N/A

Market. The strength in the US market is already reflecting US tax cuts. The lowered corporate tax to 21% and the 100% expensing of capital investments for the next 5 years will be good for the bottom line. Also, the repatriation of funds from overseas will help. It will also be healthy if interest rates go up, because they have been historically way too low. Because inflationary pressures are now relatively benign globally, there is no pressure on banks to raise rates quickly. Growth is fairly solid in the US and is improving in the rest of the world as well.

WAIT

This has been a huge underperformer for a number of years. There seems to be interest now because they have done so poorly. The new CEO has reduced guidance considerably. They are still trying to reshape their business. This is on her Watch List, but she is not tempted to get in yet.

HOLD

2017 had a very poor movie slate, which caused the stock to pull back. Numbers are still below what most analysts were expecting, so it will take awhile. They are staying away from the movie slate as much as they can, opening the rec rooms, top golf, retrofitting theatres to increase spend in the theatres. This will take some time. Pays a good dividend.

WAIT

All financials have done well in this environment with lower tax rates and increasing interest rates. She would wait for a pullback before getting into this. The group they are in should do relatively well.

COMMENT

Feels the dividend on this is safe. They are in the process of making a big US acquisition, which is supposed to close later this year. That could be a bit of an overhang until they actually close it. A good income stock. Dividend yield of 7.5%.

COMMENT

Has held this in clients’ portfolios for some time, but has not been adding in the last 3 years. Right now, energy producers in Canada are suffering from a widening differential.

COMMENT

Sold her holdings about a year ago when it went through her price targets. They have done very well. Some of the rally early in 2017 was due to the defence side. Also, the stock is benefiting from what is happening with the US tax reform packages, and they were building their backlog and are now having to produce. They will be generating a lot of cash flow. If you’ve owned this for a couple of years, you might consider taking some profits.

HOLD

Doesn't cover this closely, but they are a big business jet manufacturer. There has been an oversupply in that industry. Going forward, as corporate profits improve, you usually see affirming in business jet orders. They also have a defence operation as well. She wouldn't be inclined to buy at these prices.

COMMENT

Hasn't been too positive on Canadian retail, but this has actually done quite well. They may have gotten some of Sears’ business. Also have been working on their online and reformatting their stores, which has been doing well for them. This is probably the best of the group, but she is not sold on retailers.

BUY

Owns this in a few of her client's portfolios, and one she would potentially add to as well. It has pulled back and has a renewable component to it which she likes, because she wants to increase exposure to the renewable space, as well as regulator to the operators in the US. Has an attractive yield. A good name to own.

PAST TOP PICK

(A Top Pick Jan 11/17. Up 3%.) Still likes this. Half the company is outsourcing and half is systems integration. The outsourcing is a recurring revenue stream. They are seeing solid organic growth from their financial service end market, as older financial firms are having to modernize their systems. Attractively valued, so it is still a Buy. Doesn’t pay a dividend, which is a drawback for income investors.

PAST TOP PICK

(A Top Pick Jan 11/17. Up 47%.) Wouldn't necessarily be chasing this one. When it pulled back to $106-$107, she added to new clients’ accounts. A secular play to online e-commerce. In a lot of countries, especially in emerging markets, cash is still the primary form of payment.

PAST TOP PICK

(A Top Pick Jan 11/17. Up 43%.) There are not a lot of pure plays in this space. They transport, treat and test water. About 20% of revenues are from emerging markets. Those countries are still building out water infrastructure. In developed markets, water systems are aging and need refurbishment. She wouldn't chase the name at this price, but would wait for a bit of consolidation.

DON'T BUY

A pharmaceutical that does generics as well as branded drugs. The stock has not done well. Has new management, which are cutting costs. Also cut their dividend. There isn’t a lot of visibility on the pipeline, because one of their key branded drugs is seeing more competition and is going generic soon.

HOLD

A good investment for yield and income. The stock has been held back and thinks the market is waiting for their line 3 replacement to get final approval, which is due later on this year. Prefers the parent Enbridge (ENB-T) for their global diversity and their Spectra assets. However, both are good income vehicles.