John Zechner
Chairman at J. Zechner & Assoc
Member since: Jan '01 · 3450 Opinions
Rating Card
| All | 
Rating
| 
Big Win
| 
Win
| 
Neutral
| 
Loss
| 
Big Loss
|  |
|---|---|---|---|---|---|---|---|
| 3.43 | 196 24.02% | 152 18.63% | 98 12.01% | 159 19.49% | 211 25.86% | ||
| 1 Month | 1.97 | 13 6.57% | 53 26.77% | 50 25.25% | 63 31.82% | 19 9.60% | |
| 6 Months | 3.05 | 33 17.74% | 44 23.66% | 27 14.52% | 42 22.58% | 40 21.51% | |
| 12 Months | 4.08 | 50 28.41% | 27 15.34% | 11 6.25% | 32 18.18% | 56 31.82% | |
| 2 Years | 4.05 | 57 36.54% | 17 10.90% | 8 5.13% | 14 8.97% | 60 38.46% | |
| 5 Years | 4 | 43 43.00% | 11 11.00% | 2 2.00% | 8 8.00% | 36 36.00% |
Stock Opinions by John Zechner
N/A
Market. The problem in September was some of the warnings from companies. The problem is disrupted supply chains such as for semiconductors. We are overdue for a correction. He expects a 5% pull back. He put some money aside for it. A correction could be worse if valuations continue to go up. Interest rates might migrate slightly higher but there will be no significant increase any time soon. He is taking profits in the energy sector where he has been overweight. Industrials are depressed here. Gold is positioned well. You don't need significant increase in commodity prices.
Unknown
$0.000
Unknown
WEAK BUY
He likes the sector but this is not his top pick in the sector because of the high valuation. RCI.B-T would have more growth ahead of it. Decent dividends, stable earnings are great for this sector, though. He thinks telecoms should be valued higher across the board.
telephone utilities
BUY
He would stick with it. The auto sector is the epicentre of the semiconductor shortage. It's not a demand problem but a short term supply issue. He thinks they still have a couple of years of decent growth ahead of them. This is the best sector of the market.
Automotive
DON'T BUY
Lithium. The impact of the use in batteries is causing it to grow substantially. There could be supply issues in the short term. He'd go to the battery supply rather than a pure play. These high growth industries with high valuations are the most at risk in a market that is worried about short term interest rates and rising inflation.
Mining
BUY
He bought it late. He thinks it is a good play right now. There might even be a higher bid coming in. It sticks out as a good play right here.
precious metals
WEAK BUY
Like his MG-T comment today, but the valuation is not quite as attractive. He is not sure about the drive-train exposure. He is fine with the overall group however.
transportation equip & components
WEAK BUY
The performance has been disappointing. The problem with big, old pharma is that it is not enough to move the needle. He thinks it is a good one to put away. They are a little constrained on the new product side. He'd suggest an ETF of biotech companies.
biotechnology / pharmaceutical
BUY
He likes it. About 8 times operating cash and forward earnings at a 20-25% rate. This is a bit of a show-me story. Margins are improving. It trades thinly. He continues to like it.
0
BUY
The debt level has improved dramatically. They are generating decent cash flow. The lines 3 and 5 issues do seem to be getting settled. A 6.5% dividend yield. The valuation is attractive. It pays a nice yield while you wait.
oil / gas pipelines
PAST TOP PICK
(A Top Pick Dec 29/20, Up 69%) It was a bonus that RCI.B-T decided to buy them out.
Cable
PAST TOP PICK
(A Top Pick Dec 29/20, Up 35%) The banks had not performed at that point last year. They had over-reserved at the beginning of the pandemic.
banks
PAST TOP PICK
(A Top Pick Dec 29/20, Up 170%) They are great operators. The balance sheet is in great shape. They did smart acquisitions. Everyone is starting to discover this name. It is still a decent valuation.
oil / gas
BUY
Where are people going to in the market for safety? The Telecom sector would be his favourite as a defensive sector. They have a better ability to grow dividends. The utility sector would be hurt if interest rates started to rise.
Unknown
BUY
Pipelines – close correlation between pipeline stocks and oil prices – why? He does not think you will see much change in pipeline stock valuations. Pipelines are volume sensitive. He owns four of them.
Unknown
COMMENT
He got out of it a couple of months ago. The price of steel was unsustainable. Earnings are going to drop. Stelco is at an unsustainable valuation. It has come off and he might take a look at it again.
0
