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This has had a fair record of peaking out at about 2X its BV, and is currently trading at about 1.6. He can give an upside to about $62 based on its current earnings, but unless there is any earnings acceleration, there is nothing absolutely beyond that, because at that point, both the FMV and the technical condition would run out of gas.

For the past 5 years, the balance sheet has been slowly slipping away. That is because of the huge volatility of energy pricing. The whole oil stock complex is cheap on a Price to Book basis. However, when you value them on an earnings basis, they are not. Oil pricing keep slipping lower and lower. On this company, the PE is 50, and it is currently trading at a Price to Book of 50%.

This has got a nice yield and a huge upside potential from a Fair Market point of view. Trades at a beautiful discount to its BV. However, the market doesn’t seem to care. He likes the group and they are cheap.

This is back to being a company and not a rank speculation like it was a couple of months ago. There is nothing wrong with the balance sheet. A bunch of American speculators drove this company into the ground. In a couple of quarters, we should start seeing a bounce back in earnings, as well as dividends. (Analysts’ price target is $17.63.)

Relatively cheap and trading at about 1.25X BV, which is about as low as the company gets. Not a bad dividend of 3.6% and nice upside potential of about 25% for a utility. It should be clear to about $51. (Analysts’ price target is $50.)

Trading at 60% of its BV and has a payout that is covered. If they were to cut their dividend down to about 8%, a sustainable rate, he thinks the stock would take off. Dividend yield of 11%. (Analysts’ price target is $14.)

Market.Non-resource markets did very well. The European economies are putting up better numbers. Even in the Asian emerging markets, there was a lot of trade in technology happening. The resource markets were somewhat left out of it, and financials were kind of dull in the 1^st half. When you set the stage for the 2^nd half, all of a sudden you have Central Banks around the world talking more hawkishly and interest rates rising. We are just coming out of what has been a very long, slow and tepid recovery. You don’t really know how economies are going to adjust to higher rates, and how fast that is going to happen, and whether or not there might be some adjustments along the way. Inflation is almost negligible, so why push interest rates up against that? This is a time to be really cautious and look at the quality of the companies you are investing in. Even though the recovery has been slow, markets have been fairly good. The wildcard in all of this are trade talks which have just started.

This had a bit of a setback over the last couple of years, but we are finally beginning to see them work out of the problems they’ve had with their partner companies. A good stock for people who are looking for steady income. One of the fears was when a number of these companies were having trouble meeting their preferred payments. They’ve made a few new investments with some new companies and have started a small-cap division. They are finally getting back on track. Dividend yield of 7.25%.

A lot of technology companies sell beyond multiples he looks at as a value investor. This one has always been an extremely good company. They are at the forefront of their technology. Longer-term they are in a very good place. Trading at 52X forward earnings. You have to grow a whole lot to justify those kinds of multiples.

A company that is balanced between regulatory and other activities. The dividend is fairly secure at this time. Originally, they were more western based. Within the sector there are probably other quasi-utility type situations that he would look at first.

He looks at a number of these royalty companies, but when it comes down to it, it is the price that they sell for. They are very good businesses, but from a “price to cash flow point” of view, they always look fairly expensive. They have to keep finding longer-term investments that hopefully won’t be delayed too long coming into fruition. This has been one of the better managed of the group. If looking for a dividend stream over a period of time, this is probably a fairly safe investment. In terms of capital appreciation though, he would be a little wary. Trading at 28X forward earnings.

At this time, this is a speculation not an investment. He wouldn’t invest money you can’t afford to lose, because there is a possibility this could go to zero. There is value within their brands, but the retail part of the company has failed. A lot of creditors are circling.

This usually carries a pretty good yield relative to the other banks. They’ve always been a fairly conservatively managed bank, and are certainly not as regional as they used to be. Have a fairly strong capital ratio, and sell at a fairly reasonable multiple of book. He doesn’t see the possibility for growth and expansion that he can see in their larger competitors.

Well-managed. Made a large Texas acquisition a few years back which turned out very well. Then they bought the transmission assets. They have a good growth pattern ahead. You are buying a lot of US exposure now. He thinks they are in a good place at a good time. The stock has performed very well.

This is a company where the government sets its rates, takes its cash flow. The flexibility that management has within Ontario is limited. You have to ask yourself, are you really buying equity or just buying a participation with a right to a dividend as it goes along. Making a US acquisition gives them an outlook for growth, and hopefully earn a better return on equities.