HOLD
One of the few retailers battling against Amazon, due to their loyal customers. They make all their money on memberships -- making only 17% margin on products sold. He likes their business model and expects them to do well even during a prolonged Chinese trade war.
HOLD
He sees good things for Cisco. Great management and products. A good long term hold.
DON'T BUY
He is not an investor, but uses their products. The company has stagnating unit sales -- not very exciting given the premium it trades at. It is very expensive here.
DON'T BUY
He is more content owning the major pharma versus generic producers. The competition in the space too intense. They have been involved in the manufacturing of opiod based drugs, which could come under regulatory pressure.
HOLD
He still believes in this world producer of pump equipment in the oil and gas sector. In Q4 they paid a special dividend. Q1 has been disappointing. He is still a long term holder.
TOP PICK
A unique Canadian mulit-national producer of pressure sensitive labels -- the world's largest in the space. They have owned it for over 15 years. A family owned company. The latest quarter was exceptional. Yield 1.2% (Analysts’ price target is $66.88)
TOP PICK
Trades in London and on the Pink Sheets. The largest producer in the world of actuators -- an electronic signal for pumps used by refineries. They have lightened the top-heavy operations to improve gross margins. Yield 1.9% (Analysts’ price target is $311.12)
TOP PICK
Just bought it Friday. A healthcare stock under pressure from law suites associated to its talcum products. A great company to own long term. Yield 2.7% (Analysts’ price target is $148.47)
COMMENT
Retail sales data of late have been weaker than expected. Trade talks is on the mind of investors. The sectors that are more driven by trade have lead the declines. However, corporate earnings are still looking good. 1.4% year over year on earnings growth. Monetary policy should be accommodative for some time. Last few years, growth companies have outperformed value companies and with low interest rates, he expects this to continue.
DON'T BUY
There is a lot of competition and is an expensive name. Disney is coming into the streaming business. They are burning cash very quickly. The level of competition makes him nervous with this name and a high valuation.
BUY
He likes this ETF. Is very diversified with over 100 names. This is a good defensive strategy.
BUY
He likes BCE and the telecom sector. If playing the 5G, probably need to look to the US first. The yield is very attractive. This is a great name to own.
DON'T BUY
He tends not to like the airlines. Too much risk with oil pricing and geopolitical risk. Dividend is not bad but growth has been flat in this name. They are moving into the longer range flights which is moving away from their shorter range flights that they were good at.
COMMENT
He likes the US banks in general. However, he has pared back on some of his US bank holdings. His concern is that interest rates are staying low. He might tend toward some of the Canadian insurance companies, because later stage in the economic cycle with the banks.
BUY
He thinks in a lower interest rate environment, should see some stock appreciation. This is a good name to own.