Latest Expert Opinions

Signal
Opinion
Expert
WAIT
WAIT
April 5, 2017

They’ve taken on quite a bit of debt on their deal with Conoco Phillips, and the market reacted, dropping the stock price about $1 below where they issued new equity at, and have gone from the best balance sheet to now arguably the worst. It didn’t really move the needle for free cash flow. Their motivation was right in consolidating some of the best oil sands assets in Canada, but they had to include about 40% of deep basin gas and conventional oil. They want to sell some non-core assets and maybe generate about $3.5 billion. He would start to pick away anywhere in the low $14 range, but would wait until there was some clarity on the disposition package. Prefers Canadian Natural Resources (CNQ-T).

Cenovus Energy(CVE-T)
April 5, 2017

They’ve taken on quite a bit of debt on their deal with Conoco Phillips, and the market reacted, dropping the stock price about $1 below where they issued new equity at, and have gone from the best balance sheet to now arguably the worst. It didn’t really move the needle for free cash flow. Their motivation was right in consolidating some of the best oil sands assets in Canada, but they had to include about 40% of deep basin gas and conventional oil. They want to sell some non-core assets and maybe generate about $3.5 billion. He would start to pick away anywhere in the low $14 range, but would wait until there was some clarity on the disposition package. Prefers Canadian Natural Resources (CNQ-T).

Dennis da Silva
Managing Director & Sr Portfolio Manager, Middlefield Capital Ltd.
Price
$15.110
Owned
Unknown
BUY
BUY
April 5, 2017

This has been his favourite for years. He’s a fan of zinc and the commodity has performed very well. This is the purest play. Just completed a major transaction with Glencore (GLEN-LN) to buy some mines in West Africa. That basically vaults them into the largest pure zinc producer globally. Thinks we are only touching the beginning of zinc, and can see it easily going to $1.50-$1.60 in the short term. Currently trading at around $1.25.

This has been his favourite for years. He’s a fan of zinc and the commodity has performed very well. This is the purest play. Just completed a major transaction with Glencore (GLEN-LN) to buy some mines in West Africa. That basically vaults them into the largest pure zinc producer globally. Thinks we are only touching the beginning of zinc, and can see it easily going to $1.50-$1.60 in the short term. Currently trading at around $1.25.

Dennis da Silva
Managing Director & Sr Portfolio Manager, Middlefield Capital Ltd.
Price
$1.300
Owned
Yes
BUY WEAKNESS
BUY WEAKNESS
April 5, 2017

This got negative reaction last week because of 2 of its projects, but feels it was an overreaction to the technical update in terms of costs for the Rosemont zinc project. He continues to like this. It also has good copper exposure. He would be patient with this over the next couple of months.

This got negative reaction last week because of 2 of its projects, but feels it was an overreaction to the technical update in terms of costs for the Rosemont zinc project. He continues to like this. It also has good copper exposure. He would be patient with this over the next couple of months.

Dennis da Silva
Managing Director & Sr Portfolio Manager, Middlefield Capital Ltd.
Price
$9.320
Owned
Yes
COMMENT
COMMENT
April 5, 2017

Very conservative with their balance sheet. High quality assets.

Very conservative with their balance sheet. High quality assets.

Dennis da Silva
Managing Director & Sr Portfolio Manager, Middlefield Capital Ltd.
Price
$2.710
Owned
Unknown
COMMENT
COMMENT
April 5, 2017

Has owned this in the past. About a year ago, they had great promise in terms of growth outlook, but stumbled. Now they have a new CEO and there certainly has been a change, from the mine level up to the top, in terms of management ranks. He sees a consolidating trend with about an $800 million commitment. The visibility of payback is several years, if at all.

Goldcorp Inc(G-T)
April 5, 2017

Has owned this in the past. About a year ago, they had great promise in terms of growth outlook, but stumbled. Now they have a new CEO and there certainly has been a change, from the mine level up to the top, in terms of management ranks. He sees a consolidating trend with about an $800 million commitment. The visibility of payback is several years, if at all.

Dennis da Silva
Managing Director & Sr Portfolio Manager, Middlefield Capital Ltd.
Price
$19.940
Owned
No
PAST TOP PICK
PAST TOP PICK
April 5, 2017

(A Top Pick May 31/16. Down 31%.) Feels management missed on some targets and expectations. It’s a top tier management team and board that is well regarded.

Tahoe Resources(THO-T)
April 5, 2017

(A Top Pick May 31/16. Down 31%.) Feels management missed on some targets and expectations. It’s a top tier management team and board that is well regarded.

Dennis da Silva
Managing Director & Sr Portfolio Manager, Middlefield Capital Ltd.
Price
$10.890
Owned
Yes
PAST TOP PICK
PAST TOP PICK
April 5, 2017

(A Top Pick May 31/16. Down 14%.) Although price of oil has gone from $38 to north of $50, this makes no sense.

(A Top Pick May 31/16. Down 14%.) Although price of oil has gone from $38 to north of $50, this makes no sense.

Dennis da Silva
Managing Director & Sr Portfolio Manager, Middlefield Capital Ltd.
Price
$6.820
Owned
Yes