DON'T BUY
Has 3 parts. Studio/automation/film, theme parks and television assets. 2 of them are not doing great and the other one is muddling along. Not a big fan of this one because demographics are going to hurt them in the long run.
DON'T BUY
In a trading range of probably $5 plus or minus. Yesterday's results were okay, but not great. He is not a buyer of this one right now.
DON'T BUY
Cutting dividends does not help any company. Entire pharmaceutical space is down year-to-date because of patent products rolling off. This is a very tiny player in a big pond. Wouldn't touch this one.
COMMENT
(Market Call Minute.) US banks? If you have to buy them, you have to be focused on the ones that have staying power and growth such as M & T Bank (MTB-N), Wells Fargo (WFC-N) and US Bank Corp (?).
WEAK BUY
(Market Call Minute.) Okay for a long-term investment because the pipelines do give you stability but don't expect a lot of growth.
BUY
(Market Call Minute.) He is currently buying this one.
COMMENT
(Market Call Minute.) If you own, he would probably buy more but he prefers Toromont (TIH-T) as a longer-term play.
COMMENT
(Market Call Minute.) In the steel sector he would probably favour Nucor (NUE-N) because of the lower debt levels..
HOLD
(Market Call Minute.) They still have to deal with declining margins in their businesses overseas.
DON'T BUY
(Market Call Minute.) In the wrong place at the wrong time.
COMMENT
Governments everywhere, certainly in North America, are expensive. 10 years at around 3.26%/3.29% and are probably going to 4% by the end of the year. That's getting back to where they should be in a normal world.
COMMENT
Corporate bonds versus the stock market: Caution. Yield curve is so steep that everybody is hungry for yield. Greatest yields right now are in the longest maturities, where there is the most risk. He suggests laddering portfolios to spread the risks around, especially corporates. Buy individual bonds rather than ETFs or bond funds.
BUY
Bonds are not a strong credit, but credit worthy. If you are doing corporate bonds, buy a number of them and spread your risk around.
BUY
Just did a bond issue that was massively oversubscribed. Not a strong credit, but credit worthy. If you are doing corporate bonds, buy a number of them and spread your risk around.
TOP PICK
5.54% maturing Feb 15/17. Likes the corporate bond market. Example of a utility that is offering a very handsome spread over Canada's. Could be some capital gain as well. This company is back to investment grade status.