Latest Expert Opinions

Signal
Opinion
Expert
PAST TOP PICK
PAST TOP PICK
March 10, 2017

(A Top Pick Jan 13/16. Up 4%.) A little surprising that this hasn’t been stronger. A fantastic company considering its compounding growth rate. Every time they’ve done an acquisition, management gets put under the microscope, but they manage to pull lots of synergies out.

(A Top Pick Jan 13/16. Up 4%.) A little surprising that this hasn’t been stronger. A fantastic company considering its compounding growth rate. Every time they’ve done an acquisition, management gets put under the microscope, but they manage to pull lots of synergies out.

Bruce Campbell (2)
President & Portfolio Manager, Stone Castle Investment Management Inc.
Price
$61.850
Owned
Unknown
PAST TOP PICK
PAST TOP PICK
March 10, 2017

(A Top Pick Jan 13/16. Down 4%.) This has had a tougher time with the markets and their positioning. They made a big change in what they are doing. He had this as a sort of hedge when the markets were going topsy-turvy.

(A Top Pick Jan 13/16. Down 4%.) This has had a tougher time with the markets and their positioning. They made a big change in what they are doing. He had this as a sort of hedge when the markets were going topsy-turvy.

Bruce Campbell (2)
President & Portfolio Manager, Stone Castle Investment Management Inc.
Price
$625.010
Owned
No
COMMENT
COMMENT
March 10, 2017

Just reported earnings and the stock had a pretty dramatic selloff, especially based on the numbers. This has transitioned in that they’ve had higher revenue and earnings numbers, as well as higher margins. Feels the market got a little disappointed in the growth rate, but the company has actually said that it is going to be November before the transition from Riviera beds to Chartwell beds ends. The big catalyst to watch is the debt refinancing. They’ve stated they are 80% along with a major Canadian bank. That will be a huge savings for them. He added to his holdings on the last selloff.

Centric Health (CHH-T)
March 10, 2017

Just reported earnings and the stock had a pretty dramatic selloff, especially based on the numbers. This has transitioned in that they’ve had higher revenue and earnings numbers, as well as higher margins. Feels the market got a little disappointed in the growth rate, but the company has actually said that it is going to be November before the transition from Riviera beds to Chartwell beds ends. The big catalyst to watch is the debt refinancing. They’ve stated they are 80% along with a major Canadian bank. That will be a huge savings for them. He added to his holdings on the last selloff.

Bruce Campbell (2)
President & Portfolio Manager, Stone Castle Investment Management Inc.
Price
$0.720
Owned
Yes
COMMENT
COMMENT
March 10, 2017

Feels the volatility has to do with the trading and lack of liquidity. This name flies under the radar of a lot of institutions. It doesn’t trade a ton of stocks, and if an institution wants to get in or out, the stock tends to get moved around. The latest numbers were probably a little weaker than what the Street expected, but the sentiment was so negative before that. Longer-term, it is an interesting business. Seafood and protein demand, specifically for Asia, continue to increase. It is close to a monopoly in as far as the fishing licenses are concerned. This is one that you Buy when everyone hates it, and Sell when everyone loves it.

Feels the volatility has to do with the trading and lack of liquidity. This name flies under the radar of a lot of institutions. It doesn’t trade a ton of stocks, and if an institution wants to get in or out, the stock tends to get moved around. The latest numbers were probably a little weaker than what the Street expected, but the sentiment was so negative before that. Longer-term, it is an interesting business. Seafood and protein demand, specifically for Asia, continue to increase. It is close to a monopoly in as far as the fishing licenses are concerned. This is one that you Buy when everyone hates it, and Sell when everyone loves it.

Bruce Campbell (2)
President & Portfolio Manager, Stone Castle Investment Management Inc.
Price
$10.210
Owned
No
COMMENT
COMMENT
March 10, 2017

A difficult one to figure out. There are a couple of reasons why this is not moving. With the exception of recent news, the sector really hasn’t had a lot of interest and most investors have backed away from it. Also, being a smaller company, also hurts it. It looks like some of the acquisitions were a little bigger than they expected, as far as the amount of work needed to turn it around. He suspects they will end up with a quarter that will exceed expectations, and the stock will take an immediate jump, and if it gets a 2nd quarter where numbers are trending in the right direction, the numbers will be back to where analysts/portfolio managers think they should be.

A difficult one to figure out. There are a couple of reasons why this is not moving. With the exception of recent news, the sector really hasn’t had a lot of interest and most investors have backed away from it. Also, being a smaller company, also hurts it. It looks like some of the acquisitions were a little bigger than they expected, as far as the amount of work needed to turn it around. He suspects they will end up with a quarter that will exceed expectations, and the stock will take an immediate jump, and if it gets a 2nd quarter where numbers are trending in the right direction, the numbers will be back to where analysts/portfolio managers think they should be.

Bruce Campbell (2)
President & Portfolio Manager, Stone Castle Investment Management Inc.
Price
$1.010
Owned
No
COMMENT
COMMENT
March 10, 2017

Short the stock on the basis of marijuana prices dropping? The pricing of marijuana in Colorado has been dropping like a rock, something like 10% a month in the 1st year. The average selling price now is about $7.50 a gram, and there is going to be some pressure on that, especially as the market matures. Right now, demand is still outstripping supply. As companies raise money and bring up production, that probably changes. However, the end market is hard to quantify at this time. As far as Shorting goes, you can certainly make money on it, but you have to be tactful. When things go crazy and straight up, that is the time to put Shorts on. Also, when there is a lot of equity financing, that is probably another time.

Short the stock on the basis of marijuana prices dropping? The pricing of marijuana in Colorado has been dropping like a rock, something like 10% a month in the 1st year. The average selling price now is about $7.50 a gram, and there is going to be some pressure on that, especially as the market matures. Right now, demand is still outstripping supply. As companies raise money and bring up production, that probably changes. However, the end market is hard to quantify at this time. As far as Shorting goes, you can certainly make money on it, but you have to be tactful. When things go crazy and straight up, that is the time to put Shorts on. Also, when there is a lot of equity financing, that is probably another time.

Bruce Campbell (2)
President & Portfolio Manager, Stone Castle Investment Management Inc.
Price
$10.830
Owned
Unknown
COMMENT
COMMENT
March 10, 2017

One of the 39 marijuana licensed producers. Has a small operation on Vancouver Island. Also, has property on the mainland and the goal is to build a new facility there and get it licensed. A new licensed facility, gets them into the Health Canada queue a lot faster. This company flies under the radar right now. Valuation is still fairly reasonable. There is probably a lot of opportunity for this longer-term.

One of the 39 marijuana licensed producers. Has a small operation on Vancouver Island. Also, has property on the mainland and the goal is to build a new facility there and get it licensed. A new licensed facility, gets them into the Health Canada queue a lot faster. This company flies under the radar right now. Valuation is still fairly reasonable. There is probably a lot of opportunity for this longer-term.

Bruce Campbell (2)
President & Portfolio Manager, Stone Castle Investment Management Inc.
Price
$1.260
Owned
Unknown