Paul Gardner, CFA
Member since: Dec '04
Partner and Portfolio Manager at
Avenue Investment Management

Latest Top Picks

(A Top Pick Jul 31/18, Up 14%) One of the better REITs he has recommended. Walmart is the anchor for this holding -- a very strong tenant. They have new development in Northern Toronto, where condos are being built with 14% ROIs. Great management that continues to add value. Not an overly complicated REIT -- he likes that.
(A Top Pick Jul 31/18, Up 15%) These were the convertible 8% bonds. Following the reorganization, where stock holders got blown out, free cash flow yield is over $100 million per year. The debt is almost paid off. He loves the yield and the 95% chance you get your money back. The bonds trade at 102 percent of face value. He thinks the value should be closer to 110 percent -- especially given their low debt and strong cash flow.
(A Top Pick Jul 31/18, Up 34%) Great management, but it is getting too expensive at 22 times earnings. A couple of weak quarters has caused a recent pullback. They are good at what they do. Still a core holding, but he may reduce his position soon.
Slate owns all its assets in the US and this is grocery anchored. He doesn't see Amazon making a big impact in this space. This trades at 9% yield and only distributes 88% of cash flow. Leverage is at 55%. It trades at a discount to NAV. Yield 8.76% (Analysts’ price target is $13.08)
The best in a bad business. Sensitive to recession. They will eventually do something with their land holdings and this will bump up their value eventually. Yield 3.68% (Analysts’ price target is $18.50)