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DON'T BUY
The rail stocks since 2009 have been a group that's had a spectacular gain, all moving to price-to-book levels that have exceeded their histories. He doesn't see opportunities now to buy them cheap. CNR trades at current fair market value. Remember: it's late in the cycle and poised to decline from theese heights. You won't see these highs for decades.
Transportation
DON'T BUY
From its top in July, he was looking for a pullback which we've had. FB is still not cheap. His fair market value is $135. It has strong support at $115, which he wouldn't be surprised if it fell back there. All the FAANGs were grossly overvalued. Be careful with FAANGs. He expects another correction.
Technology
SELL
The price hasn't collapsed like its peers such as Baytex. But VET's fair market value at $24, so it's now pricey. VET is paying out way more than it's earning. No wonder the stock price is slipping. If this continues, VET's 8.8% dividend will be cut by a third just to equal earnings. The oil patch better turn around. Sell half of this.
oil
gas
