Latest Expert Opinions

Signal
Opinion
Expert
COMMENT
COMMENT
November 29, 2017

This is the real estate arm of Empire, and the major tenant is Sobey’s, which is struggling. About 30% of their rental is from Sobey’s. A strong, defensive style REIT, because it is generally anchored by non-cyclical retail outlets. You are going to clip your 6.5%, but doesn’t think you’re going to make anything more than that. This is not a growth story. He owns their debt.

This is the real estate arm of Empire, and the major tenant is Sobey’s, which is struggling. About 30% of their rental is from Sobey’s. A strong, defensive style REIT, because it is generally anchored by non-cyclical retail outlets. You are going to clip your 6.5%, but doesn’t think you’re going to make anything more than that. This is not a growth story. He owns their debt.

Paul Gardner, CFA
Partner and Portfolio Manager, Avenue Investment Management
Price
$13.760
Owned
Yes
COMMENT
COMMENT
November 29, 2017

This was a focused railroad hotel. They did a new contract with the rails, which allows them to resell 20% of unused accommodation to the general public. They focus on suburbia USA. The railway business is less important now, being only 30% versus the 60% it used to be. The stock has been under pressure, and he wouldn’t be surprised to see better numbers coming out. It is interesting and he is looking at it.

This was a focused railroad hotel. They did a new contract with the rails, which allows them to resell 20% of unused accommodation to the general public. They focus on suburbia USA. The railway business is less important now, being only 30% versus the 60% it used to be. The stock has been under pressure, and he wouldn’t be surprised to see better numbers coming out. It is interesting and he is looking at it.

Paul Gardner, CFA
Partner and Portfolio Manager, Avenue Investment Management
Price
$9.150
Owned
No
WAIT
WAIT
November 29, 2017

Has been hit because of their overexposure to Alberta. Announced they are going to sell a lot of their Alberta properties, and get more focused in the US. This is transforming the company into being better. There is still a headwind because of their office exposure in Alberta. He isn’t overly negative, but wouldn’t step in yet.

Has been hit because of their overexposure to Alberta. Announced they are going to sell a lot of their Alberta properties, and get more focused in the US. This is transforming the company into being better. There is still a headwind because of their office exposure in Alberta. He isn’t overly negative, but wouldn’t step in yet.

Paul Gardner, CFA
Partner and Portfolio Manager, Avenue Investment Management
Price
$14.020
Owned
Unknown
COMMENT
COMMENT
November 29, 2017

Double down? Hasn’t looked at this for a long time, so can’t give a good opinion. They are trying to diversify in Japan, but who knows if they have the expertise in that. However, he would not double down.

Just Energy Group (JE-T)
November 29, 2017

Double down? Hasn’t looked at this for a long time, so can’t give a good opinion. They are trying to diversify in Japan, but who knows if they have the expertise in that. However, he would not double down.

Paul Gardner, CFA
Partner and Portfolio Manager, Avenue Investment Management
Price
$5.390
Owned
No
PAST TOP PICK
PAST TOP PICK
November 29, 2017

(A Top Pick March 28/17. Up 8%.) Has underperformed relative to the sector, but still likes it.

BCE Inc. (BCE-T)
November 29, 2017

(A Top Pick March 28/17. Up 8%.) Has underperformed relative to the sector, but still likes it.

Paul Gardner, CFA
Partner and Portfolio Manager, Avenue Investment Management
Price
$61.690
Owned
Yes
PAST TOP PICK
PAST TOP PICK
November 29, 2017

(A Top Pick March 28/17. Up 11%.) Started liking this at around $20. Trading at about 12X earnings. Last quarter they beat their numbers. They’ve put a lot into cost containment. Also, the Alberta economy has come back. Car sales have also been better. He expects it to track into the high $20 over the next year.

AutoCanada Inc. (ACQ-T)
November 29, 2017

(A Top Pick March 28/17. Up 11%.) Started liking this at around $20. Trading at about 12X earnings. Last quarter they beat their numbers. They’ve put a lot into cost containment. Also, the Alberta economy has come back. Car sales have also been better. He expects it to track into the high $20 over the next year.

Paul Gardner, CFA
Partner and Portfolio Manager, Avenue Investment Management
Price
$23.120
Owned
Yes
PAST TOP PICK
PAST TOP PICK
November 29, 2017

(A Top Pick March 28/17. Up 8%.) 6.625% Bonds maturing in 2022. The biggest challenge is that they have to lower their debt balance.

Baytex Energy Corp (BTE-T)
November 29, 2017

(A Top Pick March 28/17. Up 8%.) 6.625% Bonds maturing in 2022. The biggest challenge is that they have to lower their debt balance.

Paul Gardner, CFA
Partner and Portfolio Manager, Avenue Investment Management
Price
$4.060
Owned
Yes