DON'T BUY
Would there be an opportunity to buy taking advantage of the weakness on the British Pound in case there is a hard Brexit? The financial services industry in the UK has taken a pounding but still thinks there are better places to be. He wouldn't comment on Brexit (even though he think there won't be one) and he wouldn't allowed currencies to influence his investment decisions.
DON'T BUY
This is not only a technology company. Much of its earnings are coming from games and movies. Both those areas are very difficult to predict. He sees better value elsewhere.
DON'T BUY
European banks have been hit hard. He sees better value in ING Groep NV. Cheaper and better.
COMMENT
Trading for half its tangible book value reflecting the European banking sector. He prefers Goldman Sachs (GS-N) on the investment bank side.
PAST TOP PICK
(A Top Pick Jan 30/18, Down 36%) It got caught up on an incident in the UK where an apartment building got on fire. They were using the company's product (that were totally legal). Earnings have not been great.
PAST TOP PICK
(A Top Pick Jan 30/18, Up 6%) The company makes gorilla glass that is used on iPhones and also TV sets and they are a global leader. They have bought back almoe=st 50% of their shares in the last 5 years. Double digit dividend increases. He really likes it.
PAST TOP PICK
(A Top Pick Jan 30/18, Down 33%) Representative of the Japanese market. Trading for less than its working capital. This is the reason many of the buyout companies are raising tens of billions of dollars to buy Japanese companies. He think that would be a catalyst for a company like this.
DON'T BUY
Looks a little bit like a value trap. A competitive business. Subscriber growth is flattening out. The company keeps on adding debt every year. There is not a lot of dividend coverage. Not a fan of the sector. (Analysts’ price target is $34.35)
DON'T BUY
He thinks it is the best of the FAANG stocks. But a difficult one to value. He would never want to bet against them as they are eating the world. But having said that they can not keep on growing in the way yet have or they would own the entire retail world.
DON'T BUY
Canadian Banks have recovered. They have a strong US operations. They benefited from the strong US dollar that is not going to persist forever. Canadian banks are more expensive than banks elsewhere. They deserve a premium but not by this degree. And the Canadian economy is showing signs of weakness.
DON'T BUY
They made a huge acquisition a few years ago and took on debt. They are OK financially but they overpaid for the company. He prefers other areas in the Health Care space. It is a big question mark how they integrate this company.
DON'T BUY
Getting involved in the streaming business that is becoming crowded. Amazing company. In a decelerating economy it will probably not do as well. The consumer cyclical in this environment is difficult.
DON'T BUY
World's largest alcoholic beverage company in the world. Minimum growth business in the last couple of years, Solid dividend payer. You are paying above market multiple for a very low growth company.
WATCH
Very tied to online sales. Wondering if the lower guidance of Amazon.com (AMZN-Q) wouldn't be an indication of what is going to affect them.
DON'T BUY
The US defense industry is not a cheap sector. He wouldn't be there.