BUY

(Market Call Minute) You could buy it for exposure to the US economy.

DON'T BUY

(Market Call Minute) Their product is in a secular decline.

BUY

MFC vs. SLF-T (Market Call Minute) MFC-T is her preferred because it is at a lower multiple. They can improve their ROE and garner a higher multiple.

DON'T BUY

MFC vs. SLF-T (Market Call Minute) MFC-T is her preferred because it is at a lower multiple. They can improve their ROE and garner a higher multiple.

DON'T BUY

(Market Call Minute) She prefers to have more direct plays in the sectors or industries FFH-T is in.

HOLD

(Market Call Minute) Not her preferred play, but it is an oligopoly.

DON'T BUY

(Market Call Minute) It is high growth and high multiple so she can’t get around the valuation. The industry is highly competitive.

TOP PICK

She likes it for the income, growth and the defensive nature of the business. They just bought ITC corp. which is out of the US and expands their presence there. ITC is a regulated electric utility. Over 60% of FTS-T’s earnings are going to be coming from the US now. They have good visibility post- the acquisition to grow their dividend 6% per year until 2021. It has lagged the market, so all in, you should get 12% on this name. (Analysts’ target: $48.55).

TOP PICK

They have done well in the pharma side. They just announced the acquisition of a Swiss based pharma company. They grow organically also. They have identified about 10 products they are going to launch in the next three years that have about $1 Billion each. They trade at 16 times earnings and have increased their dividend for 54 consecutive years. (Analysts’ target: $126.32).

TOP PICK

They are in the business of transportation, testing and treatment of water. Drinkable water is a very scarce commodity. 21% of revenues are from emerging markets. They are trying to give people access to sanitation. In the US there is a lot of overhaul required on the existing systems. In 2012 state governments cut back because there was no funding. XYL-N also have exposure in the UK. They just acquired a smart metering company and will do some cross selling. (Analysts’ target: $54.00).

DON'T BUY

MSFT-Q vs. IBM-N. If she had to choose, her preference would be MSFT-Q because of their cloud business which will grow. IBM has not been able to figure out how to grow their top line. Both have cash overseas and will benefit if there is repatriation of cash policy changes.