Latest Stock Buy or Sell? Make More Informed Decisions!

Great story YTD. Yesterday was month-end, with the Russell outperforming about 10% and the NASDAQ flat. So yesterday it made sense that we had a bit of a reverse on that, with a furious rally going into the end of the month.

Now we're into August, and August has volatility. You have the Fed signaling that they're probably going to do their first rate cut in September, which is good. But there are concerns about economic data coming in that might indicate the Fed was behind the curve. 

Bottom line is that we're still really in a bull market. What's happening today might be considered an outside day. Steep reversal from this morning's gains is healthy.

Conversation has been whether it's time to lighten up on the Mag 7 and other stocks like that. He'd say no. Stay with secular themes. Not at any price, but if they're at reasonable prices stay with them. The tech trade still works very, very well. But this rotation is very healthy and indicative of a bull market that wants to broaden; suggesting lower bond yields are helping, margins are coming back, earnings have been good.

Wide swath of places to play. Financials are starting to work again, particularly in the US. Insurance has been good for a long time. Industrials. Metal complex. Some energy. Some natural gas, which is a bit weak right now so there's a good setup there. US stocks that haven't done well such as DIS, BA, and PFE.

You don't have to be all in. Staying in cash is still not paying you a bad return. And bonds aren't paying badly either.

The rotation does include the Canadian stocks. The small-cap index in the US is getting a lot of press, but it's happening quietly in Canada too. We're up about 10-12% as well. Forces that are happening in the US are happening here.

Canadian market has underperformed for a long time. There are reasons for that, but it's also an opportunity and our valuations are cheaper.

Opportunities on both sides of the border.

Really strong organic growth. Very strong investment pipeline. Lots of M&A optionality. Lots of opportunities in data and de-carbonization. Good job this year with capital recycling. Q1 was in line. Not expensive at 8x. He models about 11% AFFO growth. Benefits from the great rotation upon us. Yield of 5+%.

Trades at a lower multiple than US because for years was priced as a duopoly, but now much more competition. Costs are lower in US. Likes it here, very cheap at 5.6x 2025. Profit warning, but says demand still healthy. Balance sheet improving. Growth rates keep coming down, but he still models 5%.

More for risk capital. Airlines are not long-term investments. Sell a put and oblige yourself to own it at $14-15, get paid a nice premium.

AI negative press is just noise. META, for example, said that it's already strategically using AI to benefit bottom line and free cashflow. Multi-decade disruption from AI, and NVDA is right at the centre. Paying ~40x for a name that's growing around 40%.

Don't buy right at the top, and don't put all your money in at once. But when there's a pullback, as there was 2 days ago, you can put some money to work. Still buyable at certain times.

Copper's been all over the place, and really down lately on a weaker China. Whole copper complex trades at a premium because they know there's this thirst for copper amid shortages. Materially paid down debt. Trades at discount (4.8) to large-cap peers (5.6). He models 40% EPS at a 31 PE.

Was risky, de-risked to a large extent. Copper's not for the faint of heart. A whippy player, but a winner if it continues to execute well and copper does well.

Some asset sales. Next asset sale should be a catalyst, as will interest rate cuts. Lower dividend outlook hurt, growth only 1%. Stock rose in July with the rotation and bond yields coming down. He likes power names with price to growth of about 1. This one doesn't, but 5-7% EPS growth plus dividend ~6% gives you that at a lot cheaper than H or FTS.

Doesn't buy the short-seller report. Bit expensive here around 24x for its 15% growth rate, after a very big run. Don't buy more here, but sell calls instead. Down a couple of bucks today on weak tape is not material.

Q1 increased dividend nicely, special dividend. Met debt obligations, so now going to return a lot to shareholders, impressive. Cheaper (4.5x) than peers (5.1x). 10% shareholder returns vs. peers at 8%. Heavy oil is working, with lots of takeaway capacity; demand is good.

Oil's all over the place, and there are geopolitics. Likes it as a Canadian levered play on heavy oil. On a down day like today, buy a sleeper like this.

A lot of the US banks are growing around 10-15% and trading at lower valuations. Liked the Bank of the West purchase. Credit problems in its US business more than US competitors, concerning. Doesn't see growth in Canadian banks yet, economic headwinds, meeting ROE targets will be tough.

At some point, it gets too cheap. At $114, he'd be more a buyer than a seller.