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MDT is a mature MedTech company that is now trading at a 15.9x Forward P/E. Over the last few years, MDT’s valuation has ranged from 13.4x to 22.8x Forward P/E, we think the current valuation is fairly attractive. MDT’s share price has performed well recently due to a combination of 1) investors moving to defensive sectors with stable cash flows 2) MDT reported very solid earnings with a 5.3% organic growth rate.
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REG is a mineral exploration company that acquires mineral resources that management feels have overlooked potential, it adds value by investing in the sites, and monetized by selling to a major mining company. In 2005, it acquired Antares Mineral, invested in exploration on the site, and sold to First Quantum in 2010 for $650M. Currently, it is focusing in its flagship project, the AntaKori copper-gold project in Northern Peru. REG is conducting drilling programs at AntaKori, and has some partnerships with Osisko Gold Royalties in respect to AntaKori. It could sell the project down the line to monetize it and add shareholder value. For now, it is pre-revenue, its momentum has been good, and the management team is experienced. We think it looks interesting, but being a small company and with no revenues, we would consider it to be on the riskier side. We would be OK with a small position, while acknowledging its small-cap risks, and slightly more speculative in nature.
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MEDP’s share price has been under pressure since the company reported its earnings and is now trading at 29.5x Forward P/E. In the last few years, MEDP managed to grow its topline by double-digits organically, which is a very solid growth rate. The balance sheet is strong, with no long-term debt. The company has a track record of repurchasing shares aggressively. Based on consensus estimates, sales are expected to grow by 12%-15% over the next few years. That being said, MEDP is still not trading at attractive levels yet, we think it can get interesting if it gets to around $340.
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The Value of Dividends + Indexing:

Most media outlets report on how the S&P/TSX composite, S&P 500, Dow Jones or Nasdaq indexes are doing. In almost every case, however, they are reporting an incomplete picture. Most quoted indexes do not include dividends. A better index to use, especially when looking at annual returns, is a total return index.

For example, the S&P/TSX composite in 2023 rose eight per cent, but its total return index rose 11.8 per cent. It is important to include dividends when comparing investment performance because they form a very big part of a portfolio’s total return.
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