Latest Expert Opinions

Signal
Opinion
Expert
HOLD
HOLD
February 12, 2016

Has held in remarkably well given the manufacturing slowdown in Canada. One of his largest holdings in one of his funds. One of the 2 cheapest stocks in the universe that he covers. A really strong ROE at 23%. Trading at 4.5X Price to Free Cash Flow, so is really cheap. Dividend yield of 6.5%. Pristine balance sheet.

Has held in remarkably well given the manufacturing slowdown in Canada. One of his largest holdings in one of his funds. One of the 2 cheapest stocks in the universe that he covers. A really strong ROE at 23%. Trading at 4.5X Price to Free Cash Flow, so is really cheap. Dividend yield of 6.5%. Pristine balance sheet.

Jason Mann
CIO & Co-Founder, Edgehill Patners
Price
$11.760
Owned
Yes
BUY
BUY
February 12, 2016

Just did an equity raise, because of their Maple bank that got shut down in Germany recently, where they took a loss. Thinks the market got a little too fussed about that, as it is not too material for this bank. Just over 7X PE. 5.8% dividend yield. A good stable company that is not going anywhere.

Just did an equity raise, because of their Maple bank that got shut down in Germany recently, where they took a loss. Thinks the market got a little too fussed about that, as it is not too material for this bank. Just over 7X PE. 5.8% dividend yield. A good stable company that is not going anywhere.

Jason Mann
CIO & Co-Founder, Edgehill Patners
Price
$36.790
Owned
Yes
DON'T BUY
DON'T BUY
February 12, 2016

What he would call a battleground stock. A hedge fund hotel that has really hurt a lot of people. Purely speculative at this point. Has just about as bad a price momentum as you can get. Doesn’t cash flow at all and has a ton of debt. There is bankruptcy risk here.

SunEdison Inc (SUNE-N)
February 12, 2016

What he would call a battleground stock. A hedge fund hotel that has really hurt a lot of people. Purely speculative at this point. Has just about as bad a price momentum as you can get. Doesn’t cash flow at all and has a ton of debt. There is bankruptcy risk here.

Jason Mann
CIO & Co-Founder, Edgehill Patners
Price
$1.410
Owned
No
SELL
SELL
February 12, 2016

Still a Sell for him. Has a Short on it in all 3 of his funds. It has never been there from a valuation perspective. The retail operation continues to struggle. Occasionally gets a pop because of their real estate asset that is supposed to be spinning into a REIT, but never seems to materialize. Too much debt. 11X EBITDA. Trading at 30X earnings. Very low ROE at about 5%.

Hudson Bay Co. (HBC-T)
February 12, 2016

Still a Sell for him. Has a Short on it in all 3 of his funds. It has never been there from a valuation perspective. The retail operation continues to struggle. Occasionally gets a pop because of their real estate asset that is supposed to be spinning into a REIT, but never seems to materialize. Too much debt. 11X EBITDA. Trading at 30X earnings. Very low ROE at about 5%.

Jason Mann
CIO & Co-Founder, Edgehill Patners
Price
$14.980
Owned
Yes
BUY
BUY
February 12, 2016

A well-run company with a good yield of 5.7%. Scores in the top 20% for price momentum. Despite its recent pullback, it is still relatively stable. A relatively low volatility stock. They’ve also been acquiring other Brookfield assets, and will probably continue to do so, giving them some built-in growth. Valuation is the problem. Trading at 30X EBITDA, and carries a fair bit of debt. However, a solid operator. Would have no problem owning this for its stability and yield.

A well-run company with a good yield of 5.7%. Scores in the top 20% for price momentum. Despite its recent pullback, it is still relatively stable. A relatively low volatility stock. They’ve also been acquiring other Brookfield assets, and will probably continue to do so, giving them some built-in growth. Valuation is the problem. Trading at 30X EBITDA, and carries a fair bit of debt. However, a solid operator. Would have no problem owning this for its stability and yield.

Jason Mann
CIO & Co-Founder, Edgehill Patners
Price
$26.070
Owned
No
DON'T BUY
DON'T BUY
February 12, 2016

Was short this a couple of years ago based on its high valuation, but has recently covered it. This has poor price momentum. Price momentum matters because it can become a self-fulfilling prophecy. Valuation is still not supportive even at this low price. Trading at 10X cash flow and 46X EBITDA and 28X PE. Despite how much it’s dropped, it has too much debt, and he would question if the 14% yield is sustainable.

Veresen Inc (VSN-T)
February 12, 2016

Was short this a couple of years ago based on its high valuation, but has recently covered it. This has poor price momentum. Price momentum matters because it can become a self-fulfilling prophecy. Valuation is still not supportive even at this low price. Trading at 10X cash flow and 46X EBITDA and 28X PE. Despite how much it’s dropped, it has too much debt, and he would question if the 14% yield is sustainable.

Jason Mann
CIO & Co-Founder, Edgehill Patners
Price
$6.730
Owned
No
TOP PICK
TOP PICK
February 12, 2016

(Canada is cheap from a cyclical basis, so his 3 Top Picks are ones that fit that theme and are cheap with good price momentum.) Canada’s largest software company and a leader in management software. A growth through acquisition story. Scores in the top 10% on price momentum. Had a big drop a couple of quarters ago when they warned on earnings, and then went ahead and beat on earnings. They do a very good job of managing growth and earnings expectations. 14% ROE and 20X PE. Dividend yield of 1.68%.

Open Text (OTEX-T)
February 12, 2016

(Canada is cheap from a cyclical basis, so his 3 Top Picks are ones that fit that theme and are cheap with good price momentum.) Canada’s largest software company and a leader in management software. A growth through acquisition story. Scores in the top 10% on price momentum. Had a big drop a couple of quarters ago when they warned on earnings, and then went ahead and beat on earnings. They do a very good job of managing growth and earnings expectations. 14% ROE and 20X PE. Dividend yield of 1.68%.

Jason Mann
CIO & Co-Founder, Edgehill Patners
Price
$66.410
Owned
Yes