Kinross Gold, Northland Power Inc and More at 52-week Highs (Sep 16-22)
Markets started off the week on a low note, hampered by fears of rising Covid-19 cases and bank reports. Oil also fell around 1.3%.
This week, some gold companies are back trading at their 52-week highs. Kinross Gold (K-T) and Roxgold Inc (ROXG-T) are among the gold stocks seeing strength. WELL Health Technologies (WELL-T) and Northland Power Inc (NPI-T) are breaking out, hitting their 52-week high.
Travel stock Transat AT Inc. (TRZ-T) as well as Charlotte’s Web (CWEB-T) are back this week on the 52-week low list. Transat AT Inc. (TRZ-T) is expected to continue to struggle due to rising covid cases.
Here’s this week’s 52-week high and low stocks on Stockchase:
52-Week High TSX Stocks
Here’s this week’s 52-week high stocks on Stockchase…
Aimia (AIM-T) TSE
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.
EGI Financial Holdings Inc. (EFH-T) TSE
Involved in nonstandard automobile/motorcycle insurance as well as home insurance. BV of around $14.37 but Tangible Book is $13.50. No debt. Overly capitalized by over $35 million. Stable management. Basically Canadian, but their big driver is Europe. 25%-30% growth. Will probably earn about $1.30 next year. Have an option of putting in a dividend, free…
Firstservice Corp (FSV-T) TSE
(A Top Pick Nov 17/22, Up 16%) A great Canadian company. A low capex business that grows organically and through tuck-in acquisitions. They execute very well. Definitely buy on pullbacks.
CloudMD (DOC-X) TSXV
Did very well during the pandemic, a market darling then. But their acquisitions didn't make sense to him and they have caught up with them with poor integration. The hype is over and shares have plunged since 2020.
🛢 Basic Materials
Belo Sun Mining (BSX-T) TSE
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.
Champion Iron Limited (CIA-T) TSE
On a downslide to the bottom of a not-bad trading range. Sticking his neck out, but thinks it's a buy right now, with potential of $6.40. Bottom of the range is $4.40 and if it goes below, there's a lot of nothingness to the $1-2 range.
Capstone Mining Corp. (CS-T) TSE
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research The price of CS is largely dependent on the underlying price of copper, and copper is a factor of both supply and demand. We believe that the long-term demand for copper is strong, and thus we like the long-term prospects of copper. CS is expecting…
Endeavour Mining Capital (EDV-T) TSE
(A Top Pick Feb 28/22, Up 8%) Very good at business execution.Africa assets include political instability.Large deposits very attractive.Historically very good at M&A activity. Will continue to own shares.
First Quantum Minerals (FM-T) TSE
There comes a downside point when you have to decide whether to sell it all or, if your conviction is still there, to double up. No sense sitting around if your viewpoint's changed or if you have a higher conviction. Constitutional challenges in the courts in Panama, winding down operations, so it's quite a material…
Fortuna Silver Mines (FVI-T) TSE
FVI vs. AGI Likes both, but slightly prefers FVI, since it's so deeply out of favour. He's less conscious of political risk than most investors. Both are well run. Both have successfully brought Tier 2 deposits into production on time and on budget with efficient operations.
Lithium Americas Corp (LAC-T) TSE
LAC vs. LAAC He'd probably take the North American play. Lithium market is on the verge of becoming over-, not under-, supplied. Argentinian assets are higher quality, buy still thinks NA assets will gain more favour.
Nickel Creek Platinum Corp. (NCP-T) TSE
New Gold Inc. (NGD-T) TSE
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research. NGD has had a nice run recently alongside the price of gold, and while its fundamentals are fairly strong we might expect a slight pullback here as it has run up ~65% in the past month. Debt levels are OK, its free cash flow can be…
Premier Gold Mines (PG-T) TSE
Hold until sale to Equinox, or buy more? He holds both to benefit from long-term effects of inflation. He thinks the takeout is great. EQX is well run, a buy, with a $12 price target.
Pretium Resources (PVG-T) TSE
(A Top Pick Dec 07/18, Up 36%) A volatile stock, but he likes the golds, holding 10-20% in a portfolio. Gold has a long runway.
Roxgold Inc (ROXG-T) TSE
(A Top Pick Dec 15/20, Up 12%) Taken over. He got out when the deal was announced, as the acquirer wasn't somewhere he wanted to put his money.
Sabina Gold & Silver Corp. (SBB-T) TSE
(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…
Titan Mining Corp. (TI-T) TSE
They have had a fantastic track record on the exploration front. They bought a shut in zinc mine and then the price of zinc dropped. He would stay away from it until they delineate new zones they can extract ore from.
Defiance Silver Corporation (DEF-X) TSXV
A silver play in Mexico, one of the last great potential silver discoveries, i.e., an extension of the vein in terms of the length, width and depth. A great play and a good speculation.
Regulus Resources Inc. (REG-X) TSXV
(A Top Pick Mar 05/19, Down 29%) The decline is the issue with everyone moving away from base metals. There copper asset in Peru is the place to be. The issue is that the corruption at the government level is slowing the permit process for juniors. He continues to hold it.
Globex Mining Enterprises Inc (GMX-T) TSE
It is not a mining company, but a project generator. The CEO has done this for 25 years. He then sells off projects to companies that try to turn them into mines. He gets stock and a royalty in exchange. He has about a 160 properties. Some day the CEO will want to sell the…
Hudbay Minerals Inc. (HBM-T) TSE
Is entering seasonality, because the economy tends to pick up now which benefits the metals sector. Hudbay can benefit. The chart has fallen since early 2022 as it consolidated. Now, the stock is positioned well. Likes it.
Maverix Metals (MMX-N) TSE
One of the highest quality mid-cap royalty stocks in the space. Closer to the lower end of the trading range. More of a buy than a sell. He's delighted to own it.
Taseko Mines Ltd. (TKO-T) TSE
This is on his watch list. He is not familiar with their fundamentals. Today's earnings release will help define their future.
Copper Mountain Mining (CMMC-T) TSE
Just completed an expansion. A bit more debt leveraged. Fortunes rise and fall with copper, especially with a recession scenario. China's problems aren't helping. Should be back to $3 in next 3-6 months, $4 in a year. Operational issues in Q1. Second half should improve. Sit tight. You could dip your toe in Q4.
Calibre Mining Corp. (CXB-X) TSXV
Merger with MOZ. Could argue that merger reduces risk, improves capitalization, diversifies outside Canada.
Kinross Gold (K-T) TSE
ELD vs. K Doesn't own either. Kinross has historical issues trying to right the ship, doing better recently. For ELD, a very high 60% of NAV is exposed to development risk. Recent mine is financed and built, but there's still execution risk. Trades at a discount on geopolitical risk too.His preference is AEM, with one of…
Sanatana Resources Inc. (STA-X) TSXV
(Top Pick Nov 8/12, Down 76.12%) He got out in the 4th quarter last year. They were the donut around the deposit. With Gold falling off and the market changing, there is now no rational reason to own it.
AcuityAds Inc (AT-X) TSXV
Too small for his fund. He's neutral on it. Analysts' 12-month target of $4.60. Digital media AI solutions for advertisers. Cutting edge. Phone providers have privacy concerns on this type of app. You could buy in thirds here, $2.50, and 2.
Maxar Technologies (MAXR-T) TSE
(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.
Altus Group (AIF-T) TSE
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research. Record quarters during COVID. Entry into debt valuation interesting. Greater SaaS revenues support better margins. Premium valuation means less room for error. Unlock Premium - Try 5i Free
Ilookabout Corp (ILA-X) TSXV
Provides a service very similar to Alphabet (GOOGL-Q), which is provided for free. When your competitor is providing your services free, it is tough to be competitive.
Mission Ready Service (MRS-X) TSXV
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research. MRS closed a small financing last week, but there has been no other news. Trading volume picked up a bit, but dollar value of trading remains quite low. Still, it is up 68% YTD with a January small cap bounce. Unlock Premium - Try 5i Free
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.
Major Drilling Group International Inc (MDI-T) TSE
A way to play the miners, as it does drilling for companies while being agnostic to what it's drilling for, giving exposure to the whole sector. True, commodity prices have backed off, and equity markets for raising capital haven't been the most favourable. When the sector turns, in very good shape to take advantage of…
Toromont Industries (TIH-T) TSE
It's been stuck in consolidation for 3 years, failing to break above $110 a few times. If it falls back to $100, it could be worth a trade. Otherwise, he's cool towards it.
Input Capital Corp (INP-X) TSXV
They do canola mainly. At these prices the stock is so cheap. He sold because he was not seeing enough capital being deployed in Canola streams.
TomaGold Corporation (LOT-X) TSXV
One of the few stocks that has been going up. Have drilled some good holes in Québec. Good high-grade widths at depth were previous drilling was off to the side but not great. It only has 3 holes into it and they are currently drilling off to the sides. Until it is known what is…
Electrovaya Inc. (EFL-T) TSE
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research. EFL is a manufacturer of lithium-ion cells and battery systems, which are crucial for the transition to electrification of vehicles. EFL’s operating results have been good in recent quarters and the stock is now trading at 24x times' EV/EBITDA. In the 2Q, EFL’s revenue grew…
He is not too familiar with the company but technically there has been quite a drop from its top two or three years ago, and it doesn't look that great right now. It is below its various moving averages and there is quite a lot of active trading. The recent big reversal after the rally…
Leon’s Furniture (LNF-T) TSE
It has executed very well over the long run and works on cost structures. There could be another special dividend. It has lots of real estate and wants spin off a REIT. However a lot of their properties are not in the greatest areas so the REIT may not do as well as others. You…
North West Company (NWC-T) TSE
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research The quarter is a big relief for worried investors. EPS of 83c beat estimates of 68c. Sales of $618M beat estimates by 2%. EBITDA of $83.3M beat estimates of $73.1M. Sales rose 6.8% with comp. sales up 4.7%. Profit rose 17%. EBITDA rose 15% year…
Waterloo Brewing Ltd. (WBR-T) TSE
Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. Sales were 3% less than expected. EPS was better, at 4.8cents. Revenues grew 15% thanks to pandemic restrictions being eased. EBITDA rose 67%. A good recovery quarter. Ok buying this for small cap allocation. Unlock Premium - Try 5i Free
George Weston Ltd. (WN-T) TSE
(A Top Pick May 10/22, Up 19%) It owns some choice properties including industrial ones. It trades like a staple and is still below its NAV. If you own you could trim half.
Pfizer bought it today, and TRIL shares tripled from $6 to $18 in the blink of an eye. That's why he always advises investing in small drug companies; sometimes they pan out.
Caught up in rising rates for labour and materials. Contract prices set years in advance of a project's start date turn out to be insufficient to cover project costs. Her play is BEP.UN, more diversified and more global.
52-Week Low TSX Stocks
Here’s this week’s 52-week lows stocks on Stockchase…
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.
Auxly Cannabis (XLY) TSXV
Their model is based on getting royalties off the cannabis companies they produce. They've done some smart deals and have been able to put pressure on producers who needed money. Not sure why it moved so down today.
Stuart Olson Inc (SOX-T) TSE
In the construction space his favorite is WSP Global. SOX is similar and he thinks they may be a value trap as there is some concerns about the dividend, the strength of the balance sheet and their ties to the energy sector.
They sell energy contracts. They have under gone several management changes over the years. He is not a great fan of this business model.
Allan Tong’s Discover Picks Air Transat is less desirable. Not exactly beloved by Canadian consumers, Transat isn’t receiving much affection from investors either. Last week, CIBC lowered its target on the hapless airline from $4.00 to $3.00 to underperform. Currently, there are three sells and one hold, with a $3.48 price target that is about…
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.
Antibe Therapeutics Inc. (ATE-X) TSXV
Part of their trial was suspended. Some of the patients had above normal liver enzymes. However, other arms are proceeding. The findings will show whether it has less liver toxicity. Have enough cash to go on for 2.5 more years.
🛢 Basic Materials
They own the Rosia Montana gold mine in Transylvania. Have been trying to get permitted for approximately the last 10 years. This is going to continue to be an uphill battle. The resource is tremendous but he feels this is stuck in the jurisdiction where they don’t want the mine to go ahead. If they…
Use this list wisely to identify buying opportunities.
Happy trading !!!