Latest Expert Opinions

Signal
Opinion
Expert
PAST TOP PICK
PAST TOP PICK
January 30, 2018

(A Top Pick Jan 26/17. Up 43.34%.) Heavy equipment rental. This is a beneficiary of a good economy, and the belief that we are going to see infrastructure expansion.

Show full opinionHide full opinion
United Rentals (URI-N)
January 30, 2018

(A Top Pick Jan 26/17. Up 43.34%.) Heavy equipment rental. This is a beneficiary of a good economy, and the belief that we are going to see infrastructure expansion.

DON'T BUY
DON'T BUY
January 30, 2018

Everything has changed with this company. It went from being a darling 20 years ago at the end of the Jack Walsh era. Jeff Immelt was a darling for far, far too long. He is now out, and Mr. Flannery is in. They've ratcheted down their earnings expectations, as their cash flow is awful. He wouldn't look at this. It will have a bottom, but he doesn't know where that is.

Show full opinionHide full opinion
General Electric (GE-N)
January 30, 2018

Everything has changed with this company. It went from being a darling 20 years ago at the end of the Jack Walsh era. Jeff Immelt was a darling for far, far too long. He is now out, and Mr. Flannery is in. They've ratcheted down their earnings expectations, as their cash flow is awful. He wouldn't look at this. It will have a bottom, but he doesn't know where that is.

COMMENT
COMMENT
January 30, 2018

This has done extremely well. It’s always been a fairly high valued company. Because of that, he has stayed away, but has a great deal of respect for the franchise and what they’ve done. China is doing extremely well for them, and is very exciting. However, domestic operations in the US, and to some extent in Canada, are suffering from a lack of traffic. If it was a lower multiple company, he might be a little more excited, but there are too many other exciting opportunities.

Show full opinionHide full opinion
Starbucks (SBUX-Q)
January 30, 2018

This has done extremely well. It’s always been a fairly high valued company. Because of that, he has stayed away, but has a great deal of respect for the franchise and what they’ve done. China is doing extremely well for them, and is very exciting. However, domestic operations in the US, and to some extent in Canada, are suffering from a lack of traffic. If it was a lower multiple company, he might be a little more excited, but there are too many other exciting opportunities.

COMMENT
COMMENT
January 30, 2018

This has over 1 billion installed devices around the world, with a 93% loyalty rate. That means 93% of people would buy another Apple product. That’s a pretty good business plan. They also have a $30 billion services business that would be a top 50 company on its own. This company has lots of legs.

Show full opinionHide full opinion
Apple (AAPL-Q)
January 30, 2018

This has over 1 billion installed devices around the world, with a 93% loyalty rate. That means 93% of people would buy another Apple product. That’s a pretty good business plan. They also have a $30 billion services business that would be a top 50 company on its own. This company has lots of legs.

COMMENT
COMMENT
January 30, 2018

Looking at a long-term chart, this company has done extremely well, and has certainly participated in this broader rally. It’s doing very well and is a beneficiary of a very good market. Also, they are very well-managed and there is a lot to look forward to. Look at the costs embedded in in their P&L, delivery costs, labour, fuel costs, equipment costs, 150,000 vehicles and 800 airplanes. All this is changing. We are going to autonomous driving and drone delivery at some point. That is going to change the whole model in their favour. Trades at a very reasonable multiple, about 15 or 16 times earnings.

Show full opinionHide full opinion
FedEx (FDX-N)
January 30, 2018

Looking at a long-term chart, this company has done extremely well, and has certainly participated in this broader rally. It’s doing very well and is a beneficiary of a very good market. Also, they are very well-managed and there is a lot to look forward to. Look at the costs embedded in in their P&L, delivery costs, labour, fuel costs, equipment costs, 150,000 vehicles and 800 airplanes. All this is changing. We are going to autonomous driving and drone delivery at some point. That is going to change the whole model in their favour. Trades at a very reasonable multiple, about 15 or 16 times earnings.

COMMENT
COMMENT
January 30, 2018

Switched to this from Goldman Sachs (GS-N), and likes that it has more of a retail focus. It’s become more of a retail operation over the years. Almost 50% of its business is in Investment Management and is growing very smartly. It still has some growth ahead of it.

Show full opinionHide full opinion
Morgan Stanley (MS-N)
January 30, 2018

Switched to this from Goldman Sachs (GS-N), and likes that it has more of a retail focus. It’s become more of a retail operation over the years. Almost 50% of its business is in Investment Management and is growing very smartly. It still has some growth ahead of it.

TOP PICK
TOP PICK
January 30, 2018

He owned this in the past and sold at 3 or 4 years ago, because a great percentage of revenues and profits were made up of ESPN and ABC, and he was seeing cord cutting and subscriber growth waning. The purchase of 21st-century Fox will take those shackles off. They are getting a great library, but also control of HULU, a streaming medium. They own 30% already, but 21st-century Fox also owns 30%, so they now have majority ownership. A year from now we are going to see that "glass half empty" of cord cutting into a "glass half full". They are going to take Netflix on and you are going to see a Disney channel being streamed into homes. Trading at a reasonable multiple. Dividend yield of 1.5%. (Analysts' price target is $119.18.)

Show full opinionHide full opinion
Walt Disney (DIS-N)
January 30, 2018

He owned this in the past and sold at 3 or 4 years ago, because a great percentage of revenues and profits were made up of ESPN and ABC, and he was seeing cord cutting and subscriber growth waning. The purchase of 21st-century Fox will take those shackles off. They are getting a great library, but also control of HULU, a streaming medium. They own 30% already, but 21st-century Fox also owns 30%, so they now have majority ownership. A year from now we are going to see that "glass half empty" of cord cutting into a "glass half full". They are going to take Netflix on and you are going to see a Disney channel being streamed into homes. Trading at a reasonable multiple. Dividend yield of 1.5%. (Analysts' price target is $119.18.)