TOP PICK

Revenues from asset management, insurance, annuities, health benefits. Very diversified. Around for decades. Likes the safety and growth over time. Dividend growth is about 8%. Payout ratio still in 50-70% range. High quality. Not necessarily a home run, but a single: core holding for the long term, dividend payments, some price appreciation. Yield is 4.6%.

Because it's diversified, interest rate moves benefit different segments at different times.

(Analysts’ price target is $49.50)
TOP PICK

Market leader in infection prevention and sterilization. Significant revenue from recurring sources. Repeat instrument sterilization and equipment maintenance. High-quality, defensive healthcare. Possible deregulation in US will benefit. Yield is only 1%, but grows 10-15%.

(Analysts’ price target is $252.00)
TOP PICK

Rollup of accounting firms. Founder has discovered that a significant number of baby boomer accountants are retiring, with insufficient replacements. It signs 10-year partnership agreements with accountants looking to retire eventually, and then updates the business at that time. Started in Australia, now in California and Florida. Revenue's grown about 20% a year for the last 5 years, earnings 25% a year.

Small-cap name, so be cognizant of the risk you're taking when you buy.

COMMENT
Stock picking.

They look around the world for diversity in revenues, company size, and industry. Professional services, for example, is an area you don't hear a lot about. Lots of talk about the large caps, but a small-cap with a good growth trajectory can generate significant returns for your portfolio over 5, 10, 15 years. 

Believe it or not, there was a time that a name like NVDA was a small cap, and then a mid-cap. Holding a name through the cycles as the business grows can generate significant returns.

HOLD
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research

LNTH has historically had some big price swings so we think selling it for a tax loss does has some risk. Momentum has of course been negative since the earnings but any positive news at all sets up the potential for a positive bounce going into Christmas. Usually we would be fine with a tax loss harvest strategy but we think this one is too 'bouncy' and the timeframe before year end too short. We would consider it a hold at current levels. 
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PARTIAL BUY
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research

HIMS has been picking up plenty of steam recently. It's results have continued to come in strong, it is up 225% year-to-date and it is not overly expensive at 34.5x forward earnings. HIMS is a telethealth platform that connects consumers and healthcare professionals. It has a wide product/service offering and growing subscription based model. Revenue growth has been very high (50%+), and it has been becoming increasingly profitable over recent quarters. The balance sheet also has no debt and it has been increasing cash flows nicely. It has a strong business model and fundamentals while growth is expected to continue to be high. We think it looks good and if profitability continue to ramp up the valuation could look more attractive. 
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DON'T BUY
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research

In late October SVI did miss estimates, and then saw some broker downgrades. It then made two acquisitions ($10.5M) in early November but there has been no other news of any note. We think it is an OK company but it has a very significant debt load, so we think buyers have some time here to wait. 
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COMMENT
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research

Market Update:

The TSE Index was up 0.65% in the month of October, up 15.26% YTD and 27.99% over the past year. Canadian GDP was up 0.50% in the third quarter of 2024 and 0.90% for the full year; in the USA the GDP was up 2.80% in the third quarter and 2.70% for the full year. The Canadian inflation rate was up 1.60% annually and the US inflation rate was up 2.40% annually in October 2024. With this background, the following Table presents the highest and lowest performers for the month of October 2024.
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RISKY

They just reported 55% revenue growth and $1.05 billion backlog. Is up 240% this year.

RISKY

Is up 242% this year.  Same-store sales rose 18% vs. the expected 12%.

RISKY

Is up 253% this year, better than Nvidia, and the delivered a great quarter. Gains have come from US defence contracts.

RISKY

They've become the go-to to obtain critical electric infrastructure. It's a terrific data centre play. Is up 259% this year.

RISKY

Of its energy sources, 60% is natural gas and 20% coal, but they have nuclear exposure and are making investments in renewables.

RISKY

They were in trouble last year until they got big backing from creditors and reduced their debt. Is up 353% this year.

RISKY

The space sector is loved now. Shares are up 362% this year.