Latest Expert Opinions

Signal
Opinion
Expert
COMMENT
COMMENT
November 24, 2017

It seems as though the turnaround story is taking hold. The Canadian grocery space is a tough place to be. Pricing is competitive. They have issues with Amazon (AMZN-Q) digging deeper and deeper into the grocery space. Minimum wages are going up across the board. On a relative basis, this looks as good as any.

It seems as though the turnaround story is taking hold. The Canadian grocery space is a tough place to be. Pricing is competitive. They have issues with Amazon (AMZN-Q) digging deeper and deeper into the grocery space. Minimum wages are going up across the board. On a relative basis, this looks as good as any.

Daniel Lloyd
Portfolio Manager, Forge First Asset Management
Price
$24.920
Owned
No
COMMENT
COMMENT
November 24, 2017

This is a real industry and there will be winners and losers, but the cumulative market cap associated of these companies feels that they are beyond bubble territory now. Making incremental gains from this point forward is going to be very difficult.

This is a real industry and there will be winners and losers, but the cumulative market cap associated of these companies feels that they are beyond bubble territory now. Making incremental gains from this point forward is going to be very difficult.

Daniel Lloyd
Portfolio Manager, Forge First Asset Management
Price
$13.930
Owned
Unknown
COMMENT
COMMENT
November 24, 2017

Thinks Canadian banks in general are going to be dragged higher by macro forces, not least of which is energy. This has a pretty solid energy franchise on the investment banking side. Have well above average return on equities, which would typically afford them higher multiples. ROE is about 18%.

Thinks Canadian banks in general are going to be dragged higher by macro forces, not least of which is energy. This has a pretty solid energy franchise on the investment banking side. Have well above average return on equities, which would typically afford them higher multiples. ROE is about 18%.

Daniel Lloyd
Portfolio Manager, Forge First Asset Management
Price
$63.310
Owned
Unknown
COMMENT
COMMENT
November 24, 2017

Canadian Banks? He looks favourably on Canadian banks in general, because he likes the backdrop for energy. This is his favourite, and is actually the smallest of the group. Trades at the lowest valuation of the entire group. Trades at 1X Book compared to the National Bank (NA-T) at 2X. The Canadian bank trade should continue to drift higher.

Equitable Group (EQB-T)
November 24, 2017

Canadian Banks? He looks favourably on Canadian banks in general, because he likes the backdrop for energy. This is his favourite, and is actually the smallest of the group. Trades at the lowest valuation of the entire group. Trades at 1X Book compared to the National Bank (NA-T) at 2X. The Canadian bank trade should continue to drift higher.

Daniel Lloyd
Portfolio Manager, Forge First Asset Management
Price
$65.290
Owned
Yes
DON'T BUY
DON'T BUY
November 24, 2017

Banks are doing well, but unfortunately it is at the expense of the independent brokers in Canada. This is certainly cheap, but the Canadian broker space in general is challenged, because you have the banks on the investment side of things and are doing smaller and smaller things.

Banks are doing well, but unfortunately it is at the expense of the independent brokers in Canada. This is certainly cheap, but the Canadian broker space in general is challenged, because you have the banks on the investment side of things and are doing smaller and smaller things.

Daniel Lloyd
Portfolio Manager, Forge First Asset Management
Price
$4.670
Owned
No
COMMENT
COMMENT
November 24, 2017

Has a very strong Asian franchise, which is very beneficial, as it is the high growth area of the world. The issue he would have is their earnings sensitivity to the interest rate curve, which continues to flatten.

Manulife Financial (MFC-T)
November 24, 2017

Has a very strong Asian franchise, which is very beneficial, as it is the high growth area of the world. The issue he would have is their earnings sensitivity to the interest rate curve, which continues to flatten.

Daniel Lloyd
Portfolio Manager, Forge First Asset Management
Price
$26.900
Owned
No
COMMENT
COMMENT
November 24, 2017

The tissue space in general is struggling with pricing, probably as a result of over pricing in North America. Having a pure play in this area is not something you would want to do. Expects it will be challenged for the next couple of quarters. Prefers Cascades (CAS-T), which has an offset with container board/cardboard packaging.

KP Tissue Inc (KPT-T)
November 24, 2017

The tissue space in general is struggling with pricing, probably as a result of over pricing in North America. Having a pure play in this area is not something you would want to do. Expects it will be challenged for the next couple of quarters. Prefers Cascades (CAS-T), which has an offset with container board/cardboard packaging.

Daniel Lloyd
Portfolio Manager, Forge First Asset Management
Price
$13.780
Owned
No