Norman Levine
Member since: Feb '01
Managing Director at
Portfolio Management Corp
Portfolio Management Corp
4894 Opinions
Latest Top Picks
(A Top Pick Nov 08/19, Down 7%) All pharmas face a "patent cliff" where they drugs they developed are about to go generic, so companies need to develop new drugs or buy companies. Theirs ended in March. This is going from a value into a growth stock. They now have 3 drugs in the pipeline, including a blader cancer one, a prostate one, and one for severe menopause which has great potential and awaiting approval. The stock hasn't done much, but the potential is high.
(A Top Pick Nov 08/19, Down 1%) They're the biggest maker of actuators, devices which signal valves to open and close and allow pumping of fluids. These are used in oil/gas refining. He sold this earlier this year. Nothing wrong with the stock, but he owns a similar stock. A fine company.
You need to look outside Canada to find a quality miner. Our mining companies sold at peak prices in the last cycle. This is a fine Australian one in copper, iron ore and metallurgical coal that goes into steel production; also in oil and gas. You need to own commodity companies when their commodity is doing well. China's economy is recovering and driving up prices. Big upside, but remember mining companies are cyclical--own in good times, but don't hold on. (Analysts’ price target is $54.69)
They're a Spanish travel company. He sees travel bouncing back. AMADY is the reservation system for the world travel industry--airlines, cruises and travel agencies for bookings. It's gaining market share. Travel will recover in stages. This is well-capitalized and well-run.
A UK company. They make minimally invasive surgical equipment. Hip and joint surgeries were cancelled/postponed during Covid which hurt SN's sales, but there's a huge backlog. This will bounce back after Covid. (Analysts’ price target is $41.33)
Signal
Opinion
Expert
Chart
COMMENT
COMMENT
November 27, 2020
He's focused on the recovery stocks as vaccines pick up and the economy recovers. The stock market looks forward, so he wants companies that will do well when vaccines roll out globally next year. Those companies may not be the same ones which led the market after the March 2020 bottom. In recent years, being a passive investor in ETFs or index funds worked, but not now. Namely, tech stocks now occupy 25% of the S&P while other stocks have lagged, but it's starting to change. Now, the cyclicals and interest-rate sensitive stocks will improve, and will really benefit the TSX. He expects the Dow to outpace the S&P and Nasdaq in 2021 as things normalize.
Show full opinionHide full opinion
He's focused on the recovery stocks as vaccines pick up and the economy recovers. The stock market looks forward, so he wants companies that will do well when vaccines roll out globally next year. Those companies may not be the same ones which led the market after the March 2020 bottom. In recent years, being a passive investor in ETFs or index funds worked, but not now. Namely, tech stocks now occupy 25% of the S&P while other stocks have lagged, but it's starting to change. Now, the cyclicals and interest-rate sensitive stocks will improve, and will really benefit the TSX. He expects the Dow to outpace the S&P and Nasdaq in 2021 as things normalize.
DON'T BUY
DON'T BUY
November 27, 2020
A market leader benefitting from zero interest rates and money pouring into momentum stocks. Apple has seen its best days as money flows into other areas. He wouldn't buy it now, though maybe in a pullback.
Show full opinionHide full opinionA market leader benefitting from zero interest rates and money pouring into momentum stocks. Apple has seen its best days as money flows into other areas. He wouldn't buy it now, though maybe in a pullback.
electrical/electronic
BUY
BUY
November 27, 2020
He bought it to increase his healthcare holdings. They have several business: prescriptions, medical devices, a huge consumer business, and vaccines. He's waiting for med. devices to pick up after operations resume globally after Covid. JNJ and Merck seem to lag the others in vaccines, but there'll be many opportunities to sell vaccines--vaccines will be a big winner for JNJ.
He bought it to increase his healthcare holdings. They have several business: prescriptions, medical devices, a huge consumer business, and vaccines. He's waiting for med. devices to pick up after operations resume globally after Covid. JNJ and Merck seem to lag the others in vaccines, but there'll be many opportunities to sell vaccines--vaccines will be a big winner for JNJ.
biotechnology/pharmaceutical
BUY
BUY
November 27, 2020
vs. CN Rail It did well, though not as well as the FAANGs. He's pared his holding. You can't compare this with CN--completely different industries. You can own both though. CN may do better than OTEX.
computer software/processing
HOLD
HOLD
November 27, 2020
Has long owned this and doubled-up on this last spring. But then it kept going down, though he's happy to collect the yield which kept rising. Oil stocks have been hit this year, but he'll still hold this. Pipelines face approval resistance, though. The governor of Michigan threatens to close line 5, which is a ridiculous threat and could lead to an international political incident (though he doesn't think it'll happen). ENB is trying to replace that line with a safer one, which makes this situation crazy. This is why the stock has dragged. Happy to hold this, wait and collect the dividend.
Show full opinionHide full opinionHas long owned this and doubled-up on this last spring. But then it kept going down, though he's happy to collect the yield which kept rising. Oil stocks have been hit this year, but he'll still hold this. Pipelines face approval resistance, though. The governor of Michigan threatens to close line 5, which is a ridiculous threat and could lead to an international political incident (though he doesn't think it'll happen). ENB is trying to replace that line with a safer one, which makes this situation crazy. This is why the stock has dragged. Happy to hold this, wait and collect the dividend.
oil/gas pipelines
BUY
BUY
November 27, 2020
The global auto outlook is very good. For many months, nobody was buying or making cars, so now there's pent-up demand. Ford is high-risk, though. Magna is safer in this space. If you're a risk-taker, Ford is fine.
Automotive
BUY
BUY
November 27, 2020
vs. Tourmaline Oil Like ENB, it faces the same regulatory approval headwinds; will Biden approve Keystone XL? TC still has many pipelines operating and pays a safe dividend. You can't compare this to Tourmaline, like apples vs. oranges.
vs. Tourmaline Oil Like ENB, it faces the same regulatory approval headwinds; will Biden approve Keystone XL? TC still has many pipelines operating and pays a safe dividend. You can't compare this to Tourmaline, like apples vs. oranges.
oil/gas pipelines
BUY
BUY
November 27, 2020
Natural gas prices have been--and will continue--to do well. Good balance sheet here and can issue more stock to buy weak competitors.
Show full opinionHide full opinionNatural gas prices have been--and will continue--to do well. Good balance sheet here and can issue more stock to buy weak competitors.
oil/gas
COMMENT
COMMENT
November 27, 2020
GWO is the holding company of several lifecos, including London Life and Canada Life. GWO is cleaning up operations to cut costs.
Show full opinionHide full opinionGWO is the holding company of several lifecos, including London Life and Canada Life. GWO is cleaning up operations to cut costs.
insurance
HOLD
HOLD
November 27, 2020
Financials are waiting for the U.S. yield curve to steepen and this is now happening. MS also benefits from underwriting which is accelerating. MS has also increased their space in the personal area--MS used to deal with the rich, top-end people in America, but now serve the common mainstream. Stick with it.
Show full opinionHide full opinionFinancials are waiting for the U.S. yield curve to steepen and this is now happening. MS also benefits from underwriting which is accelerating. MS has also increased their space in the personal area--MS used to deal with the rich, top-end people in America, but now serve the common mainstream. Stick with it.
investment companies/funds
PAST TOP PICK
PAST TOP PICK
November 27, 2020
(A Top Pick Nov 08/19, Down 7%) All pharmas face a "patent cliff" where they drugs they developed are about to go generic, so companies need to develop new drugs or buy companies. Theirs ended in March. This is going from a value into a growth stock. They now have 3 drugs in the pipeline, including a blader cancer one, a prostate one, and one for severe menopause which has great potential and awaiting approval. The stock hasn't done much, but the potential is high.
Show full opinionHide full opinion(A Top Pick Nov 08/19, Down 7%) All pharmas face a "patent cliff" where they drugs they developed are about to go generic, so companies need to develop new drugs or buy companies. Theirs ended in March. This is going from a value into a growth stock. They now have 3 drugs in the pipeline, including a blader cancer one, a prostate one, and one for severe menopause which has great potential and awaiting approval. The stock hasn't done much, but the potential is high.
Pharma & Healthcare
PAST TOP PICK
PAST TOP PICK
November 27, 2020
(A Top Pick Nov 08/19, Down 1%) They're the biggest maker of actuators, devices which signal valves to open and close and allow pumping of fluids. These are used in oil/gas refining. He sold this earlier this year. Nothing wrong with the stock, but he owns a similar stock. A fine company.
Show full opinionHide full opinion(A Top Pick Nov 08/19, Down 1%) They're the biggest maker of actuators, devices which signal valves to open and close and allow pumping of fluids. These are used in oil/gas refining. He sold this earlier this year. Nothing wrong with the stock, but he owns a similar stock. A fine company.
HOLD
HOLD
November 27, 2020
Owns Loblaw and real estate. This will track how Loblaw is doing. Supermarkets soared during the spring lockdown and will thrive during more lockdowns unfortunately. He prefers Kroger (American), because of its online and home delivery. It's okay to hold onto Weston. He's ambivalent.
food processing
HOLD
HOLD
November 27, 2020
Fears of future debt by governments The banks in North America have been market laggards, waiting for a recovery in the economy and the yield curve. TD is now bigger in the US than Canada, but he prefers owning a US bank directly. But TD is fabulously run. No reason to sell this.
Show full opinionHide full opinionFears of future debt by governments The banks in North America have been market laggards, waiting for a recovery in the economy and the yield curve. TD is now bigger in the US than Canada, but he prefers owning a US bank directly. But TD is fabulously run. No reason to sell this.
banks
BUY
BUY
November 27, 2020
TD and BMO have big US exposure, but he prefers buying a US bank itself. BNS has strong international exposure, especially Latin America, which he likes. Likes the diversity.
banks
BUY
BUY
November 27, 2020
The oil company people love to hate. They've had some operational issues, but not to deserve this sentiment. Last week, he doubled his position, selling at bargain rates. Their exposure to gas stations and refineries hurt during the spring lockdown, but that's now done. They're fixing their operational issues. He likes that they're running the syncrude project. Lots of upside here. The market has been way too hard on SU. There could be some tax-selling, so buy then.
Show full opinionHide full opinionThe oil company people love to hate. They've had some operational issues, but not to deserve this sentiment. Last week, he doubled his position, selling at bargain rates. Their exposure to gas stations and refineries hurt during the spring lockdown, but that's now done. They're fixing their operational issues. He likes that they're running the syncrude project. Lots of upside here. The market has been way too hard on SU. There could be some tax-selling, so buy then.
integrated oils
BUY
BUY
November 27, 2020
He owns only Canadian oil, not international. The oil price is starting to turn up, and RDS will benefit. RDS is a fine name.
Show full opinionHide full opinionHe owns only Canadian oil, not international. The oil price is starting to turn up, and RDS will benefit. RDS is a fine name.
integrated oils
BUY
BUY
November 27, 2020
A good stock with a fine outlook. It's taking advantage of weak times to buy competitors in North America and now entering Hong Kong. It's all good for the long term.
Show full opinionHide full opinionA good stock with a fine outlook. It's taking advantage of weak times to buy competitors in North America and now entering Hong Kong. It's all good for the long term.
food stores
HOLD
HOLD
November 27, 2020
This area is going through high capex spending to build out their 5G networks. A lot of money, though it will be a fabulous network. He's in no rush to own telcos now. If you already own this, the yield makes this worth holding onto.
Show full opinionHide full opinionThis area is going through high capex spending to build out their 5G networks. A lot of money, though it will be a fabulous network. He's in no rush to own telcos now. If you already own this, the yield makes this worth holding onto.
telephone utilities
BUY
BUY
November 27, 2020
It's the only REIT he owns. It hold offices and malls. He bought more when this crashed earlier this year, because he expects people to return to work. He himself does and surveys indicate this. People want to return to offices and malls. They continue to payout and support their dividend.
Show full opinionHide full opinionIt's the only REIT he owns. It hold offices and malls. He bought more when this crashed earlier this year, because he expects people to return to work. He himself does and surveys indicate this. People want to return to offices and malls. They continue to payout and support their dividend.
REAL ESTATE
TOP PICK
TOP PICK
November 27, 2020
You need to look outside Canada to find a quality miner. Our mining companies sold at peak prices in the last cycle. This is a fine Australian one in copper, iron ore and metallurgical coal that goes into steel production; also in oil and gas. You need to own commodity companies when their commodity is doing well. China's economy is recovering and driving up prices. Big upside, but remember mining companies are cyclical--own in good times, but don't hold on. (Analysts’ price target is $54.69)
Show full opinionHide full opinionYou need to look outside Canada to find a quality miner. Our mining companies sold at peak prices in the last cycle. This is a fine Australian one in copper, iron ore and metallurgical coal that goes into steel production; also in oil and gas. You need to own commodity companies when their commodity is doing well. China's economy is recovering and driving up prices. Big upside, but remember mining companies are cyclical--own in good times, but don't hold on. (Analysts’ price target is $54.69)
other mines
TOP PICK
TOP PICK
November 27, 2020
They're a Spanish travel company. He sees travel bouncing back. AMADY is the reservation system for the world travel industry--airlines, cruises and travel agencies for bookings. It's gaining market share. Travel will recover in stages. This is well-capitalized and well-run.
Show full opinionHide full opinionThey're a Spanish travel company. He sees travel bouncing back. AMADY is the reservation system for the world travel industry--airlines, cruises and travel agencies for bookings. It's gaining market share. Travel will recover in stages. This is well-capitalized and well-run.
TOP PICK
TOP PICK
November 27, 2020
A UK company. They make minimally invasive surgical equipment. Hip and joint surgeries were cancelled/postponed during Covid which hurt SN's sales, but there's a huge backlog. This will bounce back after Covid. (Analysts’ price target is $41.33)
Show full opinionHide full opinionA UK company. They make minimally invasive surgical equipment. Hip and joint surgeries were cancelled/postponed during Covid which hurt SN's sales, but there's a huge backlog. This will bounce back after Covid. (Analysts’ price target is $41.33)
biotechnology/pharmaceutical
BUY
BUY
November 27, 2020
Driven by big pent-up demand for cars after the lockdown this year. MGA is the third-biggest auto parts company in the world. The stock has run up lately, but there's still upside.
Show full opinionHide full opinionDriven by big pent-up demand for cars after the lockdown this year. MGA is the third-biggest auto parts company in the world. The stock has run up lately, but there's still upside.
Consumer Products
PAST TOP PICK
PAST TOP PICK
November 27, 2020
(A Top Pick Nov 08/19, Down 8%) This was BB&T Corp. a bank in North Caroline and along the east coast. Was well-run. It merged with Sun Trust and changed names. This is especially strong in the southeast of the US, which he likes for its strong economics and demographics. The rising US yield curve is a tailwind and profitable for TFC.
(A Top Pick Nov 08/19, Down 8%) This was BB&T Corp. a bank in North Caroline and along the east coast. Was well-run. It merged with Sun Trust and changed names. This is especially strong in the southeast of the US, which he likes for its strong economics and demographics. The rising US yield curve is a tailwind and profitable for TFC.
banks
N/A
N/A
June 8, 2020
Market. US tech stocks are hitting fresh record highs. They are more represented by the NASDAQ and are lagging the S&P-500 and Dow. It is being overshadowed by Boeing. The top five stocks in the S&P represent over 20% of the S&P index. If you look at an equal-weighted S&P index, it is now outperforming. The stock markets are disconnected from what is going on in front of people. The bond market is now showing signs that it expects a recovery to begin. The yield curve has become positive and it is a positive economic factor. He thinks there is more bad news in the bank shares. He lightened up on them. He is using this as an opportunity to upgrade his bank holdings, especially in the US.
Show full opinionHide full opinionMarket. US tech stocks are hitting fresh record highs. They are more represented by the NASDAQ and are lagging the S&P-500 and Dow. It is being overshadowed by Boeing. The top five stocks in the S&P represent over 20% of the S&P index. If you look at an equal-weighted S&P index, it is now outperforming. The stock markets are disconnected from what is going on in front of people. The bond market is now showing signs that it expects a recovery to begin. The yield curve has become positive and it is a positive economic factor. He thinks there is more bad news in the bank shares. He lightened up on them. He is using this as an opportunity to upgrade his bank holdings, especially in the US.
N/A
N/A
June 8, 2020
Banks. The pullback in banks is inevitable, both in Canada and the US. A number are approaching their 200 day moving averages. If a bank breaks through it would be a buy.
Show full opinionHide full opinionBanks. The pullback in banks is inevitable, both in Canada and the US. A number are approaching their 200 day moving averages. If a bank breaks through it would be a buy.
BUY
BUY
June 8, 2020
It has not run quite as much as some of the others. It depends on what WTI does. If it continues to rise, then it will be quite positive. Eventually they could re-instate their dividend.
Show full opinionHide full opinionIt has not run quite as much as some of the others. It depends on what WTI does. If it continues to rise, then it will be quite positive. Eventually they could re-instate their dividend.
integrated oils
BUY
BUY
June 8, 2020
He continues to own it and likes it. It is a big player in industrial pumps for municipal and energy applications. It is net cash positive with cash on its balance sheet. They have raised their dividend every year for 40 years.
Show full opinionHide full opinionHe continues to own it and likes it. It is a big player in industrial pumps for municipal and energy applications. It is net cash positive with cash on its balance sheet. They have raised their dividend every year for 40 years.
WATCH
WATCH
June 8, 2020
It is depended highly on the takeover offer. Technically the buyer has to continue with the offer but given the buyer's financial position it is unlikely they can continue. If it goes through it could mean high upside. He thinks the deal will be negotiated down some. If it does no go through, it could mean low single digits. He thinks things will come back to what they were in movie theatres. You have to be prepared with this one and to be a gambler.
Show full opinionHide full opinionIt is depended highly on the takeover offer. Technically the buyer has to continue with the offer but given the buyer's financial position it is unlikely they can continue. If it goes through it could mean high upside. He thinks the deal will be negotiated down some. If it does no go through, it could mean low single digits. He thinks things will come back to what they were in movie theatres. You have to be prepared with this one and to be a gambler.
other services
BUY WEAKNESS
BUY WEAKNESS
June 8, 2020
There is no news to account for the move. In the last three weeks the banks have been on fire but they could be running out of steam. He hopes prices come off so he can do some buying. Three months from now we will get a whole lock-down quarter and that will be more significant.
Show full opinionHide full opinionThere is no news to account for the move. In the last three weeks the banks have been on fire but they could be running out of steam. He hopes prices come off so he can do some buying. Three months from now we will get a whole lock-down quarter and that will be more significant.
banks
BUY
BUY
June 8, 2020
Petroleum (Crude Oil). There was the lock-down on the world economy and then you had the price war between Saudi Arabia and Russia. You are starting to get economic activity around the world that is upping demand for crude. He owns SU-T and CVE-T. He prefers to be in quality companies.
Show full opinionHide full opinionPetroleum (Crude Oil). There was the lock-down on the world economy and then you had the price war between Saudi Arabia and Russia. You are starting to get economic activity around the world that is upping demand for crude. He owns SU-T and CVE-T. He prefers to be in quality companies.
DON'T BUY
DON'T BUY
June 8, 2020
Airlines are trades and never long term investments because mostly airlines tend to be their own worst enemy as they buy more planes and add more capacity as we get to the top of a cycle. He thinks it will take a long time for people to want to fly the way they did before. They are burning huge amounts of cash now. He would not buy one.
Show full opinionHide full opinionAirlines are trades and never long term investments because mostly airlines tend to be their own worst enemy as they buy more planes and add more capacity as we get to the top of a cycle. He thinks it will take a long time for people to want to fly the way they did before. They are burning huge amounts of cash now. He would not buy one.
Transportation
PAST TOP PICK
PAST TOP PICK
June 8, 2020
(A Top Pick May 22/19, Down 22%) He sold back in February. He had owned it since 2003. He finally felt it was time to sell the stock. They made a number of not so lucrative acquisitions over the last few years and he felt it was time to move on to something else.
Show full opinionHide full opinion(A Top Pick May 22/19, Down 22%) He sold back in February. He had owned it since 2003. He finally felt it was time to sell the stock. They made a number of not so lucrative acquisitions over the last few years and he felt it was time to move on to something else.
packaging/containers
PAST TOP PICK
PAST TOP PICK
June 8, 2020
(A Top Pick May 22/19, Down 2%) The biggest company in actuators, which are fluid valves electronically activated. He had been attracted to them being an asset-light company. It was built on acquisitions but over the last two years have been trying to rationalize them.
Show full opinionHide full opinion(A Top Pick May 22/19, Down 2%) The biggest company in actuators, which are fluid valves electronically activated. He had been attracted to them being an asset-light company. It was built on acquisitions but over the last two years have been trying to rationalize them.
PAST TOP PICK
PAST TOP PICK
June 8, 2020
(A Top Pick May 22/19, Up 9%) He likes the pharma and medical devices areas. He bought when it was suffering from a couple of law suits. They are a minor player in the affected sectors. He likes the healthcare sector.
Show full opinionHide full opinion(A Top Pick May 22/19, Up 9%) He likes the pharma and medical devices areas. He bought when it was suffering from a couple of law suits. They are a minor player in the affected sectors. He likes the healthcare sector.
biotechnology/pharmaceutical
DON'T BUY
DON'T BUY
June 8, 2020
A regional, commercial bank out of Florida, that has operations in Metropolitan New York. Management took it out of near bankruptcy and had done a wonderful job of another bank in the area. It never happened and the individual has left the bank. The guest had owned it and has now sold it a couple of weeks ago.
Show full opinionHide full opinionA regional, commercial bank out of Florida, that has operations in Metropolitan New York. Management took it out of near bankruptcy and had done a wonderful job of another bank in the area. It never happened and the individual has left the bank. The guest had owned it and has now sold it a couple of weeks ago.
Financial Services
WATCH
WATCH
June 8, 2020
It has not been a value stock by any means. With the economic slowdown and its big advertising component then it could be an opportunity in the future. It will retain its dominance in online advertising.
Show full opinionHide full opinionIt has not been a value stock by any means. With the economic slowdown and its big advertising component then it could be an opportunity in the future. It will retain its dominance in online advertising.
Business Services
DON'T BUY
DON'T BUY
June 8, 2020
IPL-T vs. ENB-T. IPL-T is a mid-carrier. It moves between facilities. ENB-T is international and moves between Canada and the US. ENB-T also owns a local gas utility in Southern Ontario. He owns ENB-T because it is a higher quality company and has bigger projects that are somewhat deferred due to environmental assessments. The dividend is stable and was not at risk.
IPL-T vs. ENB-T. IPL-T is a mid-carrier. It moves between facilities. ENB-T is international and moves between Canada and the US. ENB-T also owns a local gas utility in Southern Ontario. He owns ENB-T because it is a higher quality company and has bigger projects that are somewhat deferred due to environmental assessments. The dividend is stable and was not at risk.
oil pipelines
BUY
BUY
June 8, 2020
IPL-T vs. ENB-T. IPL-T is a mid-carrier. It moves between facilities. ENB-T is international and moves between Canada and the US. ENB-T also owns a local gas utility in Southern Ontario. He owns ENB-T because it is a higher quality company and has bigger projects that are somewhat deferred due to environmental assessments. The dividend is stable and was not at risk.
IPL-T vs. ENB-T. IPL-T is a mid-carrier. It moves between facilities. ENB-T is international and moves between Canada and the US. ENB-T also owns a local gas utility in Southern Ontario. He owns ENB-T because it is a higher quality company and has bigger projects that are somewhat deferred due to environmental assessments. The dividend is stable and was not at risk.
oil/gas pipelines
COMMENT
COMMENT
June 8, 2020
It is responding to the movement in airline stocks. They have been going through the roof in the last few day based on a slight uptick on passenger volumes. The market thinks it predicts getting back to normal. It may be getting over done in the short term.
Show full opinionHide full opinionIt is responding to the movement in airline stocks. They have been going through the roof in the last few day based on a slight uptick on passenger volumes. The market thinks it predicts getting back to normal. It may be getting over done in the short term.
Transportation
DON'T BUY
DON'T BUY
June 8, 2020
He has not owned this one. It has been amazing but its valuation is not based on earnings, future or present. They benefited from everyone shopping on line and he thinks they will lose some steam coming out of this. LSPD-T might be a better stock going forward but be does not play in either of them.
He has not owned this one. It has been amazing but its valuation is not based on earnings, future or present. They benefited from everyone shopping on line and he thinks they will lose some steam coming out of this. LSPD-T might be a better stock going forward but be does not play in either of them.
BUY
BUY
June 8, 2020
The semiconductors have been leaders. This one has always been the laggard but has recently come through. He prefers another but you will be fine in this one.
Show full opinionHide full opinionThe semiconductors have been leaders. This one has always been the laggard but has recently come through. He prefers another but you will be fine in this one.
electrical/electronic
WAIT
WAIT
June 8, 2020
He does not own it because it is a volatile stock. It has been hurt badly by US/China tensions. It is very well managed and they are smart on how they are handling their inventories. They are focusing on their own stores because they are three times more profitable than going through other retailers. It won't come back any time soon but there is potential. The pandemic hit them at the best time for them because it was after their winter sales. It may be better for them this fall.
Show full opinionHide full opinionHe does not own it because it is a volatile stock. It has been hurt badly by US/China tensions. It is very well managed and they are smart on how they are handling their inventories. They are focusing on their own stores because they are three times more profitable than going through other retailers. It won't come back any time soon but there is potential. The pandemic hit them at the best time for them because it was after their winter sales. It may be better for them this fall.
clothing
BUY
BUY
June 8, 2020
He likes it very much here. A lot of their product pricing have bottomed and are starting to move up. They made acquisitions in their retail area and are now the biggest retailer of their product in Brazil. Demand for their products is increasing. Low Nat Gas costs are helping their costs. He bought a little more recently. It just broke out technically which is also a good sign.
Show full opinionHide full opinionHe likes it very much here. A lot of their product pricing have bottomed and are starting to move up. They made acquisitions in their retail area and are now the biggest retailer of their product in Brazil. Demand for their products is increasing. Low Nat Gas costs are helping their costs. He bought a little more recently. It just broke out technically which is also a good sign.
agriculture
TOP PICK
TOP PICK
June 8, 2020
This is one of the ones he deployed cash into recently. It will be a survivor in the restaurant and fast-food industries. They were generating good sales through COVID. As incomes were being hurt, people could still afford to go to McDonalds. For a lot of independents, they could be out of business if they aren’t already. (Analysts’ price target is $202.60)
Show full opinionHide full opinionThis is one of the ones he deployed cash into recently. It will be a survivor in the restaurant and fast-food industries. They were generating good sales through COVID. As incomes were being hurt, people could still afford to go to McDonalds. For a lot of independents, they could be out of business if they aren’t already. (Analysts’ price target is $202.60)
food services
TOP PICK
TOP PICK
June 8, 2020
This one is going to be a survivor and people are going to want to do business with them. When things start to normalize people are going to want to go to Disney World. ESPN is going to come back as sports come back. People are ONLY going to be able to watch sports as they won’t be able to go watch them for a while yet. Online movie streaming is more profitable for them than selling to a movie theater. Cruse lines are a small part of the company. Next year he thinks the dividend will come back. (Analysts’ price target is $118.68)
Show full opinionHide full opinionThis one is going to be a survivor and people are going to want to do business with them. When things start to normalize people are going to want to go to Disney World. ESPN is going to come back as sports come back. People are ONLY going to be able to watch sports as they won’t be able to go watch them for a while yet. Online movie streaming is more profitable for them than selling to a movie theater. Cruse lines are a small part of the company. Next year he thinks the dividend will come back. (Analysts’ price target is $118.68)
entertainment services
TOP PICK
TOP PICK
June 8, 2020
He believes car sales ARE going to do well. New car sales are starting to pick up and people are not going back to mass transit or ride-sharing as they will prefer the safety of their cars. They probably have the best balance sheet of all the suppliers in the world. (Analysts’ price target is $65.69)
Show full opinionHide full opinionHe believes car sales ARE going to do well. New car sales are starting to pick up and people are not going back to mass transit or ride-sharing as they will prefer the safety of their cars. They probably have the best balance sheet of all the suppliers in the world. (Analysts’ price target is $65.69)
Automotive
N/A
N/A
March 12, 2020
Market. The markets cannot continue to decline the way they are as 10 days in Toronto and 15 days in New York would see the indexes at zero. In past huge dips if you owned quality companies and stuck with them, the dividend payments mostly stay where they are and the stocks will recover. He may sell bonds and go to cash. His worry is that at some point they will turn around and interest rates will go up.
Show full opinionHide full opinionMarket. The markets cannot continue to decline the way they are as 10 days in Toronto and 15 days in New York would see the indexes at zero. In past huge dips if you owned quality companies and stuck with them, the dividend payments mostly stay where they are and the stocks will recover. He may sell bonds and go to cash. His worry is that at some point they will turn around and interest rates will go up.
HOLD
HOLD
March 12, 2020
It is an excellent example of a company whose stock is getting hit here. Its economic sensitivity is as close to zero as possible. For the long term this is a great company to continue to hold. Step in and buy great companies if the stock price goes way down.
Show full opinionHide full opinionIt is an excellent example of a company whose stock is getting hit here. Its economic sensitivity is as close to zero as possible. For the long term this is a great company to continue to hold. Step in and buy great companies if the stock price goes way down.
food processing