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| BUY on WEAKNESS | Cameco Corporation | CCO-T | 23.540 | The uraniums had a little bump here in the last 2-3 weeks when China came out and said that they were not abandoning uranium. Longer term, you would have to think that with uranium prices going sideways, $20-$21 would be a good entry point. | 2012-02-06 | ||
| Comment | Canadian Oil Sands | COS-T | 24.240 | Great, long-term asset. Prefers Suncor (SU-T) which owns a piece of it and has way better growth. Nothing particularly wrong with it, he just has other preferences. Will probably ease its way up with other oils. | 2012-02-06 | ||
| DON'T BUY | Encana Corp | ECA-T | 20.200 | Natural gas. Is not as much gas coming out of storage as there should be. It will probably be her conditioning season in June/July before you see an increase in prices. Wouldn't be in any hurry on this one. | 2012-02-06 | ||
| Comment | Eldorado Gold | ELD-T | 14.530 | Golds tend to trade at higher multiples, the bigger that they are, which is why he doesn't own Barrick (ABX-T). This one is a little bit better valued now than it was. Transactions will make it a little cheaper and the size will give it a bit better multiple. (See Top Picks.) | 2012-02-06 | ||
| HOLD | Enbridge | ENB-T | 38.420 | Gives you a nice dividend. There is 8%-10% earnings growth but it’s done very well. (See Top Picks.) | 2012-02-06 | ||
| DON'T BUY | First Quantum Minerals | FM-T | 22.640 | Copper and economically sensitive. Some political risks because of where their deposits are. Has recovered nicely. Not for him. He would prefer something with less political risks. | 2012-02-06 | ||
| TOP PICK | Iamgold Corp | IMG-T | 17.120 | Sold some African mines where they were not the operators. Now sitting on $1 billion in cash, $5 a share. This gives you safety. Have a rare earth deposit in Québec where they have just drilled and created $2 of value. Really good production growth. | 2012-02-06 | ||
| DON'T BUY | Kinross Gold | K-T | 11.090 | Has a lot of growth. This is the lowest valued senior. His Top Pick is the 2nd lowest but has a better balance sheet and better growth. Has a spectre of overpayment for their assets in Mauritius. This will be a good stock at some point but it may be 2014 before you really get paid. | 2012-02-06 | ||
| Comment | Labrador Iron Mines Holdings Ltd. | LIM-T | 6.290 | There is a lot of interest in iron ore but this area needs a bit of consolidation. There are a bunch of juniors with 43101 reserves. A little bit speculative at this stage. | 2012-02-06 | ||
| Comment | Petrobank Energy and Resources | PBG-T | 15.290 | Owns PetroBakken (PBN-T) along with other holdings. Would prefer this to Petrobakken at this stage. | 2012-02-06 | ||
| HOLD | Pembina Pipeline Corp | PPL-T | 27.970 | (Market Call Minute.) Buying Provident Energy (PVE-T) will create a little bit of growth. Stock has fallen on this so it may not be a bad entry point. | 2012-02-06 | ||
| TOP PICK | Paramount Resources | POU-T | 36.120 | Has pulled back and he believes was mis-valued as a gas stock. Have huge natural gas liquids growth coming. Probably the best growth in BOEs per day in the next 3-5 years of any stock in Canada. Could be $50 in a year. | 2012-02-06 | ||
| PAST TOP PICK | Rogers Communcations (B) | RCI.B-T | 38.070 | (A Top Pick Feb 16/11. Up 11.39%.) They report on Thursday and will probably increase the dividend by about 10%. The huge iPhone growth is actually a negative for them and this is going to roll over and should be fine later on. Good free cash flow growth. | 2012-02-06 | ||
| Comment | Russel Metals | RUS-T | 26.070 | Relatively high dividend and these kinds of stocks have moved. Very economically sensitive. If you are thinking of selling something that was up that was a yield play, this would fit more than others. | 2012-02-06 | ||
| DON'T BUY | Sunlife Financial | SLF-T | 20.890 | (Market Call Minute.) Would prefer Manulife (MLF-T). A little bit of upside if you like higher rates in higher markets. If you want a safe insurance company, buy Great West (GWO-T). | 2012-02-06 | ||
| BUY | Suncor Energy Inc | SU-T | 34.920 | (Market Call Minute.) Better growth than in Canadian Oil Sands (COS-T). 8%-10% production growth over the next decade. | 2012-02-06 | ||
| BUY | Viterra Inc | VT-T | 10.480 | Good, long-term hold and this is a good entry point. One back one disappointment of the grain handling side. Has disclosed that the winding up of the Canadian wheat Board will add $40 million in EBITDA to their bottom line this year. If this does happen, you are looking at a $13-$14 stock so under $11 is a good entry point. | 2012-02-06 | ||
| DON'T BUY | Teck Resources Ltd. (B) | TCK.B-T | 42.500 | Copper and coal. Copper side is very economically sensitive and has turned around in the last 3 months. Coal may be looking slightly weaker now so the combination is okay. Prefers it in the low to mid $30. A little ahead of itself valuation. | 2012-02-06 | ||
| DON'T BUY | Talisman Energy | TLM-T | 12.620 | Fairly gassy. The market still doesn't know what they are and what to make of them. | 2012-02-06 | ||
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| BUY | Thomson Reuters Corp | TRI-T | 27.370 | Recently purchased this. Good asset and you get paid to wait. 4.3% dividend. Slowly getting their act together on the financial market side. | 2012-02-06 | ||
| TOP PICK | Trans Canada Corp | TRP-T | 41.380 | Keystone has now come out of the valuation but he thinks it will come although it will take a couple of years. 4% yield. Good entry point. | 2012-02-06 | ||
| BUY | Calfrac Well Services Ltd | CFW-T | 27.220 | The group is surprisingly cheap. You would think that with all the fracing services going on stocks would be moving better. Anywhere under $30 is a great entry point. | 2012-02-06 | ||
| Comment | A Comment -- General Comments From an Expert | A Commentary | 0.020 | Greece. Market has stopped worrying in a major way. There is sort of a disconnect now between Greece and the rest of Europe and North America so the chances are going down of having a messy default. Their next payment is March 20 so there is a good 6 weeks to fix this. | 2012-02-06 | ||
| Comment | A Comment -- General Comments From an Expert | A Commentary | 0.020 | Markets. Holding roughly 10%-12% cash. This is quite a bit down from where he was in the fall. This is still elevated from normal. We are more than due for a pullback and he has the cash ready as there are things he would like to buy at the right price. | 2012-02-06 | ||
| Comment | Cline Mining Corp. | CMK-T | 2.110 | (Market Call Minute.) With Grand Cache (GCE-T) being taken over, it's production risk now. If they can bring the mine into production between now and June, you might get a pop in the stock. Under $2 might make some sense. | 2012-02-06 | ||
| STRONG BUY | AvenEx Energy Corp | AVF-T | 5.510 | 9.8% yield. Two thirds an oil producer and one third butane/propane/ethane marketing business that provides a steady cash flow. Their gas is only 2% of their output. Payout ratio last year was 56%.) | 2012-02-06 | ||
| BUY on WEAKNESS | Student Transport of America Ltd. | STB-T | 6.950 | School buses are not too economically sensitive and this pays a pretty good dividend. Safe yield. Valuation is a little stretched. Try to get at $6.45. | 2012-02-06 | ||
| Comment | Silver Wheaton | SLW-T | 35.830 | Prefers gold to silver but this model is quite interesting. They take silver production at a price and they don't have the operating risks. A good way to get into silver. His silver play is Tahoe Resources (THO-T). | 2012-02-06 | ||
| PAST TOP PICK | Wharf Holdings | 0004-HK | 0.010 | (A Top Pick Feb 16/11. Down 10.49%.) Pays a dividend and has a great balance sheet. Nice mix of assets and is tied to the global growth story. A cheap defensive way to have China exposure. | 2012-02-06 | ||
| BUY | Legacy Oil + Gas Inc. | LEG-T | 12.780 | Has run back up nicely. Thinks it will get close or at the highs of last spring of $16-$18. Well-managed. Pretty widely dispersed so you are not banking on just one area. Great growth coming. | 2012-02-06 | ||
| DON'T BUY | PetroBakken Energy | PBN-T | 15.440 | Financial problem with this company. Had a big convertible debenture issue overhanging them. Solved this with a note to pay off a bunch of it and as soon as they did that, the stock ran further. Have a pretty big decline rate and an over leveraged balance sheet. Has run as most as it is going to do and will go sideways. Could be a candidate for going down more than the average energy stock. | 2012-02-06 | ||
| PAST TOP PICK | Argonaut Gold | AR-T | 8.280 | (A Top Pick Feb 16/11. Up 83.08%.) Well-managed. 3 mines in Mexico so there is no political risk. They just keep having huge production increases. | 2012-02-06 | ||
| Comment | Tourmaline Oil Corp | TOU-T | 25.070 | Liquids rich gas with a lot of growth. Stocks have got hit. Has one that he prefers because he thinks the growth will be a bit better. (See Top Picks.) | 2012-02-06 | ||
| DON'T BUY | Agnico-Eagle Mines | AEM-T | 38.680 | Losing their mine in Québec to ground failure essentially has caused them to lose about 10% in production plus their premium valuation. To get that back, takes years. Doesn't feel it will go higher than competitors as gold prices go up. | 2012-01-03 | ||
| SELL | AGF Management (B) | AGF.B-T | 16.080 | Replace this with Power Financial (PWF-T)? This one has never been his favourite. If you make this trade, you are getting Investors Group as well as a big piece of Great West Life (GWO-T) at a good entry point. He would make this trade very | 2012-01-03 | ||
| Comment | BCE Inc. | BCE-T | 42.190 | It's not too late to buy to own and collect the dividend but probably too late to be able to repeat his performance. Will probably move sideways. If we are going to have decent growth and Europe gets fixed, this stock will underperform as it is viewed as a safety stock. | 2012-01-03 | ||
| HOLD | Cameco Corporation | CCO-T | 19.000 | (Market Call Minute.) Making progress on Cigar Lake, but uranium prices are not cooperating. A Hold at best. | 2012-01-03 | ||
| Comment | Canadian Oil Sands | COS-T | 23.980 | Is this a possible take-out by the Chinese since they already own a part of Syncrude? Great question. This is a place where the Canadian government might stick its hand in as Syncrude is the oldest, most profitable oil sands plant. For a takeover, you are likely to find it in something smaller. | 2012-01-03 | ||
| DON'T BUY | Canadian Pacific Rail | CP-T | 69.580 | As good as management is, they will never be able to get operating ratios to the level where Canadian National (CNR-T) is. The geography has a major place in this. Feels the stock is getting fully valued. | 2012-01-03 | ||
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| Comment | Empire Company (A) | EMP.A-T | 59.230 | Dividend is only 0.9% and would like to see this raised to 3%-4%. Trades at a pretty big discount to asset value and there would probably be a higher stock price with a higher dividend. | 2012-01-03 | ||
| Comment | First Capital Realty | FCR-T | 17.590 | (Market Call Minute.) Well-managed. Very REIT like but is actually a real estate corporation with a pretty good dividend. He doesn't own the stock but does own a convertible debenture issue. | 2012-01-03 | ||
| BUY | Goldcorp Inc | G-T | 45.980 | Dividend will probably go up as the stock price goes up, in other words they're going to increase it as gold/silver prices increase. Has really good production growth. Good price. (See Top Picks.) | 2012-01-03 | ||
| HOLD | Inter Pipeline Fund | IPL.UN-T | 18.670 | Has done well like all pipeline stocks. The one thing about them is that they are oil sands and are basically taking stuff from northern Canada and are perceived a little bit less risky than others. Looking pretty fully valued but you can collect the dividend for sure. Pipe are trading at 20 plus times earnings so are fully valued. | 2012-01-03 | ||
| PARTIAL SELL | Keyera Corp | KEY-T | 50.480 | In an RRSP, he would be tempted to trim some because it has done so well. If you like pipelines, diversify into another one, just don't have too much specific risk. Valuations are getting to the point where it would be pretty normal to see some kind of pullback. If it's over 25% of your portfolio, sell a quarter. | 2012-01-03 | ||
| DON'T BUY | Kinross Gold | K-T | 12.420 | When gold wasn't doing well, of the seniors this one was doing the worst. They have political risks. Has really good growth coming, but it is a couple of years away. A “show me” story. (See Top Picks.) | 2012-01-03 | ||
| HOLD | Pembina Pipeline Corp | PPL-T | 29.930 | (Market Call Minute.) Likes all the other pipelines. Has done very well but not particularly cheap. Hold for the dividend, but don't expect the stock price to continue to go up. | 2012-01-03 | ||
| DON'T BUY | Power Corp | POW-T | 24.230 | This owns a large part of Power Financial (PWF-T) as well as some European communication and financial businesses and the European outlook is not so great. | 2012-01-03 | ||
| Comment | Provident Energy Ltd | PVE-T | 9.930 | A kind of hybrid facility type company that has sold off production. He owns the convertible debenture, which is a safer way and still has pretty good yield. Good way to get some yield and have protection in case anything happens. | 2012-01-03 | ||
| PAST TOP PICK | Royal Bank | RY-T | 52.780 | (A Top Pick Jan 6/11. Up 5.54%.) At the time, it had come off and looked quite cheap. Reported a good quarter shortly after and ran but, like all the banks, has pulled back. Good dividend. | 2012-01-03 | ||
| DON'T BUY | Sunlife Financial | SLF-T | 19.500 | Yield of 7.6%. Insurance companies have had the double whammy of low interest rates and poor stock markets. Has been overly discounted. Market feels they are still going to cut their dividend. If you like the stock market, Manulife (MFC-T) has more leverage. He prefers Manulife. This one would be slightly more defensive. | 2012-01-03 | ||
| TOP PICK | SNC-Lavalin Group Inc. | SNC-T | 52.680 | Infrastructure is a nice safe way to play growth. You don't have to worry bout any one production play. They are international in all kinds of countries and owns 30% of a toll highway above Toronto as well as a couple of other larger projects. The engineering/construction side is only trading at around 12X earnings. Expect you will see a 20% increase on the stock plus a dividend increase sometime during the year. | 2012-01-03 | ||
| Comment | Sherritt International Corp. | S-T | 5.870 | (Market Call Minute.) Roughly a 3rd coal, 3rd oil and a 3rd nickel. He is hoping that the Madagascar project comes on stream and on budget in the next 3 to 6 months. If so, the stock is very cheap. | 2012-01-03 | ||
| PAST TOP PICK | Suncor Energy Inc | SU-T | 31.000 | (A Top Pick Jan 6/11. Down 16.35%.) Underperformed the group slightly just being big and liquid. Well held in the US so when they abandoned energy this is the 1st one they sell. Incredibly cheap so he is still holding. About 30% undervalued. | 2012-01-03 | ||
| BUY | Trican Well Service Ltd. | TCW-T | 18.190 | (Market Call Minute.) Service companies look very cheap but have not acted particularly well. Trades at under 10X earnings. | 2012-01-03 | ||
| Comment | Toronto Dominion | TD-T | 76.580 | Prefers this bank as it is a little bit safer and a little more plain vanilla, which is what you want in this environment. Canadian with a bit of US retail. | 2012-01-03 | ||
| Comment | Teck Resources Ltd. (B) | TCK.B-T | 38.370 | Pretty cheap. On his watch list. It might be something that if he gets more confident he could come to although he already has BHP Billiton (BH-N). | 2012-01-03 | ||
| Comment | UEX Corp. | UEX-T | 0.700 | Poised for a takeover? If you have a longer-term view, there are values in these uranium companies if you can project a $60-$70 uranium price again. You would have to hold a basket hoping that one of them would get taken over. | 2012-01-03 | ||
| Comment | A Comment -- General Comments From an Expert | A Commentary | 0.020 | Markets were up today because a lot of China, India, Europe and even the US Purchasing Manufacturing Indexes were up. This is a sign of economic expansion. This was combined with some year-end window dressing being reversed. Also, you generally find the 1st day of the new year is higher. Europe is still the wild card that needs to be solved and thinks we are in a European recession but North America avoids a recession. | 2012-01-03 | ||
| Comment | A Comment -- General Comments From an Expert | A Commentary | 0.020 | Silver. Good time to get in? He treats this as a poor man's gold. At least in gold you have some feeling that it is a form of insurance, alternative currency, safety, etc. He prefers companies with high production growth, such as Tahoe (THO-T), rather than just own silver. | 2012-01-03 | ||
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| TOP PICK | AvenEx Energy Corp | AVF-T | 5.290 | About 70% oil/gas producer and 30% butane/propane marketing. Nice stable marketing business that just sort of cash flows year in and year out. Good hedges on gas but as they royal off, all the new spending is on oil. Trading at a 10% yield just because no one follows it. Payout ratio is only about 60%. | 2012-01-03 | ||
| TOP PICK | Allied Nevada Gold | ANV-T | 32.990 | Strictly Nevada with a producing mine. Expanding resources. Production is going to double again over the next couple of years. Attractive price. | 2012-01-03 | ||
| PAST TOP PICK | Argonaut Gold | AR-T | 7.300 | (A Top Pick Jan 6/11. Up 59.34%.) There is still more growth to come. Doubled production from 30,000 to 70,000 ounces in 2011 and thinks it goes to 100,000 or so this year and 200,000 by 2014. Expecting it to see $9.50-$10 this year. | 2012-01-03 | ||
| Comment | Bank of Montreal | BMO-T | 57.150 | Recently disappointed in earnings. Always finds their strategy a little bit muddled and didn’t like what was going on in Harrison in the US. Stock dropped so the dividend is now over 4%. | 2011-12-07 | ||
| TOP PICK | Bank of Nova Scotia | BNS-T | 49.030 | All the banks have reported in the last week. In a conference call they mentioned that with the Basil requirements, in 2013, they will need some outside equity and the stock suffered. Bought a half position and will wait until after the 9th and activate the other half if it should fall to $47. | 2011-12-07 | ||
| DON'T BUY | Cameco Corporation | CCO-T | 19.010 | Looks like a great entry point but the uranium outlook is a little muddled because of the tsunami of 8 months ago. Cameco’s break even costs are about $20 a pound and uranium prices are double that but it’s probably a couple of years before you get the Tsunami further behind you. | 2011-12-07 | ||
| Comment | Canadian Natural Rsrcs | CNQ-T | 38.250 | Stocks are not keeping up with the oil prices and that is due to skittishness as investors are not sure $100 oil is not going to stay. All the senior oils are great long term value. Stocks should rally somewhat. | 2011-12-07 | ||
| DON'T BUY | First Quantum Minerals | FM-T | 20.610 | With this you are buying copper in Africa. In a poor market this could drop to $15 in a heart beat because of the company’s risk profile. This is not a market to be going out on a limb to take risk. | 2011-12-07 | ||
| HOLD | Inter Pipeline Fund | IPL.UN-T | 18.920 | Has run a fair bit lately and is in the sweet spot of steady growth and a good dividend. Pretty fully valued. | 2011-12-07 | ||
| Comment | Nexen Inc | NXY-T | 15.660 | Continually disappointed, particularly on the Long Lake oil sands, which is a heat assisted way of processing. It’s high cost and disappointed a number of times in a row. Thinks they will be better on execution in the future. There are others that will do better sooner. | 2011-12-07 | ||
| Comment | Potash Corp of Saskatchewan | POT-T | 44.080 | Prefers Agrium (AGU-T). If buying, consider taking only a part position now and the balance on any pull back. | 2011-12-07 | ||
| BUY | Rogers Communcations (B) | RCI.B-T | 37.450 | Likes this and this is a pretty good entry point. Lots of free cash flow. Has underperformed Bell (BCE-T) and Telus (T-T). 4% yield and will probably have a dividend increase. | 2011-12-07 | ||
| WAIT | Research In Motion | RIM-T | 16.800 | Sold his holdings because of disappointment quarter after quarter. QNX system is due in February and will either be the saviour or not Stock will be either $22 or $12. | 2011-12-07 | ||
| Comment | Sherritt International Corp. | S-T | 5.620 | Have a very large nickel project in Madagascar, which is to come on stream early in the new year. A laterite nickel project which is historically difficult. Market is not willing to believe they can handle it. If they are successful there will probably be a re-rating. Also trading at a discount because of their Cuban assets. | 2011-12-07 | ||
| SELL | Talisman Energy | TLM-T | 13.260 | Suffered worse than the group and hasn’t recovered. A little too gassy for the market. If you own, tax loss selling makes sense. Athabasca is too early yet. | 2011-12-07 | ||
| Comment | Trans Canada Corp | TRP-T | 42.570 | The Keystone project is worth about $3 a share. Fully valued at end the end of 2012, the stock would be $45. At this price, you could still buy and get 5% plus the dividend. Keystone probably won’t show earnings until 2014. | 2011-12-07 | ||
| Comment | Cline Mining Corp. | CMK-T | 1.650 | Met coal. Have a big mine coming on stream in 2012, so there’s execution risk and the market doesn’t want to pay for it in advance. If everything goes OK the stock will probably be worth $3. If not, there will still be further downside. | 2011-12-07 | ||
| STRONG BUY | AvenEx Energy Corp | AVF-T | 5.030 | Was a holding company that is now 95% of the way to becoming a junior oil producer with a gas marketing side. Not followed and is way below the radar. Yield is 11% and paying about 60% of cash flow in dividends. | 2011-12-07 | ||
| Comment | Paladin Resources | PDN-T | 1.770 | Uranium. Producing deposits in Australia and Namibia. Catalyst for the uranium market is a little bit of time and undervaluation with people realizing that uranium is a clean energy product. | 2011-12-07 | ||
| TOP PICK | Crombie Real Estate Investment Trust | CRR.UN-T | 13.270 | This is the Sobey’s family REIT with strip malls anchored by Sobey stores. Mostly Atlantic Canada and a little Ontario and Quebec.. Has lagged REITs a little because it is illiquid. Almost 7% yield. The ship building contract in Halifax outs some real juice into the local economy. Looking for 3%-5% growth. | 2011-12-07 | ||
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| PAST TOP PICK | Extendicare REIT | EXE.UN-T | 7.090 | (A Top Pick Nov 12/10. Down 28.03%.) Got hit when the US changed their Medicaid policy. Well managed. Now yielding 11%. Good entry point. | 2011-12-07 | ||
| PAST TOP PICK | Legacy Oil + Gas Inc. | LEG-T | 10.500 | (A Top Pick Nov 12/10. down 13.05%.) Had a really wet environment in the 2nd quarter. Now you can start to see production growth coming through. Still buying. | 2011-12-07 | ||
| TOP PICK | Renegade Petroleum Ltd. | RPL-X | 2.800 | Has doubled its production but because they are energy and not gold, the stock hasn’t reacted yet. Drilling locations are high. Trading at about $0.50 on the dollar NAV. Will be a $4 stock when the energy market picks up. | 2011-12-07 | ||
| PAST TOP PICK | Argonaut Gold | AR-T | 7.170 | (A Top Pick Nov 12/10. Up 87.14%.) Gold in Mexico. Doubling production this year and probably take a couple of more years to double it again. 1 year target of about $10. Well managed. | 2011-12-07 | ||
| BUY | Agnico-Eagle Mines | AEM-T | 45.050 | Traded at a premium and then a bunch of bad luck. The street has started taking the premium out of the price. Still sees $55-$60 targets that Bay Street has on it. You are in a ‘show-me’ stage for a while. | 2011-10-26 | ||
| HOLD | Aecon Group Inc | ARE-T | 8.510 | Announced a slew of contracts in the last week. It is quite cheap. 26% of expected backlog announced in the last 5 days. With upcoming results he expects large increase. | 2011-10-26 | ||
| BUY on WEAKNESS | Bank of Nova Scotia | BNS-T | 51.580 | In last couple of months he wanted to lower bank exposure and this was the one he sold. It had the most international exposure. He will probably buy it back on a dip. His only problem is that they have the worst capital ratio. They may have to issue equity, but it is not a compelling need. He owns TD, CM, & RY. | 2011-10-26 | ||
| DON'T BUY | Canadian Oil Sands | COS-T | 23.410 | Prefers Suncor. COS is a pure oil sands play. Not a bad yield. There isn’t really any growth. | 2011-10-26 | ||
| WEAK BUY | Eldorado Gold | ELD-T | 18.780 | He finds it a little more fully valued than some and there is country risk with China and Turkey. They have good management and the mines are working fine. Not his favourite, but it could go a little higher. | 2011-10-26 | ||
| BUY | Kinross Gold | K-T | 14.550 | Compelling valuation for sure. Within gold group you have had so much risk aversion over the last couple of months. They have a lot of money to spend, best growth outlook of the seniors over the next 4 years but a little country risk and capital risk. Thinks it will catch up eventually and all the risk is priced in. Rewarding in the long-term. | 2011-10-26 | ||
| BUY | Rogers Communcations (B) | RCI.B-T | 35.930 | Like and own it. The numbers were ok but he was expecting higher churn from competition. On wireless side that was expected. Cable is a lower growth business than it used to be. All in all good free cash flow, relatively safe place to be. A good place to hide. | 2011-10-26 | ||
| BUY | SNC-Lavalin Group Inc. | SNC-T | 49.450 | Nice rebound. Owns a piece of the 407 toll road in Toronto. 12x earnings. Thought they lost some business in Libya but it will probably come back now. It’s a reasonable place to be because infrastructure needs to get built. | 2011-10-26 | ||
| BUY | Teck Resources Ltd. (B) | TCK.B-T | 37.330 | Is a core holding for most but he does not hold it. He prefers BHP Billiton. There is nothing wrong with Tck. You have to be fairly certain that growth in the world economy will happen. | 2011-10-26 | ||
| HOLD | Trans Canada Corp | TRP-T | 43.680 | Keystone is a bit of an overhang, but it is still one of the 10 best stocks over the last 3 months. Enbridge grows earnings at 8-10%, twice TRP, but it is a good solid hold. | 2011-10-26 | ||
| SELL | Yellow Media Inc | YLO-T | 0.495 | They are reporting in a couple of weeks and he would be nervous. It probably wont be a great number. There is more risk that it could be a little weak. Thinks there were millions of shares when it went under a dollar and you can't short a stock under a dollar so there was probably a lot of covering. | 2011-10-26 | ||
| PAST TOP PICK | Crescent Point Energy Corp | CPG-T | 43.420 | (Top Pick Oct 6/10, Up 20.40%) Recently sold it. It was a macro call to take down some energy exposure. 6% dividend. Would buy back on market weakness at $40. | 2011-10-26 | ||
| TOP PICK | Calfrac Well Services Ltd | CFW-T | 29.750 | Chose this over other energy companies. 10x earnings, down quite a bit from its high. Are running flat out and see that until end of next year. It is just activity, which does not slow down. | 2011-10-26 | ||
| TOP PICK | Cineplex Inc | CGX-T | 25.990 | (Top Pick Oct 6/10, Up 32.77%) Going forward it is going to be solid. Steady Eddy, you get a dividend and you are happy. Bought more on the dip. Probably will raise dividend at year-end. People keep going to the movies even in a recession. | 2011-10-26 | ||
| SELL | Yamana Gold Inc. | YRI-T | 15.080 | Argentina wants its companies to repatriate their revenue from overseas. Have 20% of their profits from Argentina. ABX is the only significant one with significant production. It will probably get sorted out over time. It just means you have to reinvest the revenue in the country. | 2011-10-26 | ||
| BUY | BHP Billiton Ltd. | BHP-N | 78.040 | Likes the balance sheet. Have been buying back stock and raised dividend. They have lots of cash. Likes that they are closer to China. It is very large and so it has to be pretty nimble at making acquisitions. Expects above average growth. | 2011-10-26 | ||
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| N/A | A Comment -- General Comments From an Expert | A Commentary | 0.020 | Market: Valuations in some case look tremendous. You have to overlay the dicey macro overlook in Europe and get a comfort value. Enough agreement in Eu that we don’t get a banking credit crisis tomorrow like 2008. He has a lot of cash he would like to spend over the next little while. 20% of equity model is cash. | 2011-10-26 |
