BUY
Extremely well managed.
telephone utilities
COMMENT
Telcos. There's growth in telecom going forward, though it involves a lot of capex. In the long run, they charge customers what will generate a profit. Media side might be a bit more volatile. He likes BCE and Telus, not so much RCI.B or SJR.B.
Unknown
BUY
Very well run. Recent acquisition gives them more complete ownership of that field. Benefited from exposure to Europe, though talk of excess profits tax has hurt a bit. Pretty good buy at these levels.
oil / gas
BUY
One of the better managed companies in Canada. Diversified into flight training. Huge demand coming for pilot training. US defense training simulators. May be impacted by a recession, but a good, long-term buy at these levels. Fears of less government spending are misplaced, given world turmoil.
transportation equip & components
WEAK BUY
In a good position, generally speaking. Economically sensitive. He prefers the larger caps, such as LNR or MG, as there's more potential at current prices.
metal fabricators
TOP PICK
Bank stocks have retreated significantly. Moving judiciously into the US, now 20% of earnings come from there with a goal of 25%. Outstanding value right now. Second-highest dividend yield right now at 5.27%. (Analysts’ price target is $76.18)
banks
TOP PICK
Largest senior producer in Canada, diverse asset base, industry-leading cost structure. Can maintain dividend and cashflow even if oil were in mid-$30s. His outlook for oil is favourable. Dividend could increase. Yield is 4.14%. (Analysts’ price target is $91.67)
oil / gas