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Stock Opinions by Brian Acker, CA

COMMENT

The size of the U.S. deficit is scary. But he expects yield-curve control to be imposed on Western countries. So if rates rise above 50 basis points in, say Japan, that government will buy all the bonds to get the yield down by 50 points. The market is waiting for the switch from QT to QE. The US Fed will have to be the last resort-buyer of debt.

Unknown
COMMENT
The Canadian energy sector

OPEC+ is down 4 million barrels/day in supply which is putting a floor on the price. But he sees a recession coming. Add to that China's output falling. So, oil prices should be lower for these reasons. He already made his money in oil, but will wait and see before returning. Macro events mean everywhere, not individual stock plays. Doesn't know where oil is going, whether higher or lower.

Unknown
COMMENT
A Comment -- General Comments From an Expert
Gold outlook

Likes physical gold, not the stocks, gold that's already mined and smelted.

Unknown
DON'T BUY
Canadian bank outlook

He's been watching this closely. His metrics show that last week that the market no longer trusts their balance sheet (the chart fell below previous support levels). Of the big five, this is the first to go into "blue".

banks
DON'T BUY
Shopify Inc.

$22.82 is his model price. He predicts SHOP will test $64.80, a stop. If it falls below that, sell. Maybe this is a trade. Doesn't sell upside.

0
DON'T BUY
Ivanhoe Mines Ltd

One of the most expensive mining companies, with valuation along the lines of Google. He targets $7.68, so more downside, but would buy at that level. Will higher costs impact their next earnings report?

Mining
COMMENT

Pays a 8.37% dividend. He targets $39.80, 27% upside. It's seen a waterfall of decline in the past year. This will fall to $27, book value, first and that's when he will consider it.

telephone utilities
DON'T BUY

His metrics flashed sell recently. $51.30 is his target, or 18.5% downside. In no rush to buy this or any insurance company now. Wait for cheaper shares.

insurance
COMMENT
Both a TOP PICK and a Past Pick: US dollar on Nov. 3, 2023

He still urges getting out of Canadian dollars and into the US dollar. Go through your broker. He expects the USD to rise. He sees deflation which he worries about. The US treasury trade has been painful. Buy USD to protect your capital during this difficult time.

Unknown
PAST TOP PICK
(A Top Pick Nov 03/22, Down 9.3%)

Is priced in US dollars. The long bonds have been getting smoked, but the cheaper they get, they better. His return is roughly even, considering the exchange rate.

E.T.F.'s
PAST TOP PICK
(A Top Pick Nov 03/22, Up 20.5%)

It's a hedge, used to preserve his purchasing power. Happy with the gain YOY.

E.T.F.'s
SELL
Aritzia Inc.

Very expensive. He targets $36.43, 50% upside. But be cautious with this. It's in a down trend and we're heading to a recession. He's bearish. Consumers are struggling to pay mortgages, not buying clothes.

specialty stores
SELL
Brookfield Corp
Sell BAM and BN to buy Brookfield Reinsurance

He's very negative and expects 17% downside. No, negative trend yet, but doesn't like the Brookfield companies. Why are there three Brookfield companies in the index? $40.85 is his target.

investment companies / funds
DON'T BUY
BCE Inc.
Upcoming merger between Rogers and Shaw? (caller was unclear)

He sees 35% downside. Earnings just barely cover their dividend. GICs pay higher returns.

telephone utilities
DON'T BUY
iShares Silver ETF

Likes gold, but not silver, being leery of any industrial metal because of the high costs of mining and manufacturing. 

E.T.F.'s
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