Lawrence Decter Investment Counsel
Latest Top Picks
CP vs. CNR? Lots to like about the rails, fuel efficient, easier to go to electric rail. Long-term, likes trains. Right now, locomotive shortage affecting both companies. Today, he’d buy CP over CNR. Both a bit cyclical, but if you’re patient and diversified, CP is the one you want to own. (Analysts’ price target is $273.34.)
CP vs. CNR? Lots to like about the rails, fuel efficient, easier to go to electric rail. Long-term, likes trains. Right now, locomotive shortage affecting both companies. Today, he’d buy CP over CNR. Both a bit cyclical, but if you’re patient and diversified, CP is the one you want to own.
CP vs. CNR? Lots to like about the rails, fuel efficient, easier to go to electric rail. Long-term, likes trains. Right now, locomotive shortage affecting both companies. Today, he’d buy CP over CNR. Both a bit cyclical, but if you’re patient and diversified, CP is the one you want to own.
He owns Prudential instead. Should be a terrific time to own an insurer, but it’s not. Flattening yield curve is hurting them. Would wait to see movement in the long rates before buying. US should kick rates higher, which should help. Own the banks, which automatically benefit from growth.
He owns Prudential instead. Should be a terrific time to own an insurer, but it’s not. Flattening yield curve is hurting them. Would wait to see movement in the long rates before buying. US should kick rates higher, which should help. Own the banks, which automatically benefit from growth.
Difficult quarter, lowered guidance. Pounded pretty hard. Long-term it’s fine. Short-term, would be hurt by tariffs on cars. Skilled corporation, and they’re global. If you need someone to build a car for you, Magna can do that. They’re really good at it, whereas new entrants cannot, and it causes real value to be created. Share price could get bruised until the car part of NAFTA settles. (Analysts’ price target is $89.01.)
Difficult quarter, lowered guidance. Pounded pretty hard. Long-term it’s fine. Short-term, would be hurt by tariffs on cars. Skilled corporation, and they’re global. If you need someone to build a car for you, Magna can do that. They’re really good at it, whereas new entrants cannot, and it causes real value to be created. Share price could get bruised until the car part of NAFTA settles. (Analysts’ price target is $89.01.)
Buy now or wait? His second-largest position. Owned for a long time, and won’t be selling. Would probably add at this level. No longer a Canadian bank, it’s a North American bank and their favourite NA one. More US branches than Canadian, and the US economy is booming.
Buy now or wait? His second-largest position. Owned for a long time, and won’t be selling. Would probably add at this level. No longer a Canadian bank, it’s a North American bank and their favourite NA one. More US branches than Canadian, and the US economy is booming.
Love it. A global bank. US economy will stay strong, interest rates will rise, and banks do well in this environment. Extremely well managed. Came through 2008 will less damage than the others. Yield is 1.9%. (Analysts’ price target is $121.34.)
Love it. A global bank. US economy will stay strong, interest rates will rise, and banks do well in this environment. Extremely well managed. Came through 2008 will less damage than the others. Yield is 1.9%. (Analysts’ price target is $121.34.)
Canadian, but going global. Acquiring companies that do logistics and customs documents. If you bet that the world trading system is going to get more complex, you want to own this one. Great growth story, great price. No dividend. (Analysts’ price target is $44.10.)
Canadian, but going global. Acquiring companies that do logistics and customs documents. If you bet that the world trading system is going to get more complex, you want to own this one. Great growth story, great price. No dividend. (Analysts’ price target is $44.10.)
Growing the company, acquiring a lot of good things for the long haul. Good time to buy because it is going sideways. Would bet on Brookfield family of companies against Berkshire Hathaway over the next 10 years. Yield is 4.6%. (Analysts’ price target is $59.62.)
Growing the company, acquiring a lot of good things for the long haul. Good time to buy because it is going sideways. Would bet on Brookfield family of companies against Berkshire Hathaway over the next 10 years. Yield is 4.6%. (Analysts’ price target is $59.62.)
The G7 tumult: Trump is aggressively challenging the established liberalization of trade and system of multilateral trade. In the UK and EU there are changes too, all creating a lot of uncertainty for investors. That said, he believes investors are looking past Trump's bluster and looking at the real dealmaking instead. Canada may still get pushed into a bad deal -- or no deal -- on NAFTA. The stakes are higher in Asia for Trump: solving North Korea military tensions and trade with China. He believes North American trade will get settled.
The G7 tumult: Trump is aggressively challenging the established liberalization of trade and system of multilateral trade. In the UK and EU there are changes too, all creating a lot of uncertainty for investors. That said, he believes investors are looking past Trump's bluster and looking at the real dealmaking instead. Canada may still get pushed into a bad deal -- or no deal -- on NAFTA. The stakes are higher in Asia for Trump: solving North Korea military tensions and trade with China. He believes North American trade will get settled.
Historically, he loved it, buying it right at the start. A smart CEO. But now's a bad time for AGT--India is now self-sufficient with these crops, no longer a huge buyer. The CEO is resourceful and will find a way around this.
Historically, he loved it, buying it right at the start. A smart CEO. But now's a bad time for AGT--India is now self-sufficient with these crops, no longer a huge buyer. The CEO is resourceful and will find a way around this.
He used to own it for a long time. Pays a 8.8.% dividend when yield stocks are finding pressure. If you own it, hold it. But don't chase the high yield. A high-yield stuck can be cut (and then sometimes the stock price rises)--and ALA's may or may not be sustainable. He doesn't know.
He used to own it for a long time. Pays a 8.8.% dividend when yield stocks are finding pressure. If you own it, hold it. But don't chase the high yield. A high-yield stuck can be cut (and then sometimes the stock price rises)--and ALA's may or may not be sustainable. He doesn't know.
He made good money off this in the past. He's unsure about buying back in. Maybe it's seller's remorse.
He made good money off this in the past. He's unsure about buying back in. Maybe it's seller's remorse.
Trading volume is low, so it's hard to buy at a higher volume for his clients, though he owns it personally. He's noticed that AW attracts longer customer lines than, say, Starbucks. Likes this stock.
Trading volume is low, so it's hard to buy at a higher volume for his clients, though he owns it personally. He's noticed that AW attracts longer customer lines than, say, Starbucks. Likes this stock.
Disclosure: He was involved in the recent equity issue. Often, a stock can trade down after an equity issue. His biggest and favourite Canadian bank holding is TD, but BNS has the most room for improvement. He likes them building their
wealth management side.
Disclosure: He was involved in the recent equity issue. Often, a stock can trade down after an equity issue. His biggest and favourite Canadian bank holding is TD, but BNS has the most room for improvement. He likes them building their
wealth management side.
He hasn't owned it for a long while though he started looking at it recently. Airbus takes over production of their new plane starting July 1, but how much juice is left in this deal with Bombardier? The train side is a great one for cash flow
(they get paid half the money upon signing a deal). That said, he's cautious. If you hold it, take some profits at $5 and more at $6.
He hasn't owned it for a long while though he started looking at it recently. Airbus takes over production of their new plane starting July 1, but how much juice is left in this deal with Bombardier? The train side is a great one for cash flow
(they get paid half the money upon signing a deal). That said, he's cautious. If you hold it, take some profits at $5 and more at $6.
Always thought this was pricey at 50x forward earnings. He's wary. We're in a skittish market and this may have more downside. Don't rush into the current peak price.
Always thought this was pricey at 50x forward earnings. He's wary. We're in a skittish market and this may have more downside. Don't rush into the current peak price.
Always thought this was pricey at 50x forward earnings. He's wary. We're in a skittish market and this may have more downside. Don't rush into the current peak price. Also, pipelines take a long time to build.
Always thought this was pricey at 50x forward earnings. He's wary. We're in a skittish market and this may have more downside. Don't rush into the current peak price. Also, pipelines take a long time to build.
Descartes is a fine consolidator. They make it easy for companies to ship across the border. They've been expanding their range of services and geographies. They are disciplined in their acquisitions. He likes this company.
Descartes is a fine consolidator. They make it easy for companies to ship across the border. They've been expanding their range of services and geographies. They are disciplined in their acquisitions. He likes this company.
It's really well-positioned. Cities are in a period they have money as well as demand for cleaner buses. They were smart to build a plant in Minnesota which could ride the Buy America vibe now. North America is shifting to more mass
transits and cleaner buses.
It's really well-positioned. Cities are in a period they have money as well as demand for cleaner buses. They were smart to build a plant in Minnesota which could ride the Buy America vibe now. North America is shifting to more mass
transits and cleaner buses.
FORTIS vs. ALGONQUIN: He owns only AQN and prefers it for its recent US purchase. Fortis isn't bad and the companies are similar. Maybe buy a little of each.
FORTIS vs. ALGONQUIN: He owns only AQN and prefers it for its recent US purchase. Fortis isn't bad and the companies are similar. Maybe buy a little of each.
FORTIS vs. ALGONQUIN: He owns only AQN and prefers it for its recent US purchase. Fortis isn't bad and the companies are similar. Maybe buy a little of each.
FORTIS vs. ALGONQUIN: He owns only AQN and prefers it for its recent US purchase. Fortis isn't bad and the companies are similar. Maybe buy a little of each.
He likes lifecos for the long haul because society is aging for longer, so the lifecos defer their payouts longer. However, profitability in this business lies in the long-term disability sector, but no company now has a competitive advantage here. Look out for the one that does by reading their reports for what they say about disability insurance management.
He likes lifecos for the long haul because society is aging for longer, so the lifecos defer their payouts longer. However, profitability in this business lies in the long-term disability sector, but no company now has a competitive advantage here. Look out for the one that does by reading their reports for what they say about disability insurance management.
He owns some of the Brookfield stocks. This is the top company in the pack. A truly great company with fine management. You can buy and hold this and do it on a DRIP. Ride it for a long time.
He owns some of the Brookfield stocks. This is the top company in the pack. A truly great company with fine management. You can buy and hold this and do it on a DRIP. Ride it for a long time.
Even with a bad period, Canadian banks always bounce back. Buy the best of breed--TD, Scotia, Royal. But CIBC isn't in the top tier. That said, all the Canadian banks more or less trade in line over time. You can buy this, but there are
better Canadian banks.
Even with a bad period, Canadian banks always bounce back. Buy the best of breed--TD, Scotia, Royal. But CIBC isn't in the top tier. That said, all the Canadian banks more or less trade in line over time. You can buy this, but there are
better Canadian banks.
The dividend is attractive, but what if interest rates rise? Wait for the increase, which he believes will happen at some point, and see if the stock comes off a bit. A great company that's gone through tough times (hostility to pipelines in
Canada). It's a great long-term hold, but wait for a better entry point.
The dividend is attractive, but what if interest rates rise? Wait for the increase, which he believes will happen at some point, and see if the stock comes off a bit. A great company that's gone through tough times (hostility to pipelines in
Canada). It's a great long-term hold, but wait for a better entry point.
Cannabis stocks: He's made some money here, but he's traded them, not buy-and-hold, because of their enormous volatility. The law will get passed, but there'll be another vote in the Senate. He expects it to pass in September or October. The big question remains, How much demand will there be? Nobody knows. He doesn't. If demand is huge, companies will grow into their multiples. But there could be a one-time lift in demand then fall off and that'll pressure stocks. We're in a consolidation phase, so the smaller producers are more attractive than the big guys who will buy them. Look for a low-cost producer or a company with an edge like Organigram whose weed is not grown in greenhouses which makes them more interesting in terms of quality control.
Cannabis stocks: He's made some money here, but he's traded them, not buy-and-hold, because of their enormous volatility. The law will get passed, but there'll be another vote in the Senate. He expects it to pass in September or October. The big question remains, How much demand will there be? Nobody knows. He doesn't. If demand is huge, companies will grow into their multiples. But there could be a one-time lift in demand then fall off and that'll pressure stocks. We're in a consolidation phase, so the smaller producers are more attractive than the big guys who will buy them. Look for a low-cost producer or a company with an edge like Organigram whose weed is not grown in greenhouses which makes them more interesting in terms of quality control.
They're diversified geographically enough to weather Trump's anti-Canada rhetoric. They're globalized and have gotten into full-vehicle assembly, assembly cars well. Magna will ride through the Trump storm and there will be opportunities to pick up this stock.
They're diversified geographically enough to weather Trump's anti-Canada rhetoric. They're globalized and have gotten into full-vehicle assembly, assembly cars well. Magna will ride through the Trump storm and there will be opportunities to pick up this stock.
Boyd is one of the top consolidators--it's in an industry with lots of mom-and-pop shops which are ripe for consolidation. There are hundreds of thousands of auto body shops across North America. Boyd came out of Winnipeg because this market has a monopoly public auto insurer. No insurer wants to deal with thousands of auto body shops, and this has benefiitted Boyd.
Boyd is one of the top consolidators--it's in an industry with lots of mom-and-pop shops which are ripe for consolidation. There are hundreds of thousands of auto body shops across North America. Boyd came out of Winnipeg because this market has a monopoly public auto insurer. No insurer wants to deal with thousands of auto body shops, and this has benefiitted Boyd.
They have a dominant share in air cargo in Canada. They're growing and have used their fleet very well. The stock has been on a long run. They keep increasing dividends. There's nothing to dislike here. (Analysts' price target: $73.17)
They have a dominant share in air cargo in Canada. They're growing and have used their fleet very well. The stock has been on a long run. They keep increasing dividends. There's nothing to dislike here. (Analysts' price target: $73.17)
They're getting 82% of their production from the U.S., so they're getting world prices in American dollars, even though they're a Canadian company. They're growing. (Analysts' price target: $19.23)
They're getting 82% of their production from the U.S., so they're getting world prices in American dollars, even though they're a Canadian company. They're growing. (Analysts' price target: $19.23)
CP vs. CNR? Lots to like about the rails, fuel efficient, easier to go to electric rail. Long-term, likes trains. Right now, locomotive shortage affecting both companies. Today, he’d buy CP over CNR. Both a bit cyclical, but if you’re patient and diversified, CP is the one you want to own. (Analysts’ price target is $273.34.)