Earning Reports to Watch (Jan 7-11)
Here’s the full list of Canadian Companies on Stockchase reporting earnings this week :
First Cobalt (FCC-V) Jan 07
Cobalt is attractive but this is not a cheap producer, because they're in Canada and not Russia or Congo.
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.
Sprott is a secured lender in this project, as well as a shareholder. The mining start-up looks like it has been fairly troublesome. If they work through their problems, which he thinks they will, he thinks there is tremendous upside. However, there is risk. There is tremendous upside if they can make all this work.…
Velan Inc (VLN-T) Jan 10
At this late stage, there won't be another offer, so you'll have to be happy with $13. Should have received a much higher price. Asbestos litigation costs did them in.
👨💼 Employment Services
He looked at it recently. They run a core recruiting business in CEOs/CFOs, and launched a new division in mid-market recruiting like middle-management. The latter has been growing well. Shares have ripped higher then come down. He's watching this for another quarter or two.
Acasti Pharma (ACST-X) Jan 10
The krill oil lipid trial did not work as expected. The overall portfolio is quite attractive. Over the coming year, there may be opportunities. However, there are other opportunities in other companies like ATE, which he owns.
Aphria Inc (APHA-T) Jan 11
(A Top Pick Dec 17/20, Up 93.6%)Stockchase Research Editor: Michael O'Reilly Our PAST TOP PICK with APHA has triggered its stop at $19. To be disciplined, we recommend covering the position. Combined with the previous recommendation to cover 50%, this will create a net investment return of 59%.
Aritzia Inc. (ATZ-T) Jan 10
Smaller cap, so not a big position for her. Grew rapidly during Covid, then hit by series of headwinds. Longer term, still a growth story in the US. Additional costs for new stores, which are mostly coming online later this year. Foot traffic is weakening. Reports next week, she's not expecting upside surprises.
Cogeco Cable (CCA-T) Jan 10
Cheap share price at the moment.Does not own shares.Space looking attractive as interest rate come down.Seem to be struggling with US assets.Better names in sector (BCE etc.)
COGECO Inc (CGO-T) Jan 10
The issue with the share price is that some of the larger US cable companies are alluding to weak ad business. He thinks it is pretty strong for a Canadian cable company. The cable slowdown is more transient, just affecting the back half of the year. It has a nice yield. The family manages the…
(A Top Pick Apr 28/21, Down 67.4%) Are building online grocery sales now. When he recommended it, he expected another leg up--and shares rose last summer on good numbers. But he sold this around $10 because he was concerned the company was no longer focusing on meal kits and was spending a lot to enter…
Since last summer there has been a recession in advertising for television and this has been a problem for Chorus. There are longer term headwinds since subscribers are moving more to streaming services. Chorus has STACK TV but it is an uphill battle against some of the big companies. It sold its animation studio to…
He prefers CCO-T. The uranium space is one he really likes. He thinks we are going back to nuclear power as you can only have so many wind turbines and solar panels.
TheScore Inc. (SCR-X) Jan 10
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…