Michael Decter
Member since: Nov '06
President & CEO at
Lawrence Decter Investment Counsel
Lawrence Decter Investment Counsel
1272 Opinions
Latest Top Picks
(A Top Pick Oct 02/19, Up 32%) A Winnipeg success story in auto body shops. It branched out across Canada, then into the U.S., yet there's still room to grow.
(A Top Pick Oct 02/19, Up 45%) There's room to own both this and Disney, which has worked out well for him. The quality of content on both streamers is phenomenal and they're global.
(A Top Pick Oct 02/19, Up 7%) They reported today and miss expectations. It's a big global company. There's global demand for their medical devices; in Asia, for instance, there's rising heart disease. So, Medtronic can fulfill this demand.
TD his other big bank holding, but JPM has outperformed it. It's held up. They've invested tens of billions in technology. A better management culture than its peers, like Citi. He doesn't expect a US recession. (Analysts’ price target is $139.27)
A good acquirer and integrator and have a good position in hip and knee replacement. They're aiming for 1,000 robotic installations worldwide, now at 850. They took a drop in their last purchase but they've bounced back. (Analysts’ price target is $232.92)
Signal
Opinion
Expert
Chart
PAST TOP PICK
PAST TOP PICK
(A Top Pick Apr 15/19, Up 30%) It's become a consolidator (which he prefers to a roll-up), because being a consolidator gives Boyd a platform for acquisitions and reduces overall costs. Boyd is a go-to to consolidate tens of thousands of auto body shops. They will expand to the U.S. as a stock, which is okay to hold in an RRSP but not a taxable account.
other services
BUY
BUY
November 12, 2019
Likes it. It's hit some resistance with analyst downgrades. A solid company with leadership in advertising, namely Beyond Meat. They can grow with their franchise structure. Brilliant to open at Toronto's airport next to Starbucks. He sees growth in market share. Also, boomers stay loyal to their brands as they age.
Show full opinionHide full opinion
Likes it. It's hit some resistance with analyst downgrades. A solid company with leadership in advertising, namely Beyond Meat. They can grow with their franchise structure. Brilliant to open at Toronto's airport next to Starbucks. He sees growth in market share. Also, boomers stay loyal to their brands as they age.
investment companies/funds
BUY
BUY
November 12, 2019
He owns PWF instead, which pays a slightly higher dividend. POW is a solid company that's grown for a long time. The generation that's inherited that company may lack the drive of the founder but they are operating steadily. Worth holding onto, a buy-and-hold.
He owns PWF instead, which pays a slightly higher dividend. POW is a solid company that's grown for a long time. The generation that's inherited that company may lack the drive of the founder but they are operating steadily. Worth holding onto, a buy-and-hold.
mngmnt/diversified
COMMENT
COMMENT
November 12, 2019
Will we see a repeat of the sharp December 2018 pullback? Possibly, but unlikely. There'd have to be a combination of forces that spook the market, like the trade deal, Brexit, etc. If there was a pullback, it would be weaker than Dec. 2018. He expects a calm Christmas.
Will we see a repeat of the sharp December 2018 pullback? Possibly, but unlikely. There'd have to be a combination of forces that spook the market, like the trade deal, Brexit, etc. If there was a pullback, it would be weaker than Dec. 2018. He expects a calm Christmas.
WATCH
WATCH
November 12, 2019
He's watching it. GC has come off, but he's uncertain why. Wait and see. A hold if he already owned it.
Show full opinionHide full opinionHe's watching it. GC has come off, but he's uncertain why. Wait and see. A hold if he already owned it.
entertainment services
DON'T BUY
DON'T BUY
November 12, 2019
He owned it. SJ is coming back into range and had a decent quarter. He likes their fundamental business, but the replacement cycles can vary a lot. He'll wait a quarter or two.
Show full opinionHide full opinionHe owned it. SJ is coming back into range and had a decent quarter. He likes their fundamental business, but the replacement cycles can vary a lot. He'll wait a quarter or two.
misc industrial products
PARTIAL SELL
PARTIAL SELL
November 12, 2019
Start selling it off gradually. ALA may go higher, but take profits a bit.
Show full opinionHide full opinionStart selling it off gradually. ALA may go higher, but take profits a bit.
oil/gas
DON'T BUY
DON'T BUY
November 12, 2019
High dividends scare him. VET's is 14%. Maybe energy ticks up so you can own this. But maybe don't buy this because the dividend is so high. There are so many moving parts to energy stocks--Saudi Aramco will suck up a lot of capital. Also, institutional investors don't want to own fossil fuels.
Show full opinionHide full opinionHigh dividends scare him. VET's is 14%. Maybe energy ticks up so you can own this. But maybe don't buy this because the dividend is so high. There are so many moving parts to energy stocks--Saudi Aramco will suck up a lot of capital. Also, institutional investors don't want to own fossil fuels.
oil/gas
STRONG BUY
STRONG BUY
November 12, 2019
Pays a 4.05% dividend. A terrific company. They're buying back stock steadily which will eventually increase the stock price. They're paying off a big acquisition quickly. A definite buy, but they face the headwind of a challenging time for Canadian oil. His top choice in Canadian energy.
Show full opinionHide full opinionPays a 4.05% dividend. A terrific company. They're buying back stock steadily which will eventually increase the stock price. They're paying off a big acquisition quickly. A definite buy, but they face the headwind of a challenging time for Canadian oil. His top choice in Canadian energy.
oil/gas
TOP PICK
TOP PICK
November 12, 2019
A consolidator in storage--building and acquiring storage companies. Demographics help SVI as again boomers move out of their old houses and have to store their stuff. He's long owned this. Has huge growth ahead. (Analysts’ price target is $3.54)
Show full opinionHide full opinionA consolidator in storage--building and acquiring storage companies. Demographics help SVI as again boomers move out of their old houses and have to store their stuff. He's long owned this. Has huge growth ahead. (Analysts’ price target is $3.54)
TOP PICK
TOP PICK
November 12, 2019
Three years ago, it merged with Progressive Waste Solutions to become a leader in waste collection. WCN has a strong balance sheet and low-cost disposal services. It's still a fragmented, local industry while WCN is a massive national company. (Analysts’ price target is $130.90)
Show full opinionHide full opinionThree years ago, it merged with Progressive Waste Solutions to become a leader in waste collection. WCN has a strong balance sheet and low-cost disposal services. It's still a fragmented, local industry while WCN is a massive national company. (Analysts’ price target is $130.90)
Transportation & Environmental Services
TOP PICK
TOP PICK
November 12, 2019
They do diagnostic imaging work all in the US, though it's a Canadian company. They're #2 in American diganostic imaging centres. They keep growing. He only wishes the CEO would speak to investors more. (Analysts’ price target is $7.83)
Show full opinionHide full opinionThey do diagnostic imaging work all in the US, though it's a Canadian company. They're #2 in American diganostic imaging centres. They keep growing. He only wishes the CEO would speak to investors more. (Analysts’ price target is $7.83)
medical services
BUY
BUY
October 2, 2019
They will benefit from the trade wars because they do shipping logistics. Will also benefit from Brexit woes. A major holding for him. There are many companies for them to buy and they are good at it.
They will benefit from the trade wars because they do shipping logistics. Will also benefit from Brexit woes. A major holding for him. There are many companies for them to buy and they are good at it.
computer software/processing
DON'T BUY
DON'T BUY
October 2, 2019
Worries about telcos--lots of talk in the election about high telco rates. Canadians still pay a lot. He's tiptoeing away from telcos which may have regulations and come off.
Worries about telcos--lots of talk in the election about high telco rates. Canadians still pay a lot. He's tiptoeing away from telcos which may have regulations and come off.
Cable
WATCH
WATCH
October 2, 2019
He made good profits then sold when it got pricey. He got worried that its current decline would continue. Technical analysts warned about it. The fundamental business is great. A lot of 5G needs to go in, so this is a good long-term investment and he may buy it back.
He made good profits then sold when it got pricey. He got worried that its current decline would continue. Technical analysts warned about it. The fundamental business is great. A lot of 5G needs to go in, so this is a good long-term investment and he may buy it back.
oil/gas
SELL
SELL
October 2, 2019
In an RRSP If not sheltered, sell it. He has sold all his oil stocks, which face so many obstacles. 2019 will be the hardest year for Alberta oil with many operators going out of business. There's no solution to get our oil to the world. He supports moving away from fossil fuels. Jean Chretian once told him, "Too many economists, not enough engineering," meaning political policy and science do not work in synch when it comes to fossil and renewables. We should focus more on science to get greener (buildings, transit, rails).
In an RRSP If not sheltered, sell it. He has sold all his oil stocks, which face so many obstacles. 2019 will be the hardest year for Alberta oil with many operators going out of business. There's no solution to get our oil to the world. He supports moving away from fossil fuels. Jean Chretian once told him, "Too many economists, not enough engineering," meaning political policy and science do not work in synch when it comes to fossil and renewables. We should focus more on science to get greener (buildings, transit, rails).
oil/gas
STRONG BUY
STRONG BUY
October 2, 2019
Also owns AQN and likes both. He owns more of AQN. NPI will grow because they have the science to grow green energy and are improving with it. They have the financing, too. It's getting easier to finance "alternate energy" which is swiftly moving into the mainstream. Both are long-term holds.
Show full opinionHide full opinionAlso owns AQN and likes both. He owns more of AQN. NPI will grow because they have the science to grow green energy and are improving with it. They have the financing, too. It's getting easier to finance "alternate energy" which is swiftly moving into the mainstream. Both are long-term holds.
Utilities
DON'T BUY
DON'T BUY
October 2, 2019
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.
Show full opinionHide full opinionForestry 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.
Forestry
TOP PICK
TOP PICK
October 2, 2019
It's a highly fragmented industry and the insurance industry won't deal with thousands of little repair shops and prefer dealing with big companies like Boyd. They face 10-15 years of growth. (Analysts’ price target is $198.00)
Show full opinionHide full opinionIt's a highly fragmented industry and the insurance industry won't deal with thousands of little repair shops and prefer dealing with big companies like Boyd. They face 10-15 years of growth. (Analysts’ price target is $198.00)
other services
TOP PICK
TOP PICK
October 2, 2019
He took a hard look at Disney+ entering and he decided to own this and Netflix. Both have done well and will do well for him. Don't own cable, though. Consumers can own both. (Analysts’ price target is $374.01)
Show full opinionHide full opinionHe took a hard look at Disney+ entering and he decided to own this and Netflix. Both have done well and will do well for him. Don't own cable, though. Consumers can own both. (Analysts’ price target is $374.01)
Unknown
TOP PICK
TOP PICK
October 2, 2019
They built the first pacemaker and have gone on to make several similar devices. They have gone global. Places like India need these devices for heart disease, for example. The CEO is from Bangladesh and understands this vast market. They are moving from selling the device to improving people's health. If they succeed, they will be hugely profitable. (Analysts’ price target is $116.38)
Show full opinionHide full opinionThey built the first pacemaker and have gone on to make several similar devices. They have gone global. Places like India need these devices for heart disease, for example. The CEO is from Bangladesh and understands this vast market. They are moving from selling the device to improving people's health. If they succeed, they will be hugely profitable. (Analysts’ price target is $116.38)
biotechnology/pharmaceutical
COMMENT
COMMENT
October 2, 2019
The best place to hide is staying where you are. Don't outwit the market when it goes sharply up or down. He's been selling gradually for the past few months to less risky stocks and not piling up cash. Look at wider issues, namely manufacturing issues. How much is down to the GM strike or Boeing, as well as Brexit, Trump's impeachment battle. It will be a lively quarter. Markets hate uncertainty and he's rarely seen this much--Brexit, negative yields, China, etc. Will US interest rates really have much impact? How much will bonds pay? Look at Japan: an aging population with little immigration--the economy declined. In October, Brexit and the election will resolve questions in the UK and Canada.
Show full opinionHide full opinionThe best place to hide is staying where you are. Don't outwit the market when it goes sharply up or down. He's been selling gradually for the past few months to less risky stocks and not piling up cash. Look at wider issues, namely manufacturing issues. How much is down to the GM strike or Boeing, as well as Brexit, Trump's impeachment battle. It will be a lively quarter. Markets hate uncertainty and he's rarely seen this much--Brexit, negative yields, China, etc. Will US interest rates really have much impact? How much will bonds pay? Look at Japan: an aging population with little immigration--the economy declined. In October, Brexit and the election will resolve questions in the UK and Canada.
DON'T BUY
DON'T BUY
October 2, 2019
He doesn't like them now. Terrific businesses, but are fully valued with minimal upside. Of the two, he prefers CN, but only a little. Buy them when the market slows down. You can pick away at both of them in the coming year--you have time.
Show full opinionHide full opinionHe doesn't like them now. Terrific businesses, but are fully valued with minimal upside. Of the two, he prefers CN, but only a little. Buy them when the market slows down. You can pick away at both of them in the coming year--you have time.
Transportation
BUY
BUY
October 2, 2019
Cutting online trading commissions in the US. The negative impact on this news was overdone. TD is his favourite Canadian bank for its US exposure. But declining interest rates are a bigger issue. Let's see how the next earnings fare. Those who hung in during Q4-2018 were paid off this year, so hold on during the current pullback.
Show full opinionHide full opinionCutting online trading commissions in the US. The negative impact on this news was overdone. TD is his favourite Canadian bank for its US exposure. But declining interest rates are a bigger issue. Let's see how the next earnings fare. Those who hung in during Q4-2018 were paid off this year, so hold on during the current pullback.
banks
BUY
BUY
October 2, 2019
He likes that they can refinance at lower interest rates. He likes the Brookfield empire, and its CEO came from real estate. It's been volatile, the geographic diversification helps. It has absorbed Brexit's impact; many banks have already migrated out of London to Dublin and across Europe.
Show full opinionHide full opinionHe likes that they can refinance at lower interest rates. He likes the Brookfield empire, and its CEO came from real estate. It's been volatile, the geographic diversification helps. It has absorbed Brexit's impact; many banks have already migrated out of London to Dublin and across Europe.
REAL ESTATE
DON'T BUY
DON'T BUY
October 2, 2019
He used to own this and was keen on this, but it's now hard to build pipelines. Its line 3 woes is getting a lot of pushback. At least wait to see if ENB gets cheaper.
Show full opinionHide full opinionHe used to own this and was keen on this, but it's now hard to build pipelines. Its line 3 woes is getting a lot of pushback. At least wait to see if ENB gets cheaper.
oil/gas pipelines
COMMENT
COMMENT
October 2, 2019
He gradually sold it years ago. It's a risk, because it's getting hard to get oil out of Alberta, given the lack of pipelines. He owns a little of it and still likes IPL a lot. How much support will Kenney get? Buy this only if you have a 3-year horizon. The 7.5% dividend is safe. The problem is people don't won't to touch fossil fuels, even good companies. Wait and see--reality may set in, meaning wouldn't it be better to ship our own oil than buy oil from places like Saudi Arabia.
Show full opinionHide full opinionHe gradually sold it years ago. It's a risk, because it's getting hard to get oil out of Alberta, given the lack of pipelines. He owns a little of it and still likes IPL a lot. How much support will Kenney get? Buy this only if you have a 3-year horizon. The 7.5% dividend is safe. The problem is people don't won't to touch fossil fuels, even good companies. Wait and see--reality may set in, meaning wouldn't it be better to ship our own oil than buy oil from places like Saudi Arabia.
oil pipelines
PAST TOP PICK
PAST TOP PICK
October 2, 2019
(A Top Pick Oct 16/18, Up 7%) Still likes it. It's the premier US bank and he's owned it for a long time.
Show full opinionHide full opinion(A Top Pick Oct 16/18, Up 7%) Still likes it. It's the premier US bank and he's owned it for a long time.
Financial Services
PAST TOP PICK
PAST TOP PICK
October 2, 2019
(A Top Pick Oct 16/18, Up 7%) They have aggregated gas stations very well. They've bought a lot of companies, but he still sees life in it. Don't rush to buy at these prices, but hold it.
Show full opinionHide full opinion(A Top Pick Oct 16/18, Up 7%) They have aggregated gas stations very well. They've bought a lot of companies, but he still sees life in it. Don't rush to buy at these prices, but hold it.
merchandising/lodging
PAST TOP PICK
PAST TOP PICK
October 2, 2019
(A Top Pick Oct 16/18, Up 30%) They're chipmakers. He expects more demand for techonology from companies of various industries around the world--more automation. Happy to hold this.
Show full opinionHide full opinion(A Top Pick Oct 16/18, Up 30%) They're chipmakers. He expects more demand for techonology from companies of various industries around the world--more automation. Happy to hold this.
electrical/electronic
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(A Top Pick Apr 15/19, Up 30%) It's become a consolidator (which he prefers to a roll-up), because being a consolidator gives Boyd a platform for acquisitions and reduces overall costs. Boyd is a go-to to consolidate tens of thousands of auto body shops. They will expand to the U.S. as a stock, which is okay to hold in an RRSP but not a taxable account.