Latest Expert Opinions

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Opinion
Expert
COMMENT
COMMENT
December 15, 2017

They are doing a buyback. Has a strong balance sheet with 1.2X net debt to EBITDA. He models them growing earnings at 14%. Has a 31% payout ratio, so they can easily grow the dividend if they want. Trading at 13X PE. This is not bad, but he sees methanol prices staying pretty flat through 2018. This is a proxy on the global growth, so feels there is more life in this.

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Methanex Corp (MX-T)
December 15, 2017

They are doing a buyback. Has a strong balance sheet with 1.2X net debt to EBITDA. He models them growing earnings at 14%. Has a 31% payout ratio, so they can easily grow the dividend if they want. Trading at 13X PE. This is not bad, but he sees methanol prices staying pretty flat through 2018. This is a proxy on the global growth, so feels there is more life in this.

COMMENT
COMMENT
December 15, 2017

Hold or Sell? He likes this here. They have a lot of good irons in the fire. They are suggesting an 8%-10% dividend growth out to 2021. 18X 2018 is not bad for an 8% EPS growth. He would prefer Enbridge (ENB-T) right now, but this is a fine name.

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TC Energy (TRP-T)
December 15, 2017

Hold or Sell? He likes this here. They have a lot of good irons in the fire. They are suggesting an 8%-10% dividend growth out to 2021. 18X 2018 is not bad for an 8% EPS growth. He would prefer Enbridge (ENB-T) right now, but this is a fine name.

COMMENT
COMMENT
December 15, 2017

On Q3, they substantially completed most of their asset sales for $1.6 billion. The balance sheet is in much better shape. Has material exposure to the Toronto market which is very hot. Payout ratio is fine on 2018, but will be better in 2019. Through the asset sales their funds from operations dropped 8% 2017-2019. It’s a much better quality name now than it was. Really pricey trading at about 20X. This is one he would be selling Calls on.

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Dream Office REIT (D.UN-T)
December 15, 2017

On Q3, they substantially completed most of their asset sales for $1.6 billion. The balance sheet is in much better shape. Has material exposure to the Toronto market which is very hot. Payout ratio is fine on 2018, but will be better in 2019. Through the asset sales their funds from operations dropped 8% 2017-2019. It’s a much better quality name now than it was. Really pricey trading at about 20X. This is one he would be selling Calls on.

COMMENT
COMMENT
December 15, 2017

This has just fallen apart with ECO prices, with Henry hub falling. The markets have been so good that portfolio managers are just taking losers and dumping them as tax loss selling targets. Thinks there will be a pop between now and the 3rd week of January. The bad news is that the dividend has a 142% effective payout ratio, so it is not safe. The balance sheet is not ironclad.

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Arc Resources Ltd (ARX-T)
December 15, 2017

This has just fallen apart with ECO prices, with Henry hub falling. The markets have been so good that portfolio managers are just taking losers and dumping them as tax loss selling targets. Thinks there will be a pop between now and the 3rd week of January. The bad news is that the dividend has a 142% effective payout ratio, so it is not safe. The balance sheet is not ironclad.

COMMENT
COMMENT
December 15, 2017

Thinks this has finally turned the corner. It is definitely risky. New management continues to deliver on goals and milestones. He believes that the sum of the parts valuation is at $3.75 and that the C series is worth another $.72. He is modelling 30% EBITDA growth 2017-2020, and it is trading at a reasonable valuation of 9.2, versus its peers of 11.6. A good risk/reward story.

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Thinks this has finally turned the corner. It is definitely risky. New management continues to deliver on goals and milestones. He believes that the sum of the parts valuation is at $3.75 and that the C series is worth another $.72. He is modelling 30% EBITDA growth 2017-2020, and it is trading at a reasonable valuation of 9.2, versus its peers of 11.6. A good risk/reward story.

COMMENT
COMMENT
December 15, 2017

Trading at a very reasonable valuation. Tim Cook has been a great custodian for the business. They haven't really done anything super bold. They have so much cash, trading at a reasonable valuation. Tech land still has very reasonable multiples and this company is very reasonable within that. Thinks there is still more to go.

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Apple (AAPL-Q)
December 15, 2017

Trading at a very reasonable valuation. Tim Cook has been a great custodian for the business. They haven't really done anything super bold. They have so much cash, trading at a reasonable valuation. Tech land still has very reasonable multiples and this company is very reasonable within that. Thinks there is still more to go.

COMMENT
COMMENT
December 15, 2017

Trading at a fairly reasonable valuation. Expensive at 30X forward earnings, but not bad considering that they have 1.6 billion eyeballs, in so many ways to continue to monetize. This is the future. There is more to go.

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Facebook (FB-Q)
December 15, 2017

Trading at a fairly reasonable valuation. Expensive at 30X forward earnings, but not bad considering that they have 1.6 billion eyeballs, in so many ways to continue to monetize. This is the future. There is more to go.