Latest Expert Opinions

Signal
Opinion
Expert
BUY
BUY
January 20, 2017

A global asset manager, primarily focusing on 3 main areas; real estate, renewable power and infrastructure. There was concern earlier in the year about a backup in rates. Heavily invested in hard assets globally. They look for countries or areas that are undervalued, or companies that have a little problem so that they can buy them at a cheaper price, fix it up and realize the value. They also give regularly annual dividend increases.

A global asset manager, primarily focusing on 3 main areas; real estate, renewable power and infrastructure. There was concern earlier in the year about a backup in rates. Heavily invested in hard assets globally. They look for countries or areas that are undervalued, or companies that have a little problem so that they can buy them at a cheaper price, fix it up and realize the value. They also give regularly annual dividend increases.

Michael Simpson, CFA
Senior Vice-President, Sentry Investments
Price
$46.010
Owned
Yes
COMMENT
COMMENT
January 20, 2017

This has done a pretty good job. They have assets in Western Canada as well as a natural gas play in Asia. Also has a Western Canadian refinery. They’ve done a decent job, but he prefers Crescent Point (CPG-T) or Cenovus (CVE-T).

Husky Energy (HSE-T)
January 20, 2017

This has done a pretty good job. They have assets in Western Canada as well as a natural gas play in Asia. Also has a Western Canadian refinery. They’ve done a decent job, but he prefers Crescent Point (CPG-T) or Cenovus (CVE-T).

Michael Simpson, CFA
Senior Vice-President, Sentry Investments
Price
$16.350
Owned
Unknown
BUY
BUY
January 20, 2017

Manufactures very powerful drugs for hepatitis C and HIV. Trading at a very cheap valuation, about 7.5X next year’s earnings. They also have a pipeline of new drugs. Has cash which can be used for an acquisition. Given the cheap valuation and their strong franchises in their drugs, this is very compelling.

Manufactures very powerful drugs for hepatitis C and HIV. Trading at a very cheap valuation, about 7.5X next year’s earnings. They also have a pipeline of new drugs. Has cash which can be used for an acquisition. Given the cheap valuation and their strong franchises in their drugs, this is very compelling.

Michael Simpson, CFA
Senior Vice-President, Sentry Investments
Price
$71.010
Owned
Yes
COMMENT
COMMENT
January 20, 2017

For many years this had a very conservative balance sheet, primarily in Western Canada. A few years ago they made an acquisition in Texas. His issue is that their debt levels are very high at 5X debt to cash flow. The dividend payout is at about 112%. He prefers names that have a better, stronger balance sheet.

Baytex Energy Corp (BTE-T)
January 20, 2017

For many years this had a very conservative balance sheet, primarily in Western Canada. A few years ago they made an acquisition in Texas. His issue is that their debt levels are very high at 5X debt to cash flow. The dividend payout is at about 112%. He prefers names that have a better, stronger balance sheet.

Michael Simpson, CFA
Senior Vice-President, Sentry Investments
Price
$5.410
Owned
Unknown
COMMENT
COMMENT
January 20, 2017

A global insurer, property, casualty, etc. Currently, they are trying to buy Allied World that has a $5 billion market cap, a Swiss based insurer. Right now, Fairfax is getting about 75% of their premiums from North America, and 25% from the rest of the world. It has spun off some different subsidiaries, and currently are in an IPO process for Fairfax Africa. A good company, but valuation is a little higher than what he likes to pay.

Fairfax Financial (FFH-T)
January 20, 2017

A global insurer, property, casualty, etc. Currently, they are trying to buy Allied World that has a $5 billion market cap, a Swiss based insurer. Right now, Fairfax is getting about 75% of their premiums from North America, and 25% from the rest of the world. It has spun off some different subsidiaries, and currently are in an IPO process for Fairfax Africa. A good company, but valuation is a little higher than what he likes to pay.

Michael Simpson, CFA
Senior Vice-President, Sentry Investments
Price
$610.840
Owned
Unknown
COMMENT
COMMENT
January 20, 2017

This has been in business for a long time. They have operations in Winnipeg as well as in Minnesota. Many of the cities get grants from the US federal levels. Having operations in the US, they’ve been compliant with the Buy American provisions. They’ve also helped consolidate the bus manufacturing industry, so now there are only about 3 or 4 main players. Very well-run company. He doesn’t expect any changes to the Buy American provisions.

This has been in business for a long time. They have operations in Winnipeg as well as in Minnesota. Many of the cities get grants from the US federal levels. Having operations in the US, they’ve been compliant with the Buy American provisions. They’ve also helped consolidate the bus manufacturing industry, so now there are only about 3 or 4 main players. Very well-run company. He doesn’t expect any changes to the Buy American provisions.

Michael Simpson, CFA
Senior Vice-President, Sentry Investments
Price
$40.250
Owned
Unknown
PARTIAL SELL
PARTIAL SELL
January 20, 2017

An Eastern based railroad. When Hunter Harrison was still employed by Canadian Pacific (CP-T), overtures were made to do a merger. He used to own this because it was cheap, hoping that the existing management would turn it around. If you own, he would be inclined to take some profits.

CSX Corp (CSX-Q)
January 20, 2017

An Eastern based railroad. When Hunter Harrison was still employed by Canadian Pacific (CP-T), overtures were made to do a merger. He used to own this because it was cheap, hoping that the existing management would turn it around. If you own, he would be inclined to take some profits.

Michael Simpson, CFA
Senior Vice-President, Sentry Investments
Price
$44.330
Owned
No