Lorne Steinberg
Member since: Jan '11
President & Portfolio Manager at
Lorne Steinberg Wealth Management Inc
Lorne Steinberg Wealth Management Inc
1083 Opinions
Latest Top Picks
(A Top Pick Jun 26/19, Down 15%) None of the top 5 Canadian banks has ever cut dividends. These banks are in great shape and can weather this storm. Half of BNS' loans are insured. Bank amendments benefit the banks and not non-bank lenders.
(A Top Pick Jun 26/19, Down 15%) He sold. He liked only a part of the new proposed Dow.
(A Top Pick Jun 26/19, Up 4%) This is the music business, not the motorbikes. It has held up very well. He expects earnings to rebound a lot in 2021. A core holding. It's very undervalued. Japan as a whole has bounced back and is bifurcated like other markets.
The world is shifting away from cash payments. They just did a deal with WeChat Pay, a big part of the Chinese economy One of the best value stocks he owns given its huge free cash flow, though Visa is one of the most expensive on a PE basis. Visa is incredibly entrenched and can survive rival payment systems. (Analysts’ price target is $204.35)
Price target: 2,000 Yen An unknown niche Japanese company. Boasts zero debt and pays a near 4% dividend yield. Trades at a very cheap valuation. Creates fine shareholder value.
Signal
Opinion
Expert
Chart
COMMENT
COMMENT
June 2, 2020
He expects a vaccine sometime next year; the market is making a big bet that at least a treatment will emerge. This is a pretty fair bet. Governments have no choice but to pay people to stay home or else they'll riot in the streets. No one knows what will happen to the economy. He came into March holding 25-30% cash and spent half that, but was caught off-guard by the rally. So, he has sold some stocks to raise cash. He sold some of his cyclicals.
Show full opinionHide full opinion
He expects a vaccine sometime next year; the market is making a big bet that at least a treatment will emerge. This is a pretty fair bet. Governments have no choice but to pay people to stay home or else they'll riot in the streets. No one knows what will happen to the economy. He came into March holding 25-30% cash and spent half that, but was caught off-guard by the rally. So, he has sold some stocks to raise cash. He sold some of his cyclicals.
STRONG BUY
STRONG BUY
June 2, 2020
Managers have done a great job morphing into cybersecurity. Yes, Cisco will be impacted by current spending on IT (with flat or slightly declining revenues this year), but Cisco will remain a huge cash flow and dividend grower. There's strong demand for internet security which definitely benefits Cisco.
Show full opinionHide full opinionManagers have done a great job morphing into cybersecurity. Yes, Cisco will be impacted by current spending on IT (with flat or slightly declining revenues this year), but Cisco will remain a huge cash flow and dividend grower. There's strong demand for internet security which definitely benefits Cisco.
electrical/electronic
BUY
BUY
June 2, 2020
NTR vs. Corteva He owns both. Corteva is into crop protection. Nutrien is in fertilizer. Both are strongly correlated to commodity prices, however. Nutrien pays a healthy dividend, but Corteva offers better growth and could benefit from ongoing climate change problems. Both are best-in-class businesses.
NTR vs. Corteva He owns both. Corteva is into crop protection. Nutrien is in fertilizer. Both are strongly correlated to commodity prices, however. Nutrien pays a healthy dividend, but Corteva offers better growth and could benefit from ongoing climate change problems. Both are best-in-class businesses.
agriculture
DON'T BUY
DON'T BUY
June 2, 2020
Best-in-class. Every business he knows uses Adobe software. Too pricey for his tastes, though.
Show full opinionHide full opinionBest-in-class. Every business he knows uses Adobe software. Too pricey for his tastes, though.
computer software/processing
BUY
BUY
June 2, 2020
The share price has come back nicely. Delivery sales are way up and drive-thru's, too. MCD will endure and succeed, but expect an earnings dip.
Show full opinionHide full opinionThe share price has come back nicely. Delivery sales are way up and drive-thru's, too. MCD will endure and succeed, but expect an earnings dip.
food services
COMMENT
COMMENT
June 2, 2020
Sitting on a lot of cash. What to do? Start buying in underperforming areas, like Canadian banks and some consumer stocks. The banks offer good dividends. Insurance companies have also been beaten up and worth looking at. You can buy a little in these areas without undue risk.
Show full opinionHide full opinionSitting on a lot of cash. What to do? Start buying in underperforming areas, like Canadian banks and some consumer stocks. The banks offer good dividends. Insurance companies have also been beaten up and worth looking at. You can buy a little in these areas without undue risk.
COMMENT
COMMENT
June 2, 2020
Cryptocurrencies: will this be the future and completely replace cash? Only buy what you know. He's never gotten a satisfactory answer about the value of cryptos. So, he's steering clear of them. Every central bank now is printing money; world banks won't reset and aren't going anywhere.
Show full opinionHide full opinionCryptocurrencies: will this be the future and completely replace cash? Only buy what you know. He's never gotten a satisfactory answer about the value of cryptos. So, he's steering clear of them. Every central bank now is printing money; world banks won't reset and aren't going anywhere.
BUY
BUY
June 2, 2020
They make restaurant equipment, but actually their Q1 earnings were strong. The world economy has bottomed out, but six months things will be much better. So, MIDD is well-positioned. A great company currently at a great price.
Show full opinionHide full opinionThey make restaurant equipment, but actually their Q1 earnings were strong. The world economy has bottomed out, but six months things will be much better. So, MIDD is well-positioned. A great company currently at a great price.
INDUSTRIAL PRODUCTS
PAST TOP PICK
PAST TOP PICK
June 2, 2020
(A Top Pick Jun 26/19, Down 15%) None of the top 5 Canadian banks has ever cut dividends. These banks are in great shape and can weather this storm. Half of BNS' loans are insured. Bank amendments benefit the banks and not non-bank lenders.
Show full opinionHide full opinion(A Top Pick Jun 26/19, Down 15%) None of the top 5 Canadian banks has ever cut dividends. These banks are in great shape and can weather this storm. Half of BNS' loans are insured. Bank amendments benefit the banks and not non-bank lenders.
banks
PAST TOP PICK
PAST TOP PICK
June 2, 2020
(A Top Pick Jun 26/19, Down 15%) He sold. He liked only a part of the new proposed Dow.
Show full opinionHide full opinion(A Top Pick Jun 26/19, Down 15%) He sold. He liked only a part of the new proposed Dow.
chemicals
PAST TOP PICK
PAST TOP PICK
June 2, 2020
(A Top Pick Jun 26/19, Up 4%) This is the music business, not the motorbikes. It has held up very well. He expects earnings to rebound a lot in 2021. A core holding. It's very undervalued. Japan as a whole has bounced back and is bifurcated like other markets.
Show full opinionHide full opinion(A Top Pick Jun 26/19, Up 4%) This is the music business, not the motorbikes. It has held up very well. He expects earnings to rebound a lot in 2021. A core holding. It's very undervalued. Japan as a whole has bounced back and is bifurcated like other markets.
Consumer Products
BUY WEAKNESS
BUY WEAKNESS
June 2, 2020
One of the world's top businesses, no doubt, but it is too expensive to buy. Apple is tied to the success of the iPhone, so are people going to spend $1,000 on a phone now? He'd love to buy this, but only if the share price was cheaper.
Show full opinionHide full opinionOne of the world's top businesses, no doubt, but it is too expensive to buy. Apple is tied to the success of the iPhone, so are people going to spend $1,000 on a phone now? He'd love to buy this, but only if the share price was cheaper.
electrical/electronic
COMMENT
COMMENT
June 2, 2020
Telcos are an oligopoly here. It pays a great dividend, but it's a mature, low-growth company. Young people are cable cutting and streaming everything instead. BCE should hold up well. Even with 5G, BCE won't grow much. You're buying this for a growing Canadian economy and being a well-run company.
Show full opinionHide full opinionTelcos are an oligopoly here. It pays a great dividend, but it's a mature, low-growth company. Young people are cable cutting and streaming everything instead. BCE should hold up well. Even with 5G, BCE won't grow much. You're buying this for a growing Canadian economy and being a well-run company.
telephone utilities
BUY
BUY
June 2, 2020
It's cyclical. They make glass for the environmental sector as well as for iPhones. A great free cash flow generator and solid dividend grower. He sees a lot of upside from here.
Show full opinionHide full opinionIt's cyclical. They make glass for the environmental sector as well as for iPhones. A great free cash flow generator and solid dividend grower. He sees a lot of upside from here.
misc industrial products
DON'T BUY
DON'T BUY
June 2, 2020
Careful buying any weed stocks. Hard to get a handle on valuations here. Hexo has a deal with Molson-Coors to produce a cannabis beverage. No weed company is attractive. He'd rather buy a Canadian or American bank which hold real value.
Careful buying any weed stocks. Hard to get a handle on valuations here. Hexo has a deal with Molson-Coors to produce a cannabis beverage. No weed company is attractive. He'd rather buy a Canadian or American bank which hold real value.
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