DON'T BUY

This is under a lot of pressure. One of the problems with a company like this is that analysts are using EBITDA, and for companies like this they should be using free cash. Thinks this is what caused a lot of the disaster. Doesn’t see any reason why you need to own this.

BUY

Had owned this for many years, but unfortunately sold too early. Not a cheap stock, trading at about 25X earnings, but have done a very good job. They have a very strong market share in Canada. Also, they’ve done a very good job of bringing in other parts of the movie industry such as the Metropolitan Opera, hockey games, etc. They’ve diversified their viewership. There has been a very good flow of blockbuster movies. Has also done a very good job on the concessions side.

TOP PICK

Trading at 6.5X earnings, so it is not expensive. Has a free cash flow yield of 13%. They have 2 main products. HIV which continues to grow and a Hepatitis C franchise. The revenue from the Hep C business is declining. He feels the stock is saying the Hep C is not going to generate any revenue for them, but there is still lots of revenue coming in. Also has some very interesting products in their pipeline which has not been taking into consideration. They have billions of dollars overseas, and can do lots of acquisitions. Dividend yield of 2.62%. (Analysts’ price target is $94.79.)

TOP PICK

This has a great mobile franchise, and are growing their online brand globally. Great products. For a great brand name like this, you are only paying 25X earnings. Thinks earnings are going to accelerate into next year. Dividend yield of 1.42%. (Analysts’ price target is $61.97.)

TOP PICK

This has sales, servicing as well as financing, and is a very good business in the long run. Old management made too many acquisitions and didn’t integrate them properly. Because of this, the stock collapsed. New management came in and are committed to making acquisitions, but only 2 or 3 a year. They are also trying to diversify out of BC and Alberta. Throws up about $50 million a year in free cash, and thinks they will be able to use that for acquisitions. Dividend yield of 1.72%. (Analysts’ price target is $24.25.)

N/A

Market. After the Trump election, there was a complete reversal of sectors. The sectors that were performing into the election, were completely reversed. US banks were underperforming, and suddenly started performing. The only thing he is a little concerned with is how fast the market moved recently. Things are a little overbought. Technically, sentiment is a little overdone. There are some seasonal cycles that suggest that we may see a little more upside for the next couple of few weeks, but he wouldn’t be surprised if it took a pause in the latter part of January. There is nothing to be bearish about, other than the probability that the market is a little overbought right now, and there may be a small pull back in the next few weeks. Other than that, he is relatively bullish. Something that might drive the market up is the presidential inauguration, where markets tend to rally into them. The longer and mid-term cycles are good, and the short-term cycles could go either way.

WATCH

This has a lot of different moving parts to this. The longer-term chart has been okay, but seems to be breaking down a little. Generally speaking, a lot of the metals can start the year off pretty good, so this company may bounce. However, the chart is looking a little tepid and it may be breaking down. He would like to see the current area break out before he bought into it.

HOLD

Chart shows a series of higher highs and higher lows, but is a little bit iffy on the high side. We are still not in the new high area, and on the verge of pulling back a bit. He would give the chart a 6 out of 10. If you own, continue to hold.

COMMENT

The chart indicates that there is a little bit of support coming in, and it appears that it wants to bounce off that support. Support is at about $42, and you might very well see the stock return to the top end of the trading range. Probably not a bad buy if you like the fundamentals. He would be cautious once it gets to the $48 range. It looks like a trader right now.

COMMENT

On a 3-year chart, the stock declined and is currently in a bit of a base. A base is where you start to see the highs reach a similar inflection point. It appears this is breaking out. This looks reasonably bullish as long as it can stay above the breakout point of around $110. His target would be into the high $130, and from there you would have to see where it goes. A reasonably constructive looking chart.

COMMENT

Technical analysis is a study of crowd behaviour, so whenever you are looking at a penny stock, it is usually traded by less players, so you tend to get concentration of ownership and the crowd factor is less so. This stock was in a downtrend, and has most definitely begun quite a nice little base. You want to see a break out in the mid to high $0.20. If it broke out into that area, you would then probably have some significant upside ahead. Right now, it is in a base, which is a healthy development.

BUY

This has largely been in an uptrend. Most FANG stocks are kind of keepers. Whenever they dip down, so long as they stay on the trend line, that is usually an opportunity to Buy. You want to make sure that the highs and lows are getting higher, which this one is most certainly doing. Probably not a bad time to be picking some of this up.

DON'T BUY

This was in a super-duper nice up trend, and then started to break down. There was a low of around $32.50 in November, and it tested this in December, and then it broke down below. Because it is a relatively short-term chart and it is breaking down, he would be a little bit concerned about the stock. You don’t like to see a breakdown from a longish uptrend, so he would probably avoid this for now.

PAST TOP PICK

(A Top Pick Nov 14/16. Up 4.28%.) This is a pretty good trend. Every time it comes down to the bottom of the trend line, you want to pick some up. For the long run, this is a great stock to own.

PAST TOP PICK

(A Top Pick Nov 14/16. Up 3.09%.) He sold this at around $62, and then noticed it had come back to its trend line at around $58 and bought it back. It is still in the Buy zone.