COMMENT

Loves uranium longer-term. China is building numerous reactors. Nuclear power is the only way they are going to get rid of all their pollution. At the moment, uranium is struggling with a hangover of the Japanese situation. It is probably 2-3 years before we start to see a pickup. He owns Cameco (CCO-T).

COMMENT

Owns Linamar (LNR-T) and Magna (MG-T). We are lucky in the Canadian market in that we have a good choice of great companies. This one is the smaller of the 3 big ones. It is cheap and is a turnaround, so this would be a value play. It possibly has more upside in the short term as they get their business turned around. Forward earnings is very, very cheap. A good name.

COMMENT

A little cheaper than Sun Life (SLF-T). The whole industry requires higher interest rates to get moving. They delivered a bit of a surprise over the last 6 months in that they have investments in energy, and the stock pulled back. If you are a patient investor, you will do very well in both stocks. ROE is sub 10. Sun Life has a better ROE. They both have great Asian exposure which is doing well. Canadian banks will do better than either.

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Had owned this for a while, but the return from Loblaw (L-T) became more attractive and he switched. Both are great companies.

COMMENT

In the last 10 years, this has been a very good stock to own. Had a little bit of an upset in the spring because of floods and the transition of their plants in the Carolinas. Long-term, this industrial tape area is doing a great job.

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This has been one of the better companies in the last year. Made some decent acquisitions in automotive paint distribution to automotive refinishers. They are continuing to grow.

COMMENT

The whole energy sector is very similar to what happened in 1979. Given the nature of commodities you get an expansion that starts, and then has to continue because the price of commodities gets so high that it doesn’t make sense not to invest and move the stuff. There was a collapse in 1980 and oil bottomed in 1998, 18 years later. China has just finished industrializing and they are now slowing. Commodities are going to be struggling for the long-term, but it doesn’t mean you can’t make money. Has stayed away from the entire energy sector, with the exception of the pipelines. This is probably a decent stock, but you are probably better off moving into Amazon, Alphabet or Microsoft, where you will make more money in the next 5 years. (See Top Picks.)

COMMENT

Selling at 6X earnings. Prefers BMW (BMW-GR) which is a global luxury brand, and selling at only 8X earnings. It is on top of the technology and have the I-series coming out and have product that will be competing with Tesla.

COMMENT

This, along with a lot of other big old technology companies, is in its post growth phase. As the networks get built out with less new or replacement demand, the growth slows down. He likes this company. Has a $28 target price. This hardware company is getting into social media, analytics and cloud, known as SMAC. Feels the dividend is good. Dividend yield of 4%.

TOP PICK

Prefers is a little better over Visa (V-N), which has to integrate Visa Europe. MasterCard is more exposed in the Third World, and as incomes grow and as electronic transaction usage is lower, you have growth in both income and electronic usage in the Third World. Trading at a 27X multiple. Target price of $112.

TOP PICK

Medical implants. A play on the aging population. About 1.5 years ago, they took out the old Tyco division called Covidien, their healthcare business. Covidien had got to Ireland, and this company now has done the inversion. This company is now sitting on boatloads of cash globally. We are going to see higher dividends, share buybacks and probably more acquisitions. Target price of $88.

COMMENT

From an engineering/design side, this might be the company that could benefit the most from the Fort McMurray Alberta fire.

COMMENT

A good yield play. It has been a solid name and has done a great job in water heaters, etc.

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He loves this. It could definitely go upwards to $800 or higher. There are 2 components to the business. 1.) The e-commerce side which is doing spectacularly well. 2.) Their cloud business is by far and away ahead of Microsoft (MSFT-Q). Now Alphabet (GOOGL-Q) is trying to get into the game. This is really just a case of investing in hardware and the servers, and they are driving costs down and winning over so many other companies. Has a target price of $847 in 12 months. (See Top Picks.)

COMMENT

This is all about the ecosystem, video, ad spending, and wrapping themselves around social networking. Have done an extremely good job on the video side. Finally, ad agencies are moving away from print, TV, etc., towards digital. He has a $135 target price on this.