Today, Jamie Murray commented about whether NWH.UN-T, EADSY-OTC, LLL-T, ATD-T, TRP-T, CVE-T, TWM-T, PFE-N, CLS-T, SHOP-T, NKE-N, AC-T, AVGO-Q, TMO-N, CPX-T, TA-T, BNS-T, TD-T, BMO-T, V-N, MA-N, HEI-N, BIR-T, ARX-T, TOU-T, GRT.UN-T, UBER-N, OVV-T are stocks to buy or sell.
Owned this since 2017. One of the best managers in tech. He trimmed shares the last 2 months. In the past 2 years, the PE has jumped from around 15x to 30x, but there are higher growth expectations from their chips. They benefit from AI and and networking spend as they buy software companies. Free cash flow keeps growing and pays a nice dividend.
Sold it 18 months ago. Didn't like inventory levels and weak sales growth. They changed the CEO in 2021 and nothing's gone right. Wasn't pleased when they sold directly to consumer and moving away from wholesale--this allowed competitors to take shelf space. The PE is now a reasonable 20x though and it can grow globally. He expects a new CEO which may inspire investors.
Many drugs are moving into phase 3 trials, which could be a catalyst, and trades around a cheap 9x PE. They just finished buying Seagen. They have their own weight-loss drug. The dividend is safe, offers 3-5% consistent growth, plus maybe more growth from their drugs. Are cutting costs the rest of the year.
Frustrating the last year. In 2023, they were spinning off assets and paying down debt, which was good, but the new CEO has since been building new projects, triggering a sell-off. Meanwhile, they can't sell their renewable assets because US companies are offloading their carbon credits here in Canada. Tons of uncertainty and debt with TWM.
He sold after their last quarter, based on problems with their US credit side with higher loan losses. They just completed a bank acquisition in recent years. They wonder if they have a handle on their new businesses. An analyst downgraded before the latest results, which are worse than expected. This will be in the penalty box for a couple of 2-3 quarters. Won't buy the dips. He bought TD instead.