Earning Reports to Watch (Jan 21-25)
Here are the companies with earning reports to watch.
(A Past Top Pick on April 26, 2017, Down 5%) They build student housing very well and there's currently a shortage in the west. They make a 10% EBITDA margin on these schools. In addition to revenues, they benefit from the asset value is rising in those projects. They have several the Vancouver area. Down…
Canadian Pacific Rail (CP-T) Jan 23
CN vs. CP Easy. Go with CN. Latest news is a letter saying that the merger with KSU is not in the public interest. If the merger happens, it will be accretive long-term. If not, CN remains attractive, trading at 18x 2023 earnings while growing at 11%. At times, he's a CP guy, but here…
They haven't indicated a discovery in the St. James Bay area, though he likes the management and this part of the world for exploration.
First Cobalt (FCC-X) Jan 21
Cobalt is attractive but this is not a cheap producer, because they're in Canada and not Russia or Congo.
He's not a gold bug, but seeks unloved stocks in unloved sectors. Gold has consolidated nicely and made a good technical turn. His #1 gold holding is FNV-T. TGC has the largest undeveloped deposit in the world and in a safe place (Alaska) with a good partner in Barrick. All tailwinds.
Tinka Resources (TK-X) Jan 25
They have quality zinc deposits in Peru, but the zinc price is the issue, so is it a good time to sell it now? They will drill another 10,000 meters so find more high-grade. He escapes a scoping study by end-June. Has a flat chart though, reflecting the low zinc price. Zinc companies aren't making…
AGF Management (B) (AGF.B-T) Jan 23
We'll see very good numbers out of the investment management companies, given the run in markets. He hasn't looked at AGF lately, but it's interesting. The current 4% dividend could slightly rise. AGF is fairly valued as is its PE. Hold, if you own.
TheScore Inc. (SCR-X) Jan 23
Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. The revenue of $6.4M missed estimates by 31%. Loss was also much worse than expected. The company continues to move into new states and media revenue grew sharply. Another capital raise would not be surprising with the US rollout. Results were weak but the potential…
Richelieu Hardware (RCH-T) Jan 24
(A Top Pick Oct 07/20, Up 14%) She exited the position when the market started to move from COVID winners to recovery stories. It has held up quite well. She thinks the trends are very much still in place.
Big fan of telecoms, though they didn't deliver last year as expected. Telecoms are very defensive and operate in an oligopoly. RCI is OK, but not as keen on it compared to others in the space. Least enthusiastic about cable. Ton of risk on the Shaw deal.