BUY
Hasn’t really moved. Young fleet of 91 planes with about 4.5 years average age, all 737's. Well managed. Southwest Air has bought Air Tran, which is positive for the industry as he expects much more consolidation. Fundamentally cheap.
BUY
Disappointed the company did a financing it $1.70. An excellent balance sheet and didn't need the money but have pre-funded all of their major developments for the next year or two. Good management.
COMMENT
Printing facility in Switzerland, which produces euro dollar, Swiss franc and passports. 2nd facility in Germany producing wallpaper. Purchased bankrupt pulp/paper mill and shifting production from MBHP pulp to dissolving pulp for manufacturing rayon, a cotton substitute. No longer a deep value play. Sold at quarter of his holdings. Still likes.
TOP PICK
2nd largest cable operator in Ontario/Quebec corridor with some have facilities in Portugal. Comparing EV/EBITDA multiples to Rogers (RCI.B-T) they are almost 2 points lower and 10 to 15 points lower in penetration giving it a lot more potential. 1.5% dividend.
TOP PICK
Utility maintenance and drilling maintenance in the oil sands. Not widely followed. Excellent management. A lot of cash. Expect them to declare a dividend in the next 12 months.
TOP PICK
Contract mine driller with 70% being gold. Because of so many gold financing over the last while, they will have a lot of work to do. Debt-free. Has a lot of potential torque as gold mining picks up. Not widely followed and fundamentally very cheap.
PAST TOP PICK
(A Top Pick May 21/10. Down 4.36%.) Still likes.
BUY
Issues non-standard mortgages primarily in the single family financing. Expect them to earn $3 a share this year. Trading around $21 and will probably have a BV of about $26 by year-end. Well run. Suspect there will be dividend increases of $.60-$.80 this year.
BUY
About 50/50 oil and gas. Well run. $.84 dividend and expect they will keep this after they convert because they have enough tax pools to last them several years.
WAIT
No longer dirt-cheap. Growing their top line and bought into Churchill. Well run. While they pick up a lot of top-line he would like to see more bottom-line growth. Well positioned for the economy while it turns around.
WATCH
Satellites. New Operating Officer who seems very capable. Just sold a portion of their satellite division to a Spanish satellite military company giving them $50 million in cash. Likes it but have to prove themselves since they lost money by mis-pricing contracts.
PAST TOP PICK
(A Top Pick May 21/10. Up 4.19%.) Still likes.
PAST TOP PICK
(A Top Pick May 21/10. Up 2.47%.) Still likes.
TOP PICK
Buy the stock ($48.10) and Sell the April 2011 $48 Call giving a premium of $4.20. Covered Call strategy. Not a gold bug but thinks gold could go a little higher. Option writing is a great strategy on gold stocks.
TOP PICK
S&P 500 VIX Short-Term. Buy the January 17 Calls. This is a trade on volatility and gives you a hedge on your portfolio if something unexpectedly comes out of the woodwork.