This week’s new 52-week lows… (Dec 05-11)

They have a great niche in car security software. Another auto-sensor company was taken out earlier this week. As 5G comes, BB could be a takeover target. You could capture a bit of growth as well.

Interesting and thinks there is a window here for some nice momentum. Have wired tethers that run high-speed data over short distances, and he believes designed into the Oculus Rift headset, the Facebook virtual reality game. Ultimately he thinks those headsets will go wireless. Thinks there could be a nice ramp up on this over…

In asset tracking. Started off with Bluetooth tracking where they would attach the device to something, and via Bluetooth, it would tell you where your asset was. Now they’ve moved into Low Power Wide Area Network, so basically a cellular chip, like a Sim card, which you are going to plug in. This expands the…

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…

A compliance platform for bit coin processing. He sold. It is the only bit coin play that is publicly traded and so the valuation is way ahead of the fundamentals. He is skeptical of the concept.

Solid stock with a good dividend? He likes Computer Modeling Group (CMG-T) which does modeling for oil/gas exploration. Ways about 3% dividend but also has some growth.

A provider of temporary workplace accommodation, primarily in Western Canada, in the oil sands. Likes the name and likes the space. Thinks this space is going to be growing 18% over the next 5 years because of the projects they are involved in. (See Top Picks.)

There are 3 pressure pumpers in Canada and are involved in the hydraulic fracturing of reservoirs as part of the completion process after the well has been drilled. This company has struggled with the debt and has been selling their US business. At this point in the cycle, he wouldn’t be too constructive on this…

(A Top Pick April 6/15. Down 32.4%.) Natural gas producer in the Montney. Very well-run. Likes the story longer-term. This could be a $3-$4 stock again, but the problem is low natural gas prices. They are managing themselves frugally for these tough times. A name that you want to buy on weakness. If they got…

(Market Call Minute.)

They are 9,200 boed and 71% natural gas. They are working at reducing debt and building a position in the Cardium area. He has a $2.40 per share target in the next 12 months and he holds it personally. Yield 0%. (Analysts’ price target is $1.75)

(Market Call Minute.) Great company with a good management team. Has a sustainable dividend, but the growth rate plus the dividend is too boring to attract the next incremental dollar.

In the drilling business with one of the better management teams and a pretty new drill fleet. If you are going to own any drillers in the Canadian space, this is one of the top 3 that you want to own. However, with the drop in oil and gas prices, it is difficult for them…

The preferred K, a rate-reset They've done a good job of splitting up the company into two stocks. They've got things on track. You can hold this preferred. The next reset is not till 2022. ALA has to do more work, but he is confident they can dig themselves out.

(A Top Pick December 18, 2017. Down 33%). He was early in his recommendation of this company, but it is doing the right things. It is extending the maturity of its debt. The company was over $3 a year ago. Production in Q2 was up compared to Q1. It will drop for Q3 because of…

Has a good dividend policy with a decent yield of about 3%. Thinks they have increased their dividend by about 40% per annum in the last 5 years. Likes the energy services sector, but is not a holder.

The debt is simply too high for him to invest in. They also have some issues with First Nations peoples. This has too much hair on it for him.

Has come back to support levels. At this stage, he'd be a buyer. If you already hold it, you'd be careful, as you wouldn't want it breaking support.

An oilfield services company. Longer-term, he likes this. They are the Western Canadian leader in the coil tubing service business. Long-term, there is a good opportunity in this space. In the short term, he would be a little bit cautious on the entire services space. Profitability is pretty muted.

Bottoming phase in early ’09 then a rally. Profit taking at end of summer. $0.40 is support level; If it breaks through $0.67 level he would see a dollar.

They are doing all the right things. They had assets sales. They are strong at monetizing assets. One of the stronger performing energy names.

It had a good quarter recently. He would put this lower in his rankings as there are others that are just a bit better. It yields less than ENB-T, where the risk is lower. Yield 5.7%

Stock is now about the 20, 50 and 200 day moving averages. There is a little of an upward trend. There will be some resistance at around $7.

The stock has been hit lately. Their oeprations were doing well over the past few quarters. Then, PD announced they would buy Trinidad (during a market downturn), so their stock collapsed. He's trying to understand their rationale behind that announcement. Their last quarter was weak. Hold onto itnow. The stock could snap back if Ensign…

Great driller and a low-cost producer of natural gas. However, the problem is the price of natural gas and how to get it out of Alberta and into a market that will pay more for it. That is a problem with a lot of natural gas stocks these days. Dividend yield of 8.96%, a warning…

(A Top Pick Apr 7/17, Down 29%) They did a good job of paying down debt. He thinks they will now move on to phase II of the current project and will bring up production. They will more than double production. It will continually bring on more cash flow. He thinks the stock is cheap.

They did a good deal with VII-T. They build long term assets before the stock got beat up. It has recovered nicely. If the price of oil comes down then it is possible after the winter we could see lower prices of $4-5. Hold off and wait until about late Q2 of this year.

(A Top Pick April 2/15. Down 16.23%.) Has been trimming his position. Valuation is rich, especially when comparing to a Freehold Royalty (FRU-T). Also, Canadian Natural Resources (CNQ-T) vended their freehold land and gross overriding royalties into this company for an almost 20% shareholder basis. They’ve given indications that they want to dividend half of…

They produce oil in Colombia. He likes the balance sheet and the production growth. Management is educated in the region. He thinks this is a good holding for the energy space. They may be a good take out target in the future.

Global pipeline coatings. As a Canadian we should all be very proud of this company. There are not many Canadian companies that are a world leader in what they do. Has held this as a Long position many times. The downside is that they are going through a rough patch right now. Management feels that…

It is just below where it was in 2013. What’s going on in the energy sector outweighs the seasonality of the stock.

Coming out of Arc Financial (private equity). Clean balance sheet. Trading at 1.9 times next year EBITDA. Historical average in Canada of a pumper is 7. Liquidity vacuum in the stock market is creating this opportunity. (Analysts’ price target is $18.20)

(A Top Pick Jan 05/18, Down 69%) He sold out of this when it became apparent oil prices were not going to finish above $70 per barrel by year end. He sold this at $4.25. They announced last week a divestiture making them debt free and it trades below book value. They have bought back…

Need to be careful on the gas recovery. It is primarily a weather trade. If you are bullish on gas, this is a solid name.

He says this company is trading below book value, when historically it has traded at 2 times book. He still worries about low oil prices and how it impacts next quarterly earnings. He would buy this under $2.

Has a lot of admiration for the CEO, but the company walked into several sharp objects in 2017, and their credibility has been hit. It’s going to take some time to demonstrate their execution capability. For the time being, it is difficult to see the stock outperforming others. He would rather buy names that are…

WCP-T is a good mid-cap energy company, but he is not excited about the space right now. He is not looking to add in this environment, but when he returns WCP-T would be a great company. His largest holding is VET-T.

In an environment where the appetite for energy is still nonexistent and large investors want only 1 or 2 names, this company is not going to hit the radar screen for some time to come. They have liquids rich exposure and gas exposure but there is still exploration risk on their acreage.

Dividend of 11.6%. Their business is pretty good. It's economically sensitive which is a concern.

Is one of the steel plays in Canada which was seen as defensive given the tariffs. Have seen people take profits after good results reported. It is still a dicey sector, with tariff concerns and economy and infrastructure concerns. Investors are getting concerned about this sector. He suggests taking profits now and see what happens…

Likes these types of charts. Pull back looks like profit taking. If it holds above $3.20 then there is probably another dollar in it. Exit at $2.50.

It seems the hole went right down the throat of what looked like a structural intersection. Also, it was reverse circulation, and the recovery wasn’t that good. An interesting deposit and in the part of Peru that is very dry, which is part of the issue of getting diamond drilling there.

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.

Doesn’t particularly like the deposit. Very speculative. It’s all over the map. There are safer names out there.

He is a geological advisor to them. Consulted on a project in Italy, but it was not what he thought it would be.

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.

One of his recent “Bottom Fish” that he has put a little bit of tension on. They have the Cheechoo project, about 15 km south east of Eleonore, which is now in production, almost meeting its 300 ounce per year over put. The Cheechoo is a low grade system, but have been discovering that there…

Hold or Sell? This has had a nice move. If you are underweight the whole gold complex you might want to keep it. If you are a trader, you have had a spectacular move in the last 4 months, you might want to take your initial capital out.

Wouldn't be his top pick. Usually goes with the cycle pretty well. We are still in a sceptical stage of the market. Any silver company will do well once the optimistic phase begins.

Picked up a large land package in Ontario and Québec. Conceptually picked up on trend large deposits of Detour (DGC-T) and looking to replicate the same success.

(Market Call Minute.) Lumber is probably the poster child for seasonality. The time to own is going into the 4th quarter. There has been some improvement in housing which favours lumber producers, and this is one of the best suited. He would look toward September.

A fantastic story. Have about 5 billion pounds of copper and gold. Cash costs in this environment should be about negative. Sees upside in this one.

Thinks we are going to have a mining market. It is time for a new super cycle, which makes sense, because we get one about every 10 years. This is an interesting stock in that it is not a mining company, it is a “project generator” which acquires properties, does a little bit of work…

A lot of people want to play the housing market in the US and their recovery, which hasn’t really recovered the way people thought it would. Last year there were 900,000 new homes sold, and somewhere between 1 and 1.5 million new homes is a reasonable expectation. This company sells all the stuff that goes…

Operated by the Lundine family. This has been a truly outstanding Canadian success story. It mines and markets some of the highest quality diamonds globally. Earnings on a quarterly basis are lumpy, but over the course of a year they earn and distribute a lot of money. Return on cost employed in this mine is…

A bit difficult to value when looking at their assets. Started off as a developer in Red Lake, and everybody speculated that Goldcorp (G-T) would acquire them. That hasn’t happened. The geology just didn’t work out the way the company had expected. The company has now gone and done a bunch of other stuff, and…

He likes management and the asset. They are looking to produce 120,000-150,000 ounces of gold per year. They are all-in sustaining costs of around $740-$790. Have $50 million in cash. They are paying down their debt, which is only about $54 million. A single asset company and in a jurisdiction not everybody wants to be…

The primary long way to get exposure in the Canadian frac market of larger companies. He likes management. They are a transportation advantage within Canada, and are roughly 40% of the Canadian frac sand market. Some of the big, big wells going on in the Permian literally use 100-200 railcars for a single well. The…

The parent owns the majority of the stock has been selling, which is good news. This is much more liquid and you can pick it up. They make rail ties and utility poles which are moving into a major phase of the cycle to replace them. This is more good news. They plan to acquire.

Likes it. Idaho. Sunshine mine is back in production and silver is going up and these guys are starting to make some serious money.

Yukon. Million oz discovered. Large potential to expand.

Management is first-class. The stock may be fully priced given where they are in the assets that they acquired. However, if you go back in time with this management, you don’t do poorly investing with them.

Has had a pretty significant run in the last few weeks. Has a long ways to go yet over time. Has property in the area of Novagold’s (NG-T) Galore Creek. The work starting in this area will bring a lot of attention to this region.

(A Top Pick Jan 25/12. Down 30.77%.) Ran into a short-term production problem and some legal suits, both of which are out of the way now. Just reported fourth-quarter shipments of 10,000 ounces, implying 40,000+. Looking at probably 60,000 ounces which is a corporate objective. Price target of $1.50.

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

They make bikes, baby furniture, baby equipment, car seats, etc. The family that is involved in it owns a significant stake. He sees better days ahead. It is trading at a reasonable valuation. Dividend yield of about 4%.

They tend to do well during the summer time. From March to August it gets the bulk of its gain. In the back half of the year it tends to turn lower.

(A Top Pick Feb 13’17, Up 71.07%) It has always been a big winner. After the US election it was down. This one worked okay. He still believes in it.

Music on your cable box. They put up a good quarter recently and raised their dividend. There is insider trading. It is going to become a street darling. It is somewhat illiquid. (Analysts’ target: $10.00).

This is a really, really quiet company. They don’t issue a lot of stock, the brokers don’t talk about it, it is pretty illiquid and doesn’t trade, but is a pretty solid company. Operate in hardware retail stores. Recent sales growth was 9%, but more importantly, was 24% in the US. Earnings per share went…

His kids enjoy their toys, TOY's brands have fallen off quite a bit in the market and the new ones likely won't excite.

The industry has been hammered in the last couple of years. It is hard to analyze. The results aren’t that transparent. It is hard to know how it is doing organically. He does not think the company was that well managed in the past. It is a wait and see approach.

Current inventories are selling very well and profits are very large. Stock has been off the map but is now rising. Selling at 6/7 X this year's earnings.

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.

A developer brand in organic food space. Recently broke into Loblaw’s (L-T) and some other food chains. An acquisition driven story. They have quite strong organic growth of 20%+ a year, but will continue to acquire brands, develop them, and expand them from within. It is everything from baby food to pet food to drinks.…

Floundered for a few years trying to figure out the layout and the menu that would work for them and they finally optimized that. Went from 5 units to start the year and will be in by the end of 2011. Each unit is generating $150,000-$250,000 of EBITDA to the parent company per quarter. They…

Earnings are inconsistent from quarter to quarter, but they have tremendous growth ahead, like building a plant in Brazil. They do grain storage and transportation for individual and industrial farms. Likes them long term say five years, but they can miss their next given quarter.

Growth rates have come down. It is a box office name. They have diversified but BO is still 75% of their revenues. in the end they are modeling 11% earnings growth. Trading at 19 times 2019 earnings. Dividend is safe-ish.

Is this a buy over the next 1-2 years? He thinks the buy in by Aurora was interesting. Their existing business is going through transformation and they are working at trying to improve on or sell assets – especially in Alberta. He is on the fringe of wanting to own it.

Building products, lumber distributor across Canada. The building/renovation market in Canada has been quite good for some time. The yield of 9.2% is too high. They are over distributing. Thinks they have some room on a line and could pay out a debt if they wanted to, but clearly that is a temporary type fix.…

(A Top Pick Apr 12/18, Down 19%) He is still loyal to them and increased his position not long ago. The market is predicting better days ahead. They are still growing. They are aggressively buying back shares and opening new stores. It is very, very well run company. Debt is bumping up against levels that…

This is a good one to get into the insurance space, having Canadian and US players. Interest rates have a big impact on their revenues, more so than it does on banks. However, he thinks the Fed can’t raise rates by more than a percent.

As long as you hold it judiciously it could be a core holding, such as low double digits as a percentage. Because it has the total investable benchmark index, you are getting a lot of small company names and a lot of exposure to stocks from around the world, especially in Europe. A great way…

(A Top Pick July 8/13. Down 3.85%.) For people trying to collect dividends, preferred shares do sell off in the summer, especially in August but he thinks the selloff has been overdone. For fixed income portfolios, where you are not going to trade, but are going to hold them for perhaps 5 years, this is…

Has been beaten up and you are getting double gearing to basket of producers. You are not taking single company risks.

The pain in the preferred share market was mostly the result of the huge number of Reset Preferreds that came onto the market within the last 5 years, so a lot of these preferreds did not reset their dividend for 5 years, and a lot of them did it this year because it was their…

MSCI EAFE (CAD-Hedged) ETF. International. Cap weighted. Broadly diversified. It tracks the MSCI EAFE index, so it is a whole wide variety of 1st world economy stocks.

A new EFT, started last November. North American in scope. Good strong dividends, diversified market. Perpetuals are a different interest rate risk. He is not sure how they deal with the tax treatment of US preferds. A reset is a good way to protect against future interest rate hikes but you can’t control that with…

(A Top Pick Sept 1/11. Up 6.9%.) This was an opportunity to get broadly diversified into international stocks outside of North America. Went through a bit of a rough patch midyear but seems to be rebounding nicely. This might be a good time to show some courage and buy into Europe.

(A Top Pick Oct 27/17 Up 2%.) Has been underperforming lately. It’s a great sector and canadian financials are great companies, but he just thinks there are better opportunities somewhere else. They are looking to come back to the financial sector in January when banks do well again.

Will the rise in value of this ETF continue? The TD Bank and Bank of Montréal launched some structured products into the market that were linked to the payouts of the preferreds, and they were wildly successful. The demand for these preferreds went through the roof. He doesn’t think this is sustainable and he sold…

Loves this space (U.S. banks). He owns many of them. He'd add to ZUB here. Some U.S. banks, like JP Morgan, report earnings next week. Another catalyst is their trading revenue is expected to rise in a big way. Interest rates rising are anothe tailwind.

ZWE-T vs. ZWU-T vs. ZWB-T. A 100% stake in anything is generally a bad idea. These three give you 2/3rds of your portfolio seeking dividends in Canada. He would add ZPW-T for US put writes. ZWH-T would give you a broader exposure. He would underweight Canada.

Great West Life (GWO-T), Sun Life (SLF-T) or Manulife (MFC-T)? He has quite a bit of exposure to life insurance right now through Manulife and Sun Life, and they both look very attractive. Interest rates are likely going to work their way slowly higher over the next several years.

Very focused. Have positions in 4 life insurers and they are running a covered call program against the existing long positions. Going to have volatility given its exposure.

It should be going higher. We are seeing a period of rising interest rates which the lifecos should benefit from. There is a reverse head and shoulder pattern. It is very bullish. It should test at $51/52. Buyers are stepping in to accumulate the stock. It is poised for further upside in 20/21.

(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.

On his last appearance, he was concerned with CM around $109, and in May he said that if this fell below $105, there would be troubles. $105 would become resistance. He owns RY, BMO and TD. Unless CM cracks $105, CM will be stuck between $100-105. There are better places to go.

The whole banking sector is quite positive. The chart shows a little head and shoulders. If it can break above $32, it would probably run away pretty nicely. He likes the whole financial sector. (See Top Picks.)

An asset manager that operates in the high net worth space. The demographics are great. Family assets are growing more quickly than lower net worth households. Also, client relationships tend to be longer-term and stickier, due to the nature of the services offered. The stock is discounted because of long-term litigation with the founders, which…

If he was going to buy a bank it would be this. He's seeking dividend companies. He bought it in December at $39.56 with a 6.6% dividend. It has a good chance of rising above $50 again. Since then, he has bought more. But he wouldn't buy--or sell--it at today's price, though.

He has done well over the last 5-6 years. It is well run. They have a lot of equity in their own products. They are well run and stay within their core competency. It should be a good bet.

PWF-T vs. POW-T. The parent vs. the subsidiary. He would go to PWF-T. We saw a bit of a pull back. He prefers the banking sector even more than these. He would not step into either one.

They have an emerging robo-advisor business among their other businesses, GWL and Investors Group which are sluggish growers. Unless something macro in the insurance space (interest rate hikes) or an acquisition happens, PWF will simply grind along. Mutual funds are stagnating or declining (Investors Group charges very high fees). Safe dividend, but he doesn't see…

This is secondary (suburban) office. There is going to be a really interesting play in suburban office at some point. You’ll have to watch for GDP numbers for small business growth in Canada. There is quite a large spread in what people are willing to pay, for class A buildings versus suburban office. These guys…

This ran into significant trouble and were in a lot of fixed-price contracts that went over costs. They have had to totally restructure the company. Also, they are primarily a Western exposed company, and more on the construction side rather than engineering in the equation. Feels they have been overlooked. If there is going to…

Has been a little weak lately. Made an acquisition of Century Property. Has a management arrangement with Starlight (?) but he would prefer a better management agreement but it is a really good source for small company acquisitions. 7.83% yield.

If you can't buy the coin directly this is a very interesting leveraged play. It is one of the biggest bit coin miners out there. Two years from now the net asset value of the company could double. (Analysts’ target: $7.85).

They have made acquisitions around the world. They are trying to build a global cannabis company. We need to see some execution from management and some cash flow from all these investments.

This buys small grocery anchored centres. It is so small that it is hard to get some love. If you own it, it is going to move around and will be very volatile. You are going to lose and gain. The main part of your return is going to be your yield, currently over 11%,…

They bought a UK company with their largest markets being the UK and Hong Kong. Those two markets have been depressed. It could turn out in the long run to be a very good move for NFI-T. He thinks their dividend is fairly safe at these levels. Longer term he thinks they are in a…

Earnings are lumpy but return on capital has been quite strong. Should do well. Has not captured the excitement of the market. Would not be surprised if he owned it in a month.

Feels the market has been improving for them a little bit lately, with the increasing activity in oil/gas and some of the mining sectors. A cyclical company. Right now it is probably a good company to own. Management would be pretty determined to retain their dividend. Yield of 6.8%.

He held this in the past. It looks dangerous. He would wait for it to get down to the $1.35 level. It is almost micro cap and these companies can run into problems. Use the 100 day moving average. (Analysts’ price target is $2)

It is a pass through operator, running Jazz airlines for Air Canada. AC-T has a habit of cancelling contracts. The risk of this is now none as they have extended their deal out to 2035. The pilot agreements are secured out to then also. They have good return on operations and have a good return…

Q2 they checked all boxes. A story of improved macro tailwinds combined with increased margin efficiencies and cost cutting. They model earnings growth of 28%. Trading at 153 times 2019. (Analysts’ price target is $38.83)

There are all kinds of good things about this company. After NAFTA was agreed upon the stock has gone down. Issues in Europe should have been short term. It is perceived as the smaller of the auto parts companies. But it should be viewed as a metallics manufacture. They make products for oil and gas,…

They have been paying out too much in dividends so the book value has been slipping. It looks like the company is rolling over. The fair market value is 13% under where it is trading. He sees more downside than upside.

This is another company in the cannabis space. This is not a cannabis producer, it is a company that adds value in that space. They are mapping cannabinoids, looking for different formulations to treat different diseases.It is highly speculative, but he thinks there is opportunity for this type of company. He likes the management. In…

Been around for a long time. Has a broad range of technologies. Have recently signed licensed for Virusmax, which can double the yield of virus production for vaccinations. Bull semen-sexing technology. Have some very interesting technologies. Watching it very closely. Like the company.

Gas play in Guatemala and Colombia. Have a lot of land blocks near where Petrominerales (PMG-T) hit. Just drilled a well with a fairly large target in Guatemala and found oil at a much higher area than expected. Cased the well and we'll hear more next week. Highly speculative.

Medical marijuana. This is newer and under the radar. They recently went public. Has a facility in London that is fully funded with a master grower who has been in the space for quite a number of years. They'll have a few catalysts, with the biggest one being getting their sales license.

Medical marijuana producer in Manitoba. This has certainly had a great debut. Just started trading this week. It shot up massively from where they last did their financing. Just did a distribution deal with Canopy (WEED-T). There are a lot of different M&A announcements coming out in this area. It looks like it might be…

Fixed price energy contracts door to door. It has done fairly well. The turn in terms of their clients is so high, though. He does not feel that comfortable with them. 8% yield and do people really believe it?