Brookfield Infrastructure Corp., Waste Connections and More at 52-week Highs & Lows (Sep 21-27)

Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. The IPL deal has not yet closed but the bottom should be coming up. The stock is down 31% year to date. In a low interest rate environment, combined with the merger, investors should start paying attention again. Unlock Premium - Try 5i Free

He follows this, but does not own it. They just reported an earnings miss. He does not see their business model panning out on the financial statements. Now trading under $12, he expects more downward pressure.

Management sees great opportunities ahead. Wants to make more renewable landfill gas sites. Benefits from higher oil prices. Defensive, safe. Excellent management, clean balance sheet. He expects double-digit revenue growth for many years. Also a reopening play. The dual listing is a gift to Canadian investors. (Analysts’ price target is $178.80)

(A Top Pick May 11/21, Up 10%) Believes copper demand will continue to rise (EV vehicles etc.) Opportunity to expand into other mine locations available. Will continue to hold stock and expects stock price to increase.

Gold market is volatile, but there is opportunity for long term investors. Solid junior producer with good assets. Not expecting growth in share price until gold prices rise.

Attractive exploration company. Compared to other companies, not as good. Does not own shares. Waiting for more drill results before investing in company. Attractive political jurisdiction. Good management team and shareholder base.

Fiji is an interesting place. They have raised $85 Million last year when it was tough. If they get this thing going it will build up confidence. They are putting a relatively small scale gold mine into production while doing exploration. They should eventually get bought out.

They had a lousy quarter. The stock is too cheap now. A small market cap company--caveat. There's a lot of exploration upside. Their earlier quarters beat expectations. They're in the penalty box, but they will recover.

They have three gold mines around the world. A huge 13.7% free cash flow yield; FCF grew over 200% YOY to $244 million. Sales were up 63% in the recent quarter. Cash flow is expected to grow in 2021 26%, and the ROE to be 26% in the coming year. Gold has momentum, says the…

Entire silver sector has been over sold. Favors higher quality silver companies, so would pass on this company.

FNV vs. WPM A great way to play the gold market and to structure some of the commodity cycles. Not exposed to costs, just takes a royalty stream off the top. FNV is the go-to stock. WPM has great leverage once they start to torque up. Six of one, half a dozen of the other.…

Very cheap for those who can take on a bit of risk. Stock's suffered due to underperformance in Argentina and African franchise expansion. These concerns are starting to turn around. Very good implementers.

(A Top Pick Dec 04/19, Down 6%) Problems bringing new mine on. Earnings forecasts going up sharply. Upside potential as measured by analysts is quite high. Trading at 40% discount to book value.

Likes management. Note that there is nothing immediately happening. It’s not something to chase, but just accumulate over the summer. Turkey is not bad at all, it is a democratic system. Their mining code is working. He thinks they have permitted 10 mines in 10 years. This company is technically very, very competent. Sitting on…

Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. Good potential in its battery business. Shows good growth, the valuation is historically cheap at 8x earnings and the balance sheet is solid. Would wait for better momentum to add. Unlock Premium - Try 5i Free

Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. They announced an acquisition today with a total implied equity value of $625M. The move should expand their copper and gold production. The deal is a net positive for the company and 5i believes it will help them expand in the long term. Unlock Premium - Try 5i…

High-quality deposit. Substantial missteps in community relations. For speculative buyers, spectacular optionality to the upside from its cheap price. For him, there are too many unknowns, political and sociological, on the company's future.

Used to own it, because they had a high-grade project in the Northwest Territories, but they were interested in a lower-grade target that didn't interest him so he sold. He doesn't know their company strategy anymore.

He's learning as much as he can about this stock. He's nervous about little markets with great, big technogical promise. This could be a good market performer this year. Perhaps own this for the long-term, but knuckle down and learn what this company does with aluminum alloy technology.

SIL vs. MAG Both world-class deposits. At current prices, he likes both. Complication around MAG is that there's only one obvious bidder. SIL seems to get better and better, as they get farther along the development curve. He owns both, and both are in Buy range today.

Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. A spin off from Equinox. It has interesting projects in South America. The asset portfolio looks good and management is competent. A very good quality developer that is still largely unknown. Unlock Premium - Try 5i Free

Very bullish on the price of gold, has a long way to go. If you go back to 1972-73, which was another peak market, gold tended to do very well. He'd expect the same now. Big setback from 2x book value. FMV is $29. All these gold stocks should be pulled up with the gold…

It's one of his anchor stocks. It's been lagging in price, but so have many silver companies. He still likes this among Mexican-based silver producers. It has just started a gold mine in the US which helps diversify away from silver. They keep adding mines and value, and will have leverage to the prices of…

Too small for his firm. Cyber hacking is an ongoing threat. Clearly, a growing market. Still, the interest rate environment will be toxic for tech.

Their future looks strong. They've been acquiring dental offices of various sizes. The costs of dental track inflation, so there is increased revenues from this sector. People need their teeth to be look after regularly, so dental won't be impacted much by a recession. However, interest rates do pressure this sector. DNTL has lots of…

This has limited history, but it is a $1.50 stock that is acting quite well. It’s too early in its history for him to have too much of a comment on it. It certainly looks like it is going higher, and he would watch it.

(A Top Pick Sep 20/21, Down 76%) Whole sector decimated. One of the fastest-growing healthcare technology solutions providers. Still integrating acquisitions. Positive EBITDA has been pushed out. Management turnover. Well managed, but a show-me story.

He owned the stock years ago. They dry things like food. They are now getting into the marijuana space. It has done very well lately but if they are going to get meaningful contracts, they are going to do well.

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.

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.

Credit card sized pouch inserted under the skin into which insulin cells are inserted. Control highs and lows of insulin. Also works with thyroid cells. Distribution platform for many drugs. Very positive. Revolutionary. His 12-month price target is $2.50-3, subject to outcome of trials.

Aimia preferred shares: It's run into problems. It'll be difficult going forward. The value was in the Air Canada miles, not Aeroplan. If you own a preferred share that's not paying a yield, then it's distressed. Take a loss.

Focused on office space in Canada. Challenging sector with Covid-19 and shift in work preferences. Trading at wide discount to net asset value. Steering clear of office space (not sure on future of demand). Stuck at 45% utilization rate in office space. Company does have good buildings (if alternative uses are found).

Diversified REIT, and nothing is more unloved these days. Low valuation. New management. Strong case for growing NAV per share. Trades at 9x FFO, an attractive valuation in today's market. Yield is 4.93%. (Analysts’ price target is $13.75)

The markets dislike uncertainty and since they have just hired a CEO from outside the bank, wait for things to settle down and firm up.

Very correlated to markets. High beta. Depends on IPOs and secondary offerings. If you're willing to ride out the volatility, stock should be higher a few years from now when things calm down. Not for you if you can't stand volatility.

Grocery-anchored retail is defensive right now. Operating income up nicely last quarter. Leasing spreads are doing well, 6.5% higher. Occupancy up. Balance sheet better than average. 16% discount to NAV, reasonable 14.5x price to AFFO 2023. Growing 10%. You'll win quietly. Yield is 5.68%. (Analysts’ price target is $18.06)

Parkland vs. Chartwell He's been looking at both. PKI just finished buying their Caribbean business; their fuel distribution chain continues to grow. PKI and ATD could see PE expansion. CSH is completely different, but this is stable and boasts demand. Same with PKI. CSH's shares have been struggling post-Covid, but this could be a long-term…

CWB vs. NA Between these and the Big 5, he'd prefer one of the 5. Between this and NA, he'd prefer NA. NA is better diversified in lines of business and geographically. NA has better scale advantage, management, and capitalization. High single-digit dividend increases from NA are pretty reliable, though its dividend increases may pause…

(A Top Pick Feb 18/21, Up 24.7%)Stockchase Research Editor: Michael O'Reilly Our PAST TOP PICK with D.UN has triggered its stop at $24. To remain disciplined we recommend covering the position at this time.

Simpler portfolio with better growth if you own the individual stocks, where you get both the dividend and capital appreciation. With this one, you're playing dividend vs. capital appreciation.

Supply/demand factors working in favor of the company (not enough supply of industrial real estate). Great European portfolio of assets as well (not much supply in Europe either). Large cushion with rising rental rates. Valuation is discounted at current share price. Excellent management team. Would recommend buying.

Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research. 10-year ROE average of 16.6%. More than 340,000 customers. Recent acquisition of Concentra Bank. Strong balance sheet and valuation. Unlock Premium - Try 5i Free

Entirely focused on the Netherlands (most densely populated country in Europe). High population growth and limited housing supply is good for business. Company doing very well even with economic turmoil. Would be a good time to buy stock as share price is discounted.

Largest industrial REIT in Canada with regards to market cap. European portfolio weighing down company. Great management team. Trading at discount to net asset value. Own shares and would recommend buying. Share price presenting buying opportunity.

Likes transition company is making into many assets. Looking into USA sunbelt and industrial assets. Selling office spaces and re-developing others. Work in progress and success will depend on management execution. Hold shares if already own.

Multi-family housing units in Canada. Very solid portfolio with great management team. Treading at wide discount to net asset value. Is buying shares now. Very defensive name that has access to capital. No concern in terms of credit quality. High population growth into Canada makes for good business.

Highest immigration to maritime provinces in Canada ever(own lots of properties in maritimes). Excellent dividend yield with discount to net asset value. Superior return to buying a GIC. Would recommend buying.

Fallen off from a technical perspective. He focuses on the top 5 banks. Yield is 5.4%, but it's come down over the last 5 years, which is not what you'd expect from Canadian banks. Negative dividend growth. Steer away.

Stock has under preformed this year. Trading at 48% discount to net asset value. Currently presenting a good buying opportunity. Not much downside given current share price. Record population growth in Canada this year is good for the company. Upper end buildings in Toronto and Ottawa.

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…

Its assets are a fantastic way to earn on real estate. Geographically diversified with multiple management teams and dynamics, so it's hard to wrap your head around. Outperformed relative to the sector. He prefers a simpler theme.

Focuses on industrial real estate. On path to 90% industrial properties this year. 50% asset growth this year. Focus on secondary markets like London, Ontario(Canada). Trading at discount to net asset value.

Believes is a great business. Has strong business model (cemetery and death). Last quarter a tough period for earnings. Is a good time to buy shares on weakness. Lots of room for M&A opportunity.

Owns shares in company and believes company is executing well. Weathering downturn well. Retail oriented, but adding multi-family units as well. Expecting earnings growth going forward.

Mackenzie Investment Group is much more dynamic, much bigger. Better play.

Great infrastructure play. Huge backlog. You can feel governments starting to spend. Biggest problems are wage increases, input costs, and labour shortages. Many contracts are fixed. Margins compressed. Stay away.

Got out because risk/return was not in his favour. His concern was over-distribution, quality of assets, liquidity issues because it's smaller. Still struggling to grow. Doesn't fit his themes right now. Yield is 7.1%.

Stockchase Research Editor: Michael O'Reilly Rising interest rates have impacted the support for this REIT lately; however, given the demand for rental property the value looks good here making Canada's largest residential REIT a TOP PICK. Trading at 11x earnings and under book value, the yield looks supportable with a payout ratio under 40% of…

Largest REIT in Canada. Trades at discount to net asset value. Diversified retail, but has 3/4 of assets in retail. Growing industrial section of portfolio. Is a defensive name with solid yield and growing cash flow. Excellent management team.

Hotels are typically the first sector to go down in a downturn and the first to come out. Today there is zero visibility, however. He would move on from this one.

Small cap Canadian REIT with 50% assets in industrial real estate. Growing is tough given economic cycle. Looking into secondary markets. Better opportunities elsewhere.

Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research. Strong performance in asset management. Growing profits despite higher mortality rates. Increased dividend by 20%. Premium valuation justified. Unlock Premium - Try 5i Free

A defensive chapter within the retail story. Pristine balance sheet. 1/3 of space anchored by WMT, a strong leasing partner. Selling on-site condos, and immigration keeps demand high. Yield is 6%.

Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. A decent company and the stock price is decently cheap. The dividend has not been changed since being lowered in 2016. Shares have not passed 2011 levels. An income investment. Unlock Premium - Try 5i Free

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.

Allan Tong’s Discover Picks ARR warrants consideration because it is a play on American renewable energy, and as noted above, the Senate just passed a bill that seriously expands tax credit for such green companies. On the morning after that vote, shares of ARR jumped 16%, then sharply fell to 3.5%. While analysts are targeting…

High dividend but has challenges with the price of propane (high volatility). CEO retiring is worrisome. Earnings revisions and stock price has fallen. Lots of uncertainty with business. Thinks better companies out there.

Construction and industrials have had a tough share price environment. He owns ARE instead, for its more stable public sector exposure. Likes the space broadly. How can companies pass through inflation? Pandemic labour shortages are, hopefully, in the rearview mirror. See his Top Picks.

(A Top Pick Jun 09/21, Down 57%) Company has performed well over the long team. Recent contract announcements with the US Government has stalled. Waiting to hear result on backlog on contracts worth ~$1 Billion. Will continue to hold.

Allan Tong’s Discover Picks CAE has some things going for it. Fingers crossed, the Covid pandemic looks like it is truly behind us. There's been a boom in travel that shows no sign of abating. Airlines need pilots. Period. Given geopolitical tensions triggered by Russia, defence budgets are on the rise, and certainly not shrinking.…

(A Top Pick Jul 02/21, Down 8%) Will continue to hold as still thinks a strong company. Currently trading at 2x earnings. Stock very attractive at current price. Volatility in lumber pricing creating opportunity for long term investors.

The regional air carrier for Air Canada (Jazz Airlines). They just made a big purchase of Falco Aircraft Services, adding 100 planes. Air Canada isn't doing well. Doesn't bode well for Chrous, down stream. However, smart-money BAM did give CHR a ringing endorsement. He loves BAM, but disagrees. Avoid airlines if there's a recession coming,…

Benefited during pandemic as the only game in town. AC took a bit of wind out of their sails. Good company. Neutral performer, no near-term catalysts. If you have it, you can hold. He wouldn't add now.

Customized, prefabricated environmental office interior solutions. High net cash position. Significant upside because of their flexible business model. Surge in office reconfiguration taking place across North America. Top management. No dividend. (Analysts’ price target is $3.46)

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.

The group as a whole has been tougher with weak relative strength. This one kept making lower lows. Not participating in this rally. Avoid. See his Top Picks.

It reports Monday. Pot stocks have been devastating. Since 2018, this has been all downhill. Let's see if the CEO can change direction.

He considers forest stocks to be a hold. He is lightening up on his position. You should buy commodity products when they are not at a historic high like now.

Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. The Edmonton airport deal is positive and the company continues to announce engagements over the last couple of months. Revenues are still low though it has hit $450K on a trailing twelve month basis last quarter. Unlock Premium - Try 5i Free

He likes the company still. Out of Latin America, they will probably take the lead. The sector is going through consolidation and it is a time to go shopping. He would look more at Charlotte's Web who has solid earnings. However, below $1.00 there is still value for it. Latin America doesn't have the same…

(A Top Pick Jul 20/21, Down 40%) Material costs went up, competitive tissue market. Cost pressures on containerboard. Inexpensive valuation, just under book value. A buy at these levels, if your outlook is for the next 3-5 years.

Cheaper than competitor (Caterpillar). Company at intersection of energy mining, green energy & commodity demand. Strong financials and dividends. Cheap valuation at the moment, presenting a good buying opportunity.

Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. The sector and in particular the company has shown good momentum. Good cash flow off-sets their stretched balance sheet. Cheap on valuation. Unlock Premium - Try 5i Free

An opportunity. Supply chain issues has causes production cutbacks, but supplies are starting to loosen and increase. As more car companies receive more semiconductors, then MG will benefit. However, how will a recession (if it happens) impact these companies?

It provides energy infrastructure exposure as well as energy transition exposure. It owns Tidewater Renewable which is involved in renewable diesel. It has a valuation of 6X next year's EBITA. so is a bit of a value play. A little more on the risky side but has good upside, maybe 30% next year and a…

We've reached the tipping point where we're sick of really dirty oil. But don't get greedy with this now. Can't recommend buying it at current levels after such a big run.

Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research. Continues to expand globally via partnerships. Disappointing fourth quarter. RNG and hydrogen tailwinds. Lower valuation risk.

Extracts protein from vegetables like canola, peas, and soy. Has 285 patents. There is negligible revenue despite the company being around for more than 20 years. Difficult to apply fundamental analysis. Too speculative for him. Need to see revenue and profit.

The dividend is not coming back and they should be putting money into growth. The valuation is OK so can hold for the long term. But there others in the sector that he prefers.

Again, we're in a bear market. Story stocks do not do well. He'd put EVs as story stocks. These companies have caught everyone's imagination, but there's a lot of winnowing to do.

Holds it in high regard. Divested and modernized. Expansion into non-meat protein. Earnings are cyclically depressed. Not a barn burner of a growth stock. GDP-esque growth rate. Put in your RRSP. Will do well in the long-term.

Concern about kitchens being in Taiwan, potential for invasion by China. Supplying semiconductor companies cuts costs and increases sales volume. Continues to add brands and hubs. Revenue line still increasing, so he still likes.

They have a lot more discretionary goods in their mix due to an acquisition, and discretionary spending will weaken as we enter an economic slowdown. Also, consumers have bought a lot of durable goods during Covid. Their e-commerce was terrible before, but is now good. Watch the consumer next year.

A Colombian natural gas producer which enjoys a favourable U.S. price of US$3.60. Production will rise as more customers and pipeline capacity are found. There's a shortage of natural gas in the country. It pays a nice dividend of 5.6%. He has a $5 target. Buy below $3.40. (Analysts’ price target is $6.09)

Now called Avanti Helium, and now in a specialty market where helium is used in aerospace and high-tech. Helium has seen huge disruption -- there's been a depletion of helium reserves due to geopolitical problems. AVN was in traditional oil and gas, but then moved into helium after seeing the opportunity. Helium trades in $400-600…

One of the largest fleets of generation 3 and 4 deeper coil tubing. Two businesses: coil tubing and tools. Both are being run efficiently. Margin pressure in the sector. Great little story that will be a big beneficiary of LNG drilling. No debt. 5-year bull market target of $3. 2023 will be a pivotal year…

Stockchase Research Editor: Michael O'Reilly This supplier of heavy equipment maintenance and service has had issues during the pandemic with staffing, but has been able to weather the effects of rising costs and still generate positive free cash flow. It trades at 10x earnings, 1.5x book, and supports a ROE of 18%. It pays a…

Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research. Beat expectations last quarter. Aided by strong distribution network. Acquisitions to remain primary growth driver. Trades at discount to history and peers.

Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research. Dye & Durham Ltd (DND) stock was down 26.2% on the month and 69.63% YTD. It is a leading provider of cloud-based software and technology solutions to improve efficiency and productivity for legal and business professionals. There have been no earnings announcements since May 12th…

Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research. Strong tailwinds from gaming entertainment. Growing high margin revenues. Large audience; proven ability to monetize. Not yet profitable; shares can be volatile.

(A Top Pick Oct 07/20, Down 7%) Not long after making the recommendation the stock benefited from a lot of ETF buying. They exited on the strong buying on a much higher gain. Since then, the ETF buying has evaporated and the stock price has come back down.

A fan. Safe and steady. Likes the verticalization. Big selloff from expensive valuation. Recent sizeable acquisition may take a while to digest, though management has a good track record. Stock may trade down further. He'd need to see progress on debt repayment.

They record information on a digital basis (voice to text) and from cameras. A steady recurring revenue stream. Earnings are expected to be break even in 2020. He thinks there are better opportunities out there. He thinks it has hit its lows.

Has a product installed in school buses. One of them is camera systems, security systems, as well as safety features for buses. Has an agreement with the TTC for safety.

Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. A nice quarter overall with 40%+ growth. Sales rose to $23M and beat estimates of $15M. Margins rose. Loss was higher than expected and the balance sheet remains quite stretched. Unlock Premium - Try 5i Free

E-commerce. Painted with the same brush as SHOP. If you own some of these tech names, you need to put protections in place to defend your long positions.

Tremendous value. Received massive settlement from AAPL last quarter, estimated at 100M USD. Patent portfolio is for sale. Will become a pure play intelligent transportation solutions company, which means tolls and weight in motion. Huge contracts in last 6 months. Will benefit from government infrastructure spending.

Very large decline. Think about it in the context of the year 2000. The ones that survived has positive operating leverage, growth, and great business models. Those are the ones you want to own for years. Too early to decide. Stay away, but watch it.

Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. Has surprised investors with a good acquisition of WOW. The deal added 200,000 internet and 61,000 video customers. This has added scale while diversifying the business. Significant growth opportunities. Unlock Premium - Try 5i Free