Earning Reports to Watch (Nov 26-30)

No one covers this story. When he looked at the numbers he got VERY interested. They just started to ramp up in terms of production. It should rise into Q1’17. They could earn 20-40 cents. He has 3 year warrants. Diamond prices are at a multi year low. This will start to get it on…

Doesn't know the stock that well but based on what he does know, it's in a favourable place. Undervalued. If the mining cycle continues, you should see good performance out of this one.

Silver. Recently came out with some spectacular results. Looks like it continues to get better grades and a bigger deposit. Should give you a lot of leverage. Might be a little ahead of itself currently.

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.

They were abutting New Gold’s (NGD-T) Ashton project. They have an interesting exploration play and have sold some rights to New Gold. A speculative situation.

Only drawback with this is perception, which is they don't have a 43101 resource and not well defined. In some circles, that is true but if you can actually get the ore and spend shareholders money to produce a profit, that's what you should do.

Metals/mining sector is not the best place to be right now. This one looks like it's bucking the trend. Chart shows a decent uptrend and shows little “step-ups”. If it broke down through the current price, it would probably hold at $.50.

Up 19% year-to-date. Drilling results have been good. They have 11 projects and 2,000,000 acres of land in the Northwest Territories. There is a lot to do between finding diamonds and mining them.

It would appear that they have got themselves into a whole mess of trouble. There are a lot of questions as to what is going on here. He had concerns that the high-grade mineralization was not being properly constrained and therefore being blown out across the whole thing. Currently it is under Cease Trading order.

A high quality exploration company, and has had a very good recent move. Had some very good results earlier in the week, and the market has responded well.

Have projects in Nevada and French Guiana. Until recently, French Guiana was a tough place to explore. However, the government has mapped out areas where you can mine open pit, areas where you can mine underground and areas where you cannot mine. That is a huge plus. Have a large deposit in French Guiana of…

Potash. Unique relationship with several First Nations in Saskatchewan. Hasn’t been any drilling on their lands and they are now in prime potash territory.

If you up the cutoff grade, it all starts to fall apart. He sees the size potential

Some of the people behind Gold Standard Ventures, are behind this one as well. If you follow success in this industry, you will do relatively well. They raised a lot of money for Gold Standard Ventures and it has done well. It is probably in the 8th-9th inning before it gets bought out. This one…

The theory is that graphite will be in demand because of Lithium batteries. Not his favourite in the space.

Has been an investor in this for a long time. They bought a Papua New Guinea project from Barrick (ABX-T) for almost next to nothing. They are about to start producing, and there will be a lift when they go from “no” cash flow to cash flow. He is also hoping that when they get…

(Top pick on May 11/04. Down 2%.) Still likes. Extremely inexpensive. Sitting on a resource of at least 5,000,000 ounces. An even better buy now.

Lithium. Has a very interesting and attractive deposit in Argentina. It is the most economical form of lithium. It is not hard rock, so there are not a lot of costs and they can do this economically. Higher risk/high potential return. Management is first-class.

12 million oz of gold and platinum. 17 km long deposit. Potential to double in size of larger. Was formerly a mine and has been permitted. Access to power. Could go into production in 2 years.

Has had trouble getting traction. This is one you should bargain hunt for in the $0.10-$0.20 range and hope they come up with some new idea post uranium.

Have some good indications that the zones go deeper than before and the grades are pretty good. New management team and getting good support and is getting noticed.

Silvercrest Metals (SIL-T) or Silvercorp Metals (SVM-T)? This one is a fairly small deposit, but with high quality people.

(Market Call Minute.) Thinks this could go higher, but it has some risks.

Explores ultrapure graphite deposits in north-eastern Ontario. Quite small and is still in development. Not quite at the producing stage yet. Just came out with a really nice intercept today and the stock was halted. As purity levels on graphite goes up, profits explode. He doesn’t know which way it is going to go. It…

Makes money. 10 X earnings Should grow well.

Extraordinarily intriguing. Doesn't know enough to give a strong recommendation.

(A top pick March 2/05. Down 14%.) Likes the El Pavon discovery. In joint venture with Meridian (MNG-T). Meridian will spend $5 million for the option to buy 60% of the gold that's discovered. Very early stage, grass roots.

Venezuelan gold that just announced 48,000 ounces from the last quarter and talking 500,000 ounces by 2012. Very good project in very good company and trading at a discount. Issue is Venezuela and is in part controlled by Russians.

He says this is a riskier play trading on the Venture exchange. They are going to make $100 million in revenue this year and just acquired a company in Manitoba. They dig holes and push cables. This is a 5G play. They are the best at acquiring and converting and sees a 50-60% stock price…

He really likes the company. It is in the same business as LNR-T and MG-T, but growing faster. It is too small to be a takeover target. There is a lot to like about the stock. 1.65% yield.

(A Top Pick March 17/11. Up 9.78%.) Provide e-wallet for online transactions. They service businesses, not consumers. Put up their 1st profitable quarter last summer/fall. They'll continue to grow in the 20%-25% range. Target of $2-$3.

This is an ultra-low cost airline. The airlines have been doing very well recently. The chart shows the company is transitioning from one kind of company to another at around mid-December. He likes very-low-price companies but would be cautious about how much he would invest. Not more than 3% of his portfolio. He would expect…

(Market Call Minute.) Had an issue with the management contract that has now been resolved. Feels there is a lot of upside for them. Shipping oil now.

Drones. He wouldn’t want to own a drone maker, because it is going to be a Chinese industry. Instead of drones, these people are aiming for air rights, which he finds interesting. That is an asset you can’t replicate. Management is very, very skilled. They have built and sold a number of tech companies. They’ve…

Generally doesn't think carbon capture and storage is the solution to reducing emissions. Questions if this is a viable solution. Hasn't been demonstrated on scale. Carbon capture will play a role where there is a market for carbon dioxide, enhanced oil recovery.

Tow boats use sonar to sweep ocean floors for water mines from naval warfare. A niche product which creates barriers to entry from competitors. Just approved by the U.S. Navy for some of its products. The market is finally paying attention to this.

This equipment producer is active in Europe and Italy creating renewable natural gas from composting as well as methane collection in garbage dumps in North America. He likes their long term prospects.

Uses plasma torches at extremely high temperatures operating in a vacuum. They can use this to burn up bad chemicals as well as being able to reclaim a lot of aluminum from dross. They are doing a ton of work on the military side, including a process to burn up stuff on US aircraft carriers.…

Most globally ambitious. Number of acquisitions, which appear to be going well. Trading at a 10% discount to its historic valuation, 10x earnings. Consistent outperformance of the TSX. Yield is 4.81%. (Analysts’ price target is $77.13)

They are providing almost a royalty payment to those wanting to financial auto dealership loans. They go out and borrow money and make royalty investment in those investing in a dealership. He is watching for them to make a third party investment outside of their dealer group. They pay a great dividend and have fantastic…

He has never invested in it. When the company was raising funds, it was doing so at sizable discounts, which caused some concern. He does not yet understand how this technology will play out, so they are sitting on the sidelines. He is not sure this company could be a long term sustainable crypto-miner. He…

Provincially regulated trust Company. Just reported Q2 earnings and the results were fantastic. 6% dividend is very safe. Very well managed company. Very illiquid in that it can go weeks without trading any shares.

This is going to be the high-tech story in Canada. They developed a platform for real estate agents and have over 300,000 users now. The only problem with it was that it was not trading in the US, but it has now started trading there. Now a global operation. It’s illiquid.

He looked at this as a possible investment on its IPO. This is a non-branch bank that does commercial lending on buildings and things and is based in London, Ont. It is down $0.20 from its issue. He would like to see a couple of quarters of earnings and see their track record. Has less…

(A Top Pick Sep 11/18, Up 5%) Share price flat. Bank stocks in general reflecting a slower economy. Last quarter, saw nice core growth in Canadian business. Increased dividend by about 3-4%. Investing in technology and infrastructure.

CIBC vs CN Rail for income? He would be getting out of all the Canadian rails at this point. The banks are also getting hurt. Negative interest rate curves are a warning that something ugly is going to happen. The GDP will fall and interest rates will begin to rise. He would therefore buy into…

Considering the Ameritrade zero commission controversy TD is a buying opportunity and it has been unfairly punished by this issue. He's underweight Canadian banks, so he missed their big move in September. TD is one of his favourites in this sector.

They are waiting for Husky, the operator, to make some announcements. Land issues in the area. Also working on some UK deals to get them farmed out. A fabulous story for business risk oriented accounts. Use a 3/5-year investment time horizon.

Just raised some money and will be undertaking a 6 well program.

Uranium play in Namibia. They will have high costs, but as the price of uranium goes up, it could grow. It will take years and years. Because of its recent run, he wouldn't buy at this time.

He is quite bearish on the broader markets, but the sentiment in the energy sector in Canada has been so negative that he thinks it is undervalued. They have no debt and has 900 prime low-cost Montney drilling locations with significant infrastructure and only about 10% of it is dry gas. CEO owns about 30%…

They help oil/dance companies do seismic surveys. A lot of the companies have cut spending and the stock has fallen off. If you're willing to take short-term pain, it is probably a good holding. Possibly won't be any good news in the next 6-9 months because of weak gas prices. Contrary and play. Be patient.

Recently purchased as a toe-in-the-water flea bite at less than 1% in his portfolio. One analyst believes there is some pretty good upside opportunity. Speculative.

They are a potential take over target as they are one of the largest in the logistics sector. They could privatize the company as well. He thinks they will stay focused and would suggest management keep doing what they are doing.

They are doing distinctive infrastructure, where they are digging trenches to get that last mile to the home. They are doing this in the UK, and have a large contract with one company. He really likes the story, but is waiting to see some revenues and earnings drop to the bottom line over the next…

Really interesting company in the solar space. Have a concentrator system that concentrates sun rays onto a small chip. Could be some interesting breakthrough technology. Had a pretty good run and he has taken a little bit of profit. Speculative.

They do recommend it in one of their portfolios. The health monitoring business is growing and he would like to see more contracts signed. There are risks as this has a high valuation. He likes the management team. It is a speculative buy.

One of his favourite stories. A software company that continued to do very well on top line and bottom line. Increased their dividend. Cash flows are very strong. Has started to see price increases on their software. Expects you will see margins expand over the next couple of quarters. 3.5% dividend yield.

Good mngmnt. Lots of cash. Has revenues.

Database system of photographs for houses for the real estate industry. Still in the development stage. Real estate has gone to hell in a hand basket. This is a name you need to watch because when there is a recovery it will have a pretty good bounce. Well managed.

Getting global acceptance of products. Low volume

One of the 39 marijuana licensed producers. Has a small operation on Vancouver Island. Also, has property on the mainland and the goal is to build a new facility there and get it licensed. A new licensed facility, gets them into the Health Canada queue a lot faster. This company flies under the radar right…

They made an announcement today of a significant nickel discovery. Discovery was in Norway. He likes it.

Life sciences. Have an interesting regenerative technology. For example, they can take a hair follicle and extract certain cells, and then replicate them 1 million times and then re-inject them back in areas where they are needed. It is very, very rare to have a company this small with 2 products in phase 2 trials.…

Haven’t got their sales license yet. They leased an old Imperial Tobacco property in Aylmer. All these stocks are trading on very high valuation, so he would be careful.

(Market Call Minute.) There are so many marijuana companies that whole sector should be avoided. It is a ridiculous valuation for a commodity-based product. There will be some companies that will make money, but if you cannot predict which ones, then stay away.

Electric cars. The real story is the batteries that are in the car. They can be charged in 3 minutes. This company has an exclusive license for the battery up to 45 kg units. Alternative energy space is an interesting one, but you should only bet on what already works.

Ski-doos. Has a fairly mediocre track record at the moment. In hugely better shape than Bombardier (BBD.B-T).

The people behind this are the same ones that started up Clearnet, so good management. Expects the company to turn cash flow positive next year and profitability the year after.