This week’s new 52-week lows… (Nov 28-Dec 04)
Among the stocks reaching their 52-week low this week some are often mentioned by stock experts on Stockchase : Altagas, Bonterra Energy Corp, Crescent Point Energy Corp and Leucrotta Exploration Inc. are all Energy Stocks worth mentioning.
Here’s the full list :
(A Top Pick Nov 11/22, Up 14%) M&A acquisitions performing 3-4 years later.4 years of dividend increases. One of largest positions.Debt falling down to better levels.Midstream assets performing well. New CEO also bringing credibility.
(A Top Pick May 30/23, Up 26.9%)Stockchase Research Editor: Michael O'Reilly Our PAST TOP PICK with ARX is progressing well. To be disciplined, we recommend trailing up the stop (from $17) to $19 at this time.
Almost entirely natural gas based company. Paying for premium on carbon capture technology involvement with Entropy. Not enough opportunity to justify investment. Better opportunities in oil weighted companies.
Shale gas in the US. A spin out from Bankers Petroleum (BNK-T). There is a lot of potential excitement but it just doesn't have the same management quality team. Just too risky in the market at this point.
Their debt has always been an issue. Trading at in-line levels for their multiple. Does not check his boxes in his fund.
Debt concerns? BXE took bankruptcy protection when debt became too much. There is no equity value in it any longer. Companies that have debt that matures in 2020 or 2021 will have issues. He sees no issues with BIR or TVE on this topic. The new Federal relief program for large companies may be difficult…
Not as bullish on energy services (not as much drilling). Good job at paying down debt. Capital allocation will ensure less activity in drilling services.
(A Top Pick Jul 11/23, Up 16%)Stockchase Research Editor: Michael O'Reilly Our PAST TOP PICK with CPG is progressing well. To remain disciplined, we now recommend trailing up the stop (from $8.00) to $9.50 at this time.
Nat gas prices have been slaughtered, which impacts this one. Likes that it managed to cut production. Bit of an overhang in nat gas, so there's an overhang on valuations. He focuses on the larger integrated players like CNQ.
Just beat earnings and have increased production. Cheap valuation compared to peers. But it's getting more expensive heading into 2021. There's no growth here, but that goes with the entire oil patch. The real issue is will they survive. Their balance sheet is getting better, but still high for a blue-chip name. You'll be saved…
He stayed away because they went to the states to make acquisitions. He did not know why the Americans would not already take these assets. He stays away from it.
One of the largest fleets of generation 3 and 4 deeper coil tubing. Two businesses: coil tubing and tools. Both are being run efficiently. Margin pressure in the sector. Great little story that will be a big beneficiary of LNG drilling. No debt. 5-year bull market target of $3. 2023 will be a pivotal year…
Super cheap. As a royalty company, rock-bottom production costs. Only costs are running the office, which comes to about $5 a barrel. They make money in every environment. Yield is 7.53%, which is about 60% of free cashflow. (Analysts’ price target is $19.25)
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.
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research. KEL has strong drilling activity and currently no debt. We have KEL in the growth model portfolio, and we like it for its diversification benefits, being in the oil and gas sector. It is a strong name with a good balance sheet and healthy profit…
One of North America's largest logistics providers.Defensive name that is good for low risk investors.Large & diversified business.Better names in the sector - but not a bad investment for the long term.Record Q1 revenue with ~4% dividend yield.
Stockchase Research Editor: Michael O'Reilly Boasting record high production and supporting an ROE of 36%, we again reiterate NVA as a TOP PICK. Despite recent precautionary wildfire curtailments, quarterly production increased 9%, allowing for cash flows to rise, despite lower commodity prices. It trades at 8x earnings and 1.3x book value. We like that cash…
Not a good investment with current management team. Other energy companies available with better opportunities.
Also owns drilling and service rig business.Debt free which is good.Has been buying shares.Excellent company with strong management team.Lots of insider ownership.
(A Top Pick Sep 20/22, Up 46.5%)Stockchase Research Editor: Michael O'Reilly Our PAST TOP PICK with PSK is progressing well. To remain disciplined, we recommend trailing up the stop (from $20) to $23 at this time.
Good exposure to multi-lateral drilling. So you get better productivity for a slightly higher cost. Excellent results. Assets are very good. Dividend is safe. A patient hold. Upside once mid-caps are in favour again. See his Top Picks.
Likes the generosity toward shareholders, balance sheet tightening, and sustaining capital to support the dividend. "In the choice between yield and growth, why not choose both?"
BBI-X is the old ticker. The merger involves a 10 for 1 split. PIPE-X shows a couple of weeks of trading and that is what to go by. They are coming on with new production facilities soon. By the end of the year, they will go to 10 times that. He thinks it is cheap…
BF-N vs. CE-X. BASF is the world's largest chemical company. It sells at a high premium. There is concern that prices are too high to last.
They're in northeast BC where Tourmaline is consolidating land and assets, near LXE. So, LXE will become topical. LXE has reached an inflection point after acquiring a lot of land and pushed the Montney play to the northeast. Now, they need a lot of capital to move to full development. They're talking to potential buyers,…
🛢 Basic Materials
AGI vs. FVI 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.
Forestry space He owns no names. The stocks are okay but face trade disputes and an economic slowdown that will hit housing stocks. The stocks have been beaten up.
Dundee vs Excellon? DPM-T was a previous Top Pick and he would look to add to a position. It is one of the highest free cash flow generators in the gold producing space. Production continues to grow and costs are better than their peers. He would continue to hold it. Silver does have some upside…
Laggard. Attractive entry point. Silver as a commodity is seeing higher highs and higher lows. Really likes the potential of silver longer term, especially for a Santa Claus rally.
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.
They are not getting ahead. It should be okay, but you have to manage the balance sheet and the capital structure and so far they are not doing a good job of that.
He wouldn’t take a position right now. If he held it, he would sell it right now. Technicals are downward tending. Sometimes technical stocks don’t work for all stocks. There are major red flag. (Analysts’ price target is $1.43)
“Jumps and Steps” – quite common in junior companies. Each jump is a news item. As it gets closer to production, it will keep on doing this. Pullbacks are due to profit taking. Must stay above the $0.30 level, otherwise it may be bad news.
The company has suspended its dividend. They operate diamond mines in South Africa. They are looking into underground, from open pit. The cost is more expensive than thought. The price of diamonds has been reduced, though retail prices won’t change.
Sees no change to the dividend theory. The 3 Irish business millionaires actually control the company and are holding it long-term for the dividends. The company has some costs going on disadvantaging it. The diamond sector itself has not produced really stellar performance. This is a “wait and see”.
They have been around for over a decade. The idea was to mine on the ocean floor, where there could be silver, copper and some precious metals. Environmentally, there is a lot of resistance to this. It is low tonnage, but high grade. They eventually ran out of capital and went bankrupt.
He owns it around these levels. They have mines in Bolivia and Spain and looking to acquire in Argentina. The property they just bought has costs of $500-$650 per ounce of gold. He is concerned about the revolving door on management. He does not know where gold prices are going to go. He will continue…
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.
Always highly leveraged on risk/reward. Geopolitical risk of Cuba. Nothing compelling in terms of nickel or cobalt options, there are better choices. No dividend.
Highly volatile stock.Good to buy when out of favor.Service style business is the first to be cut when energy prices fall.Good if bullish on energy(risky). Better names for investors (Trican/Precision).
It was a top pick pick a while ago and he sold a bit too early. It is well positioned for an increase in infrastructure demand since its products are needed for enhancing the grid. It is a long term buy but you could wait for a pullback.
They make envelopes and have 90% of the market in Canada. It is very profitable with massive pricing power. Although there is a slow decline in envelope use in Canada they have a pretty good share of the market in the U.S. which is growing. It is also diversifying by buying small niche packaging companies.…
Operates in South Africa. Earnings should double this year and rise 50% in 2021. There's a merger underway. They are a disciplined buyer of companies, and this new deal should be accretive. He's bullish on gold.
(A Top Pick Oct 23/19, Up 10%) A bit of a lagger but he continues to like and hold it. They had some Covid issues but everything is coming together, especially with their leverage. They stayed alive during the worse by mining low grade. They have started mining high quality gold.
It has a great management team and the Yukon is a friendly place to develop. Infrastructure is the issue. Smaller mining operations can deal with this, but lack of power and transportation are challenging. Where copper prices are, this is still too levered -- you need copper prices to go higher.
The Barkerville district has a lot of prospectivity. Their individual drill results are excellent but under the control of the Osisko company. He doesn't own it, because has a hard time getting the drill holes to tie together. That said, the district has a lot of promise and the exploration team is strong. The stock…
It looks interesting, but is too small for his funds. It has under-performed for the past few years. They are in the right place at the right time, but we need to see some good drill results soon.
This is a material that is basically one layer of carbon. It is very difficult to produce. It is produced a little bit in labs and sells for a very high price, but hasn’t really been mass produced as yet. It could be the material of the future. It is revolutionary. Very light and very…
Good exposure to EV market.Excellent exposure to China.Volatile - good for trading.Better value than Tesla for value.Would buy under $11.
The guys behind this have had great success in Mexico. They've had not bad results to date. Anything in the silver area is probably going to do well.
(A Top Pick March 11/11. Down 10.36%.) You have to be patient with this stock. It may take a couple of years before they are in production.
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…
It’s a tough deposit. Erratic mineralization with the Uranium. He doesn’t think a lot of the deposit. Prefers others.
Uses their GPS system to figure out where trains are, and to more accurately schedule trains and service vehicles for people working on the rails. Reported on Aug 14 and earnings were down 10%. That was against a 32% increase in sales. In the coming quarter, earnings are expected to be down 75% year-over-year. Great…
He rarely talks about Gold. He thinks it is a strong sector bet. It is been out of favor for so long that mines have closed, productions have closed, mergers and acquisitions happened. Central Banks are now massive buyers of Gold. they want to get out of the US dollar. The Fed is not raising…
It develops AI for disruptive financial analytics. He doesn't cover it - there are better investments out there such as Google and Adobe.
A social media platform. A difficult one to analyse. It has a cast of big shots in management operating mainly out of California he thinks. This is into video streaming. The difficulty with this is that you need a gazillion hits, and the giants such as Google and Facebook are the ones that take the…
Vogogo Inc (VGO-CN) TSXV
(A Top Pick May 20/15. Down 93.21%.) The company had some technology that allowed for compliance and payment processing technology. They started in the Bitcoin area, which didn’t work out very well. They then moved on to high risk areas, which would be considered gaming. Recently announced a strategic review of the company, so are…
Asset trackers. New iteration uses cell, not Wi-Fi. Helps cell phone companies boost revenue, as price of phone plans decreases. Before stepping in again, he's looking for a big ramp up in the trajectory of revenue and earnings.
HPB Energy Bull+ ETF. Immediate leverage to oil price moves. If you have a very good near-term bet that you want to make on oil this would be the way to go but if you are looking for an investment in the oil patch that has a long-term investment implications, then you should go to…
Will both spike when the pandemic is over? Will both spike when the pandemic is over? HOU-T is the upward moving ETF. It is also a two times ETF. The HOU-T is certainly the side to be on today. If the virus news is true then there will be a lot of pent up demand…
(A Top Pick Aug 10/23, Down 9%)Stockchase Research Editor: Michael O'Reilly Our PAST TOP PICK with LNR has triggered its stop at $65. To remain disciplined, we recommend covering the position at this time. This will result in a net investment loss of 6%, when combined with our previous recommendations.
(A Top Pick Mar 09/23, Down 21%)Stockchase Research Editor: Michael O'Reilly Our PAST TOP PICK with GFS has triggered its stop at $3. To remain disciplined, we recommend covering the position at this time.
Depends on growth rate. One thing they've struggled with is future growth. He needs to see serious levers for growth that make sense from a risk/reward perspective.
This has been a very difficult stock. Recently reported a very bad quarter. He would stay away from this one. Inventory has gone up a lot and their margins have fallen. Cut the dividend totally. Thinks they are in a bit of trouble.
Doesn't know this company. Loves the space. Names with a good name, like "green" move well. They produce organic foods, and people are looking to eat healthier. Fancy name. Fancy products.
(A Top Pick Mar 01/18, Down 22%) This was disappointing. They were trying to grow at the expense of the bottomline. Their growth plans did not come to fruition. The CFO left. He does not see a lot of reason to be involved in this name at this point.
A play on where the next bull market's going to be, and that's going to be cyclicals. A cheaper valuation within the group.
It is in a downtrend with a series of lower highs and lower lows. It needs to stop this trend and move sideways. You should look at highs and lows on a weekly chart.
(A Top Pick Nov 6/14. Down 75%.) One of their key assets is an oil/gas services business, so it has come under a lot of pressure. This is a high risk/high reward situation. Still very much a binary outcome. It is either going to come under a lot of pressure with bankruptcy risks, or the…
They own U.S. hotels, a high-risk, high-reward stock. He's bearish on hotels, which is struggling with labour costs and keeping labour. HOT.UN has done a good job restoring vacancies, in the low-70s, though their peak was in the 80s. However, they've made up the balance on their hotel rates. Their balance sheet is slightly higher,…
Good company. In some interesting spaces in terms of hormonal stuff. They are on the search for a Viagra for women. The numbers into 2016 are looking pretty good. He wants to see one or 2 more quarters, but if they keep doing things the way they are, it is a name he would be…
Use this list wisely to identify buying opportunities.
Happy trading !