Latest Expert Opinions

Signal
Opinion
Expert
TOP PICK
TOP PICK
November 24, 2017

Just closed the Richmont acquisition. Views it as a premier mid-cap name in Canada. There is no debt and they have a bunch of cash on the balance sheet. Generates free cash flow. He calculates their all-in sustaining costs is a little below $850 an ounce. Operates in Canada and Mexico. Likes management and the assets. It’s not unreasonable to have some gold exposure, in case things go sideways. Dividend yield of 3%. (Analysts’ price target is $12.00.)

Alamos Gold Inc (AGI-T)
November 24, 2017

Just closed the Richmont acquisition. Views it as a premier mid-cap name in Canada. There is no debt and they have a bunch of cash on the balance sheet. Generates free cash flow. He calculates their all-in sustaining costs is a little below $850 an ounce. Operates in Canada and Mexico. Likes management and the assets. It’s not unreasonable to have some gold exposure, in case things go sideways. Dividend yield of 3%. (Analysts’ price target is $12.00.)

Daniel Lloyd
Portfolio Manager, Forge First Asset Management
Price
$8.550
Owned
Yes
COMMENT
COMMENT
November 24, 2017

He bought this 4 years ago at $7.01 and it is now $9.44. One reason he bought it was for the dividend as it was over 7%. Thinks this could go to $15. It’s a leader in the field and a wonderful demographic play. They’ve been growing by acquiring and organically.

Extendicare Inc (EXE-T)
November 24, 2017

He bought this 4 years ago at $7.01 and it is now $9.44. One reason he bought it was for the dividend as it was over 7%. Thinks this could go to $15. It’s a leader in the field and a wonderful demographic play. They’ve been growing by acquiring and organically.

Benj Gallander
President, Contra the Heard Investment Letter
Price
$9.440
Owned
Yes
COMMENT
COMMENT
November 24, 2017

Has a tremendous amount of insider buying, which is normally a good signal. Has had it on his Watch List for a number of years. Doesn’t see buying it now, but it is certainly in the realm of contrarian plays.

Yamana Gold Inc. (YRI-T)
November 24, 2017

Has a tremendous amount of insider buying, which is normally a good signal. Has had it on his Watch List for a number of years. Doesn’t see buying it now, but it is certainly in the realm of contrarian plays.

Benj Gallander
President, Contra the Heard Investment Letter
Price
$3.380
Owned
Unknown
COMMENT
COMMENT
November 24, 2017

Prem Watsa owns about 40.1% of the common shares. Do you buy this for capital appreciation, the dividend, or perhaps for the breakup value later on? That is definitely a good signal. It could be a good contrarian pick now. They have no debt, and the dividend is over 6%. The high dividend is a danger signal. This is risky.

TorstarCorp (B) (TS.B-T)
November 24, 2017

Prem Watsa owns about 40.1% of the common shares. Do you buy this for capital appreciation, the dividend, or perhaps for the breakup value later on? That is definitely a good signal. It could be a good contrarian pick now. They have no debt, and the dividend is over 6%. The high dividend is a danger signal. This is risky.

Benj Gallander
President, Contra the Heard Investment Letter
Price
$1.550
Owned
No
COMMENT
COMMENT
November 24, 2017

Getting a $5 billion injection from Walgreen which will help with their long-term debt. Has had his brains blown out of the water on this stock. Bought it as an arbitrage play because of Walgreen. Has bought more recently. This has been one of his big losers. He is happy to hold it as he thinks it has a lot of upside. Same-store sales going down in a company is not great.

Rite Aid Corp. (RAD-N)
November 24, 2017

Getting a $5 billion injection from Walgreen which will help with their long-term debt. Has had his brains blown out of the water on this stock. Bought it as an arbitrage play because of Walgreen. Has bought more recently. This has been one of his big losers. He is happy to hold it as he thinks it has a lot of upside. Same-store sales going down in a company is not great.

Benj Gallander
President, Contra the Heard Investment Letter
Price
$1.640
Owned
Yes
DON'T BUY
DON'T BUY
November 24, 2017

The number of shares is absolutely insane. The share count has grown dramatically. They’ve been in survival mode for quite a while, but thinks they will survive. It wouldn’t surprise him if they did a share consolidation. Share consolidations are virtually always bad for stocks. A speculative play, but it could be good. Doesn’t think you will lose all your money. He doesn’t see putting dollars on it at this time.

The number of shares is absolutely insane. The share count has grown dramatically. They’ve been in survival mode for quite a while, but thinks they will survive. It wouldn’t surprise him if they did a share consolidation. Share consolidations are virtually always bad for stocks. A speculative play, but it could be good. Doesn’t think you will lose all your money. He doesn’t see putting dollars on it at this time.

Benj Gallander
President, Contra the Heard Investment Letter
Price
$0.161
Owned
No
PAST TOP PICK
PAST TOP PICK
November 24, 2017

(A Top Pick Dec 22/16. Up 15%.) A huge Dutch insurer and operates in many countries. Had huge problems during the recession and had to be bailed out by the Dutch government. They seem to be getting their house in order. They could be on the comeback trail. They’ve been doing well over the past year. It wouldn’t surprise him if this ultimately tripled.

Aegon N.V. (AEG-N)
November 24, 2017

(A Top Pick Dec 22/16. Up 15%.) A huge Dutch insurer and operates in many countries. Had huge problems during the recession and had to be bailed out by the Dutch government. They seem to be getting their house in order. They could be on the comeback trail. They’ve been doing well over the past year. It wouldn’t surprise him if this ultimately tripled.

Benj Gallander
President, Contra the Heard Investment Letter
Price
$6.080
Owned
Yes