BUY
He recently added WSP, the gold standard in engineering consulting, a global leader.
Business Services
TOP PICK
Overly beaten up. E-commerce for large corporations, such as Click & Collect. E-platform lets people bid on government contracts. IT labour shortages, high capex for acquisition. Dirt cheap. Activist shareholder should unlock value. Stock could see $6. No dividend.
computer software / processing
TOP PICK
The only publicly traded company in death care. #2 player in the US. Recession-proof, high margins and barriers to entry, demographic tailwinds, excellent management. Focused on M&A in a fragmented industry. Strong earnings and cashflow growth. Great entry point at 16x PE. Yield is 1.37%.
other services
TOP PICK
Fastest-growing asset manager in Canada, organically and by acquisition. Also sells life insurance. Trades at 40-50% discount to intrinsic value. Shareholder friendly. Big dividend increases. Very well managed, high quality. Excellent growth potential. Yield is 3.25%. (Analysts’ price target is $43.67)
Financial Services
STRONG BUY
World's largest in home accessibility and patient handling. Aging demographic tailwinds. Very well managed. Margin compression from supply chain issues. Anticipates good execution. Business is booming.
other services
PARTIAL SELL
Grocers benefit from food price inflation, but only up to a point. Owns discount businesses. Buying back shares, which has contributed to EPS growth. Awfully expensive, take profits, as it should revert to the mean.
food stores
HOLD
Depends on the commodity price. Huge lift from events in Ukraine and Russia. New production coming onstream, but this will take time. Making money hand over fist now. You generally want to buy commodity companies when PE is high, so earnings are low; sell when PE is low, which means earnings are peaking. Sweet spot right now.
agriculture