Latest Expert Opinions

Signal
Opinion
Expert
TOP PICK
TOP PICK
December 13, 2013

Have a new CEO and a new focus. Great properties that they are getting no value for because of miss-execution. Have narrowed down where they are going to put their capital into 5 specific areas. Increasing liquids, natural gas and oil components to get a higher value. Going to spend less to produce the same. A “show me” story. Yield of 1.54%.

Encana Corp (ECA-T)
December 13, 2013

Have a new CEO and a new focus. Great properties that they are getting no value for because of miss-execution. Have narrowed down where they are going to put their capital into 5 specific areas. Increasing liquids, natural gas and oil components to get a higher value. Going to spend less to produce the same. A “show me” story. Yield of 1.54%.

Jeff Young
Co-CEO & CIO, NexGen Financial
Price
$19.230
Owned
Yes
TOP PICK
TOP PICK
December 13, 2013

(A Top Pick Nov 29/12. Up 32.87%.) Investment thesis is that the world needs more planes which is in a very strong cycle. They are the leaders in simulator training. Suffered lately because of pullbacks in military spending, especially in the US, but they are a more cost-effective way of training and people are starting to realize that. Also, acquired the world’s largest global pilot training business. Can see a secular tailwind to this. Fastest-growing airlines are the Asian ones, which have an outsourcing pilot training model. Dividend yield of 1.93%.

CAE Inc (CAE-T)
December 13, 2013

(A Top Pick Nov 29/12. Up 32.87%.) Investment thesis is that the world needs more planes which is in a very strong cycle. They are the leaders in simulator training. Suffered lately because of pullbacks in military spending, especially in the US, but they are a more cost-effective way of training and people are starting to realize that. Also, acquired the world’s largest global pilot training business. Can see a secular tailwind to this. Fastest-growing airlines are the Asian ones, which have an outsourcing pilot training model. Dividend yield of 1.93%.

Jeff Young
Co-CEO & CIO, NexGen Financial
Price
$12.560
Owned
Yes
TOP PICK
TOP PICK
December 13, 2013

Didn’t have a great year. A lot of sales come out of the US and Europe. Times are still tough in Europe. Their recreation and leisure side, which has been doing quite well, suffered from a very wet spring. Re 2014, things continue to improve in Europe. Developed new products that are being well received, If there is normalization in the weather, bicycle sales should have much better year. Also, expanded into Brazil which offsets some of the seasonality. Dividend yield of 3.29%.

Dorel Industries (DII.B-T)
December 13, 2013

Didn’t have a great year. A lot of sales come out of the US and Europe. Times are still tough in Europe. Their recreation and leisure side, which has been doing quite well, suffered from a very wet spring. Re 2014, things continue to improve in Europe. Developed new products that are being well received, If there is normalization in the weather, bicycle sales should have much better year. Also, expanded into Brazil which offsets some of the seasonality. Dividend yield of 3.29%.

Jeff Young
Co-CEO & CIO, NexGen Financial
Price
$38.680
Owned
Yes
COMMENT
COMMENT
December 13, 2013

High quality diversified REIT with a pretty good yield of 7.5%. Suffered with all the REITs since spring. Question is going to be what the cash flow is worth to people. Thinks the dividend is sustainable. Growth is going to be harder to find than it has been in the last 2 years. Had been trading at very high multiples that allowed them to buy properties, bring them in and get a lift.

High quality diversified REIT with a pretty good yield of 7.5%. Suffered with all the REITs since spring. Question is going to be what the cash flow is worth to people. Thinks the dividend is sustainable. Growth is going to be harder to find than it has been in the last 2 years. Had been trading at very high multiples that allowed them to buy properties, bring them in and get a lift.

Jeff Young
Co-CEO & CIO, NexGen Financial
Price
$14.280
Owned
Unknown
COMMENT
COMMENT
December 13, 2013

Recent drop really has nothing to do with the company. This company has decent growth ahead of it. Has been a little bit slow in drilling in the US in the last year or 2, but looks like this is going to improve. Also, there is the LNG build out in Canada, which they are tendering and building rigs for. Over the next couple of years, it looks pretty good. Reasonably priced.

Precision Drilling (PD-T)
December 13, 2013

Recent drop really has nothing to do with the company. This company has decent growth ahead of it. Has been a little bit slow in drilling in the US in the last year or 2, but looks like this is going to improve. Also, there is the LNG build out in Canada, which they are tendering and building rigs for. Over the next couple of years, it looks pretty good. Reasonably priced.

Jeff Young
Co-CEO & CIO, NexGen Financial
Price
$9.490
Owned
Yes
COMMENT
COMMENT
December 13, 2013

Inter Pipeline (IPL-T) or Manulife (MFC-T) for a long-term hold? This one is on energy infrastructure with pipelines in Alberta. Good business and growth opportunities in delivering diluent to the oil sands. Expensive but steady returns. Have some growth prospects. As interest rates rise, this is going to suffer.

Inter Pipeline (IPL-T)
December 13, 2013

Inter Pipeline (IPL-T) or Manulife (MFC-T) for a long-term hold? This one is on energy infrastructure with pipelines in Alberta. Good business and growth opportunities in delivering diluent to the oil sands. Expensive but steady returns. Have some growth prospects. As interest rates rise, this is going to suffer.

Jeff Young
Co-CEO & CIO, NexGen Financial
Price
$25.080
Owned
No
COMMENT
COMMENT
December 13, 2013

Inter Pipeline (IPL-T) or Manulife (MFC-T) for a long-term hold? Feels this one is expensive as well. Operating earnings are getting better. This benefits from markets and interest rates, both going up.

Manulife Financial (MFC-T)
December 13, 2013

Inter Pipeline (IPL-T) or Manulife (MFC-T) for a long-term hold? Feels this one is expensive as well. Operating earnings are getting better. This benefits from markets and interest rates, both going up.

Jeff Young
Co-CEO & CIO, NexGen Financial
Price
$19.650
Owned
Yes