Expecting earnings power of only $3 in 2011, which is lower than in 2010. Most retailers would have a 13X multiple that would make a $39 target. Reduced his position significantly.
Acquisition of Canadian Hydro Developers was a good tactical move and will give them some good tax planning. Trouble with a lot of utilities as that they are close to their target prices so he is very underweight utilities.
Ontario government has put a cloud over this whole sector. A sleeper in their company was a generic drug company so as a result of Ontario changes, there could be some difficulties in this as well.
Likelihood of increasing dividends in the next year would be a surprise to him. Still not sure how regulators are going to deal with Life Insurance companies capital. His calculations show that this one has the highest upside potential in the financials but doesn't know how long it will take to get there.
Has some core growth in the Bakken area of Saskatchewan. Have also built a land base in the Cardium region. Growth by acquisition so there has to be a bit of a digestion period.
Pulled back after the aerospace business disappointed making it an opportunity. Transportation side still delivers very good margin improvement. Extremely good backlog. Could get as high as $6.50.
Down about 10% in the last 10 days because of profit taking. Fertilizer companies tend to not do so well in spring planting period. Fundamentally, things are starting to turn around for them. Think potash prices have stabilized and we now need to see a recovery of volumes.
There are a number of compelling factors to own banks right now. Good dividend yields and you have a better option of getting better earnings/growth over the next few years.
(A Top Pick May 12/09. Up 40.87%.) His favourite. Number of compelling reasons to own banks right now. Good dividend yields and you have a better option of getting better earnings/growth over the next few years.