Today, Don Lato and Brian Madden commented about whether POT-T, IPL-T, RY-T, MFC-T, SHOP-T, ATD.B-T, CTC.A-T, WFG-T, MG-T, PD-T, ACQ-T, RCI.B-T, T-T, SJR.B-T, CLS-T, TWM-T, CPX-T, PPL-T, TCN-T, ENB-T, CPG-T, GMP-T, TOU-T, ECI-T, NA-T, WMT-N, K-T, CNQ-T, SU-T, CVE-T, TOU-T, GILD-Q, NFLX-Q, HD-N, ROOT-T, PD-T, CCL.B-T, PFE-N, NFI-T, MA-N, V-N, ENB-T, VRX-T, WBA-Q, ZZZ-T, PXT-T, WGO-N, BWA-N, PXT-T are stocks to buy or sell.
They recently completed their IPO. It struggle a bit out of the gate and has treaded water ever since. It is a fashion brand that has been out for long time. He does not see the growth here. There are a lot of better places to be in retail. Where is the expansion going to come from. He does not see the brand translating well into the US.
At these levels it is a great company for the long term. He owned it at one time. There is still room here. You end up kicking yourself for always thinking they are bit expensive. With housing coming back in the US, they are going to put some money back into their house. He would establish a half position and then see how it goes.
It is a great company. He just does not see how they can grow into their valuation and make money for shareholders. He would have said the same thing last year. Yet their subscriber numbers continue to grow. It is not growth at a reasonable price. AAPL-Q is at 15 times earnings and 12 if you take the cash off the balance sheet. AAPL-Q is still his number one holding in his portfolios.
He would buy it at this price. He has owned it all year. They have continued to grow. They have expanded production again this year even if not at the same pace. They will be flat on Natural gas for the next year because there is not a lot of demand for more. They will change from a pure growth company to one that will pay a dividend – about 1.5%. This is still a good bet for the long run.
SU-T vs. CNQ-T. SU-T is a great company. With CNQ-T they are the two big guys in the field. He owns neither one but he would lean a little more to CNQ-T because of better valuation. The yield is not as great but they have more potential to bump the dividend up. Unit we get a better energy environment in Canada the growth will be limited.
SU-T vs. CNQ-T. SU-T is a great company. With CNQ-T they are the two big guys in the field. He owns neither one but he would lean a little more to CNQ-T because of better valuation. The yield is not as great but they have more potential to bump the dividend up. Unit we get a better energy environment in Canada the growth will be limited.
Market. Round numbers attract a lot of attention (DOW) but the market in the US is moving higher because the economy is growing beyond a 3% clip as it is here in Canada. Employment data is strong. TSX profits are growing at an 18% clip compared to a year ago. In the medium term, he expects stock prices to move higher. There is a tug of war over seasonality with December being one of the most positive months and the fact that markets are running pretty hot and are overbought. How that resolves in the short term is anyone’s call. In the long term, we are in the late stages of an economic cycle (9th year). He is looking at any number of indicators to know when to take a defensive position. NAFTA is going to work out. He thinks it will survive with a lot of noise along the way. We are getting close to the finish line on the US tax cuts. He thinks there is some good news coming.
It has had a remarkable run over the last 10 years. It has doubled. This is mostly due to the management team. It has the highest return on equity of the group. It has re-rated higher. It has gone from being a small regional bank to one of the big boys. It is now one of the big-six banks (formerly 5). He would be tempted to take partial profits. There is nothing wrong with it operationally.
Best known for hot water heater rentals. He likes the business and its stable recurring revenue model, high profitability and a respectable, growing dividend yield. The valuation keeps him away from it and he would wait for more of a pull back to get interested in it. This is not a pro-growth stock and he is currently positioning more for growth.
You see companies cutting back on exploration budgets. This stock may have bottomed out here. It is building a base for the future when the environment gets better. He would not buy it but it might have trading potential over the next year. Conditions can’t get much worse. Watching it before getting back in.