like they said. It is expecting 100% growth, 50% organically and 50% by acquisition, in fact it made one today. It is cross selling products as well as new products. It is part of the…

Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. The company reported good sales growth, suggesting good adoption. Results missed estimates by $2M. There is opportunity here but expectations are high. Growing at nearly 50% and no reason for slowing growth. The stock has held well despite the miss. Unlock Premium - Try 5i Free

Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. CUB has a net cash position of about $16M, and sales are growing nicely. Sales are expected to go from $5M last year to $77M next year. It is, however, still losing money, and with negative cash flow (-$30.5M last year). The sector got hyped…

We need potash, and demand will spike. Reticent to chase a small name like this. Look to a large cap. He likes NTR, which is reasonably priced, all things considered.

Really good job of executing. Three major partnerships in edibles, more being added. Pivoted away from being a pure cultivator (a low-margin business, littered with bankruptcies) toward higher-margin end product sales. Rinse and repeat. Great market share.

It made a lot of deals where buses were sold at fixed prices but its costs are higher now due to supply chain issues. The company will survive but has to re-negotiate with its banks, which is always painful. It is a good company in a bad situation, therefore look elsewhere.

Chart shows a up pattern on the beginning of the year. Even though it had a nasty day today, the uptrend has not been violated. Has to get through about the $1.25 area before it can be considered a breakout. If you know the fundamentals and this matches them, it could be okay. (See Top…

Its BC nickel play. Doesn't like GGI. Last year this was a darling stock, but their drill holes haven't impressed him.

Has a massive nickel deposit in northern British Columbia. Low grade, but can be mined as an open pit. The jury is out on this one. Looks intriguing.

Wonderful management team. Cashflow is like writing a blank cheque. Right now, hard to value because its cash is undeployed. In the next 2.5 years, investors will do well on the warrants because they will have taken on a lot of speculative risk and endured a lot of volatility.

Uranium Stocks. Of the Juniors he likes this one and it has the most potential and the least risk in terms of balance sheet. Bringing a couple of assets into commercial production. He would not jump in after today’s run but otherwise it looks good.

They have a large Brazilian gold deposit. The problem here are indigenous people challenges there and a government contract that pays out a crazy amount to the managers. This payout is not aligned to the shareholders' interests. Then again, it's a cheap stock vs. gold in the ground.

He met with management 7-8 years ago. The difficulty is that it’s been around since 1988 and revenues have always been a difficulty. They have no production. Expects there to be quite a bit of dilution. He doesn't invest in companies without revenues.

(A Top Pick Mar 03/20, Down 28%) It operates in Quebec called Fenelon. The resource is there and they are very well-finance (Eric Sprott owns over 20%). Also, Kirkland Lake's CEO sits on the board and owns shares. Perhaps, the market is impatient, which has pressured shares, but WM is careful in moving forward.

It has been a disappointing stock to him. They have had some hiccups, but likes their asset base. The problem is that synthetic diamonds are taking away from overall demand. They have not been operating as well as they should have been. He might prefer Lucara Diamond (LUC-T).

Had owned this in the past. They operate in an interesting area and have a very interesting alloy, a combination of aluminum and others. They can make and cast extreme precision parts. The company expects to be profitable in the next couple of quarters. Have done a lot of things to improve their processes, and…

Great managers. Have a gold discovery in BC. It's high-risk, high-reward. They got nice financing before the current market rout. It's a good speculation, but not for long-term investors.