DON'T BUY
NXE vs. CCO He'd lean towards CCO, go-to name, largest producer in the world. The large players attract more international interest. NXE is a small cap, it may not get as much interest, and so the valuation may not get as high. CCO valuation is a bit extended. Outlook for uranium is positive. He'd look at the Sprott U.UN, which is a direct play on uranium prices, rather than the producers.
0
BUY
Outlook for uranium is positive. He'd look at the Sprott U.UN, which is a direct play on uranium prices, rather than the producers.
Mining
BUY
Caveat is we're getting late in the cycle. He's buying these names for the next year, not 5-10 years. Great cashflow. Accretive acquisition. Strong name, strong management.
Oil and Gas (Integrated Oils)
HOLD
Great operator. Spinning off a lot of cash. Always a good balance sheet. Levered to nat gas. Most Canadian companies can't benefit from the price increase in Europe, as we can't get to market. No long-term fundamental shortage of gas in Canada, and this is problematic.
oil / gas
HOLD
Underwater. Hold or sell? Hold on. Market's worried about the major expansion just as costs are rising and the economy is slowing. Growth looks intact. Ongoing trend to deliver packages. Major DHL contract.
Transportation & Environmental Services
HOLD
Hard to argue with the valuation. Disappointing stock. There are worries about growth in Asia and impact of Hong Kong. Core earnings are growing. Capital ratios are in good shape. Higher rates will help investments. Cheap stock, decent yield, outlook is fine. Hang on.
insurance
COMMENT
Lifecos vs. banks. Different businesses. Lifecos are better insulated and more defensive in a downturn. Loan losses are less of an issue. Light on financials in general. He's comfortable with the valuation of lifecos.
Unknown