DON'T BUY

Shares have tanked lately, because bond yields have been soaring as the market realizes that the Fed will cut rates later and perhaps less frequently. The March 8, non-farm payroll reports was lot hotter than expected, signaling a stronger employment market.

BUY

Last Friday, shares sank 9% after they reported. Their Q1 looked good to him, though, with a huge subscriber beat (adding 9.33 million paid users) and revenue jumped 15% YOY. $2.14 billion cash flow was impressive, and the company offered great guidance for the next quarter. That said, the full-year revenue growth forecast seemed lacking, slightly below expectations, and management didn't raise its full-year free cash flow forecast. This suggests things will be worse in the second half of 2024. Also, they're getting hit by currency fluctuations, like the collapse of Argentina's peso. But starting next year, Netflix won't supply numbers about membership and average revenue per member, which really spooked the market and triggered the sell-off. He agrees that they revenues mean more now with the company, but it was a boneheaded move to hide this data. Overall, he's more bullish than bearish about Netflix. Memberships are up and their ad business is growing.

DON'T BUY

He sold a lot of shares when activist investor Nelson Peltz didn't get on the board; Peltz would have shaken up the boardroom and instilled some discipline

BUY

Though shares have been weak and costs have risen (4-6% for gold and 9-11% copper), he still believes in this. Gold prices are up 13% this year, but ABX is down 9%. Barrick is getting its costs under control as it boosts production this year.

RISKY

Speculative, but we need more pharma companies to make immunotherapy drugs.

BUY

He disagrees with some analysts who say that ENB lack cash flows to service their debt. They have the cash flow, and the CEO is good.

BUY

They use AI in their medical devices; have lots of good devices.

BUY ON WEAKNESS

Analysts are looking forward to the developers' conference in June and the iPhone launch in September, but who knows if shares can take off without an AI tie-in? He suspects analysts are buying as estimates are cut, but interest will remain tepid until Apple shows that global growth is accelerating as much as it's shrinking in China, and that services revenues are holding. They make great products and now trades at a PE lower than what we're used to. They make a lot of money, but doesn't grow as fast as we'd like (or is not growing). If you think there won't be an iPhone refresh, then this is a sell down to $120, but he expects another refresh, but institutions won't let Apple fall that low. Buy a tranche at $160 then add even more if it falls down to $130. The longs will make a stand based on next year's earnings.

COMMENT

They report tomorrow. If they report that they're making money and Elon Musk pulls a rabbit out of hat, shares will rally. But if he talks only about self-driving cars and robo-taxis, then this will fall.

COMMENT

Peak of earnings season this week - earnings  are tracking higher than consensus (concentrated in large tech names). Geopolitical risk, and interest rates main concern for falling markets last week. Rising cost of money (potentially) is concerning for investors. Without "Mag 7" names - not much earnings growth in markets. Energy companies performing well, but broader markets not as strong. 

RISKY

Structure of ETF (leverage involved) major driver of performance. Can very volatile. Would recommend investors study product extensively. Is not a growth strategy - good for yield (~6.8%). Risky product due to use of leverage. 

BUY

Good way to get exposure to TSX broader market. Will track TSX index with low management fees. Good for long term investors. 

BUY ON WEAKNESS

Rising interest rates putting pressure on stock. Company uses substantial debt. Analyst estimates very broad. Would recommend waiting to buy when share price falls. Share price not low enough. Good company, with stable earnings - just not priced correctly. 

BUY

Good yield with covered call strategy. Currency exposure a concern, but likes Canadian banking sector. Expecting strong earnings going forward. Housing pressure with renewing mortgages a concern, but overall a good product for long term investors. 

PARTIAL BUY

Bullish trend good for momentum investors. Valuation is not too high (relative to tech), and has quality earnings. Fundamentally expects company to continue to perform. As long as trend continues, will be a good investment.