This week were 20 Stock Top Picks in a wide range of industries: Consumer, Healthcare, Utilities, Industrials, Financials and Technology.
The price target is in SGD. A recovery story. A pan-asian conglomerate. Thailand is a very strong economy. Manufacturing exports is growing in the country. Fundamentals are growing. Emerging market respondent. $20B CAD company. Good growth drivers. Has traded 50% higher in the past. Will do well with the reopening. (Analysts’ price target is $0.89)
Ruth’s Hospitality Group (RUTH-Q)
Stockchase Research Editor: Michael O'Reilly RUTH has developed over 140 steak houses worldwide thru private ownership and franchises. As the economy reopens patrons are expected to quickly return. Recently reported EPS of $0.26 and growing cash reserves is a testament to how they continued to thrive during the pandemic. They plan to add three more…
Deckers Outdoor Corp. (DECK-N)
Stockchase Research Editor: Michael O'Reilly DECK is the manufacturer of the UGG brand that has expanded to include running footwear. It trades at 24x earnings compared to peers at 36x -- good value here. Cash reserves continue growing and now exceed $1 billion. We would buy this with a stop loss at $260, looking to…
Toll Brothers Inc. (TOL-N)
A luxury homebuilder, a sector he likes. Trades at 10X PE and is benefit from the swell in luxury spending. Good value here. (Analysts’ price target is $69.33)
Home Depot (HD-N)
She's been adding on this pullback. Sector benefited with Covid. Growth of their PRO division is actually greater than DIY for the first time in the last few quarters. Not housing starts that drives them, but housing turnover. Housing shortage encourags renovations. Building out e-commerce, and so operating margins will improve. Yield is 2.16%. (Analysts’…
La-Z-Boy Inc. (LZB-N)
Stockchase Research Editor: Michael O'Reilly LZB recently reported earnings that easily exceeded analyst expectations. Backlog orders suggest they will be at full production capacity for several quarters yet. All their business segments are reporting record demand levels allowing margins to expand. The company has reinstated the dividend and has a payout ratio under 30% of…
Global leader in DNA sequencing. Almost 90% recurring revenue with good growth. Highly cash generative with good balance sheet. Good acquirer. Expects DNA sequencing will be a pervasive treatment option in healthcare. (Analysts’ price target is $404.80)
Boston Scientific Corp (BSX-N)
It is a medical device company and people are starting to be able to get in to see their doctor and take care of things. A lot of their revenues are tied to non-deferrable procedures. That is positive for the whole group and they have company-specific catalysts also. (Analysts’ price target is $49.00)
Attractive dividend with a good growth profile. Good ESG candidate so funds should flow into this. In the last little while, we have seen some decline in the sector. An attractive entry price. There is 1400 additional mega watts of energy coming online. A good rewarder of share holders. (Analysts’ price target is $21.01)
2019 was affected by a GM strike. In 2021 it is shaping up to be a full recovery as each of their three businesses are coming back. Insider buying activity further reinforces his positive view. (Analysts’ price target is $100.40)
Broadwind, Inc. (BWEN-Q)
Stockchase Research Editor: Michael O'Reilly BWEN markets equipment for energy and cleantech projects like wind turbines. As the economy re-emerges after the pandemic, energy demand will return and with it plans to expand cleaner energy sources. It has recently been introduced into the Russell Index (effective June 28), which should add some buying demand to…
Masonite International Corp (DOOR-N)
It's 15% off its highs, but this will do well as housing does well driven by demographics and low interest rates. They sold 31 million doors last year across 60 countries. (Analysts’ price target is $147.13)
Canadian National R.R. (CNR-T)
Both railways are good buys over the long run. The trucking industry is having difficulty keeping up because of a shortage of drivers (e.g. to drive gasoline to gas stations). The railway industry will continue to benefit as well as to better weather increasing fuel prices.
They have been doing a great job of putting up great results but the price did not reflect it. It has traded above a multi-year resistance level. There is good rent growth and good occupancy. She thinks the stock is just getting started. (Analysts’ price target is $15.37)
Bank of America (BAC-N)
Biggest interest rate sensitivity among the US banks. The bond yields moving higher has benefitted BAC to outperform. This and JP Morgan are his core US Bank holdings.
Toronto Dominion (TD-T)
Strongest capital position of all the big 6 banks. Their interest in Schwab can be monetized. Want to expand their already large US presence. Loan growth should pick up. Will benefit when regulatory restrictions are lifted. Should continue to increase dividends. Yield is 3.61%. (Analysts’ price target is $93.28)
Citizens Financial Group (CFG-N)
Stockchase Research Editor: Michael O'Reilly CFG is a US regional bank that operates 1000 branches in 11 states in the New England, Mid-Atlantic and Midwest regions. It is estimated to hold $23 billion in cash reserves and growing. It trades at 13x earnings compared to peers at 20x. It trades right at book value and…
Used to own it. Their devices, like the iPhone, are interwoven into our lives. They have growth for the very long term as they keep launching new products. Pays a low dividend. He foresees so-so returns in the future, but they are a fine company and are very well run. He has no problems with…
It continues to grow revenue and earnings three times faster than the S&P and yet trades only at a 15% premium to it. It is going to post at least two years of strong growth. He thinks it is undervalued. (Analysts’ price target is $384.17)
Futu Holdings Limited (FUTU-Q)
Stockchase Research Editor: Michael O'Reilly FUTU is the online digital stock trading platform equivalent of SCHW for Southeast Asia. It has clients in China and recently launched in Singapore and now how over 100,000 clients. Recent reported earnings were up over 300% and its sales have been doubling for 5 consecutive quarters. It is trading…
Use this list wisely to identify buying opportunities.
Happy trading !!!