Latest Expert Opinions

Signal
Opinion
Expert
COMMENT
COMMENT
September 28, 2017

This is going to go higher. It could have been a Top Pick. He is looking for $32 over the next 12 months. Its earnings were up last quarter by 31%. He likes the recovery in steel prices, and their tubular segment, which is linked to the energy sector, which has been improving. The dividend is pretty safe right now. 80% payout ratio on EPS for 2017. Trades at a multiple that is below its peers.

Russel Metals (RUS-T)
September 28, 2017

This is going to go higher. It could have been a Top Pick. He is looking for $32 over the next 12 months. Its earnings were up last quarter by 31%. He likes the recovery in steel prices, and their tubular segment, which is linked to the energy sector, which has been improving. The dividend is pretty safe right now. 80% payout ratio on EPS for 2017. Trades at a multiple that is below its peers.

Greg Newman
Director & Portfolio Manager, Scotia Wealth Management
Price
$27.610
Owned
Unknown
BUY
BUY
September 28, 2017

He likes all the banks. However, in Q3 this bank had negative operating leverage, a -2.2%. Their US operations at flat earnings which were kind of disappointing. There is uncertainty on the street as to whether they can maintain their efficiency ratios. The weaker US$ hurts them a little. They have a very favourable Cdn/US business mix. This is one you can buy at around these levels.

Bank of Montreal (BMO-T)
September 28, 2017

He likes all the banks. However, in Q3 this bank had negative operating leverage, a -2.2%. Their US operations at flat earnings which were kind of disappointing. There is uncertainty on the street as to whether they can maintain their efficiency ratios. The weaker US$ hurts them a little. They have a very favourable Cdn/US business mix. This is one you can buy at around these levels.

Greg Newman
Director & Portfolio Manager, Scotia Wealth Management
Price
$93.970
Owned
Unknown
BUY
BUY
September 28, 2017

Energy infrastructures are going to start to come alive with a better energy trade. They did an acquisition and are pinched a little by the rising Cdn$, but all in all thinks it is going to work out for them. 3% dividend yield.

Altagas Ltd (ALA-T)
September 28, 2017

Energy infrastructures are going to start to come alive with a better energy trade. They did an acquisition and are pinched a little by the rising Cdn$, but all in all thinks it is going to work out for them. 3% dividend yield.

Greg Newman
Director & Portfolio Manager, Scotia Wealth Management
Price
$28.860
Owned
Unknown
COMMENT
COMMENT
September 28, 2017

A kind of illiquid stock that moves around a lot. There is a Short Seller piece out there that says they are not going to have enough free cash to meet their dividend. CapX has been elevated. Thinks the Short Sellers are wrong and that they are going to grow their earnings by 12% over the next couple of years compounded annually. He models a payout ratio of 96% for 2017 next year. Thinks you will get a good combination of dividend and upside from here. Dividend yield of 6%+.

Exchange Income (EIF-T)
September 28, 2017

A kind of illiquid stock that moves around a lot. There is a Short Seller piece out there that says they are not going to have enough free cash to meet their dividend. CapX has been elevated. Thinks the Short Sellers are wrong and that they are going to grow their earnings by 12% over the next couple of years compounded annually. He models a payout ratio of 96% for 2017 next year. Thinks you will get a good combination of dividend and upside from here. Dividend yield of 6%+.

Greg Newman
Director & Portfolio Manager, Scotia Wealth Management
Price
$34.750
Owned
Yes
PAST TOP PICK
PAST TOP PICK
September 28, 2017

(A Top Pick Sept 23/16. Up 1%.) Had thought at the time that 2017 was going to be an off year, but anticipates very good growth for infrastructure beyond this year. They just put themselves up for sale. Trading at around 6.4, and he thinks it should fetch a multiple of around 8.5 if it gets sold. Very good balance sheet.

Aecon Group Inc (ARE-T)
September 28, 2017

(A Top Pick Sept 23/16. Up 1%.) Had thought at the time that 2017 was going to be an off year, but anticipates very good growth for infrastructure beyond this year. They just put themselves up for sale. Trading at around 6.4, and he thinks it should fetch a multiple of around 8.5 if it gets sold. Very good balance sheet.

Greg Newman
Director & Portfolio Manager, Scotia Wealth Management
Price
$17.680
Owned
Yes
PAST TOP PICK
PAST TOP PICK
September 28, 2017

(A Top Pick Sept 23/16. Up 13%.) At the time, it was cheap relative to its peers. It also had a good growth rate relative to its peers. Halifax is turning the corner and continues to shine. Their growth rate of 5.5% is a little less than it was then at 7%-8%. Their multiple is a little more expensive. This is still a Hold.

(A Top Pick Sept 23/16. Up 13%.) At the time, it was cheap relative to its peers. It also had a good growth rate relative to its peers. Halifax is turning the corner and continues to shine. Their growth rate of 5.5% is a little less than it was then at 7%-8%. Their multiple is a little more expensive. This is still a Hold.

Greg Newman
Director & Portfolio Manager, Scotia Wealth Management
Price
$13.180
Owned
Yes
PAST TOP PICK
PAST TOP PICK
September 28, 2017

(A Top Pick Sept 23/16. Up 18%.) There is more to go on this. He still models 19% EPS. Looking for it to go to $54.

Quebecor Inc (B) (QBR.B-T)
September 28, 2017

(A Top Pick Sept 23/16. Up 18%.) There is more to go on this. He still models 19% EPS. Looking for it to go to $54.

Greg Newman
Director & Portfolio Manager, Scotia Wealth Management
Price
$46.690
Owned
Yes