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Compiling comments that experts make about stocks while on public TV.

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Gordon Reid , President and CEO

GoodReid Investment Counsel

Address
47 Colborne Street
Suite 400
Toronto, ON
M5E 1P8

Contact Info
Telephone: 416.364.0890
Toll Free: 1.888.466.3734
Fax: 416.364.1788
Email:


Date Signal Chart Symbol Company Opinion Price
2014-12-17 N/A Must be logged in to use chart A Commentary A Comment -- General Comments From an Expert

Energy. Has limited exposure with about 8% weighting to oil. The oil companies he has exposure to, although senior, have been impacted to a degree, but are going to be the long-term beneficiaries of this episode. This is a classic cycle where things are good, people become overextended, debt to cash flows get extreme, banks turn their backs on exploration companies and the larger, more stable  producers gobble them up at cheaper prices. He expects that this will happen again. Although he has an 8% exposure to oil, he also has some beneficiaries in the retail space that will benefit from this type of situation. This spurs spending at all levels of the economic strata, but it also increases confidence. That not only increases the multiplier effect of dollars being spent, but the velocity of those dollars being spent.


Price:
$0.020
Subject:
US EQUITIES
Bias:
OPTIMISTIC
Owned:
_N/A
2014-12-17 N/A Must be logged in to use chart A Commentary A Comment -- General Comments From an Expert

Gordon Reid’s website articles. Everybody is welcome to read these articles on such things as estate taxes, T11 35 requirements if you hold foreign assets, wills and will estate allocations, market timing, simple math on bonds and how they actually work, etc. He also asks for ideas from anybody on an article and what they would like to see. You can email him at info@goodreid.com.


Price:
$0.020
Subject:
US EQUITIES
Bias:
OPTIMISTIC
Owned:
_N/A
2014-12-17 HOLD Must be logged in to use chart AAPL-Q Apple

Continues to think this is a good company. Changed considerably from when he 1st purchased 7-8 years ago. The iPhone 6 is their newest product, but there are other things coming down the pipe, including the Apple watch, which he thinks will get more attention as it is launched. Also, ApplePay, which could redefine this company in the next 3-5 years. Trades at a very reasonable multiple of about 15X earnings. Ex-cash it would be considerably less than that. Still have about $150 billion cash globally. Since Steve Jobs, their capital allocation policy has changed dramatically and now they pay a very fine dividend as well as buying back a lot of stock. They buy back about 6% of the float per year. In China now and have just scratched the surface on their deal with China Mobile.


Price:
$109.410
Subject:
US EQUITIES
Bias:
OPTIMISTIC
Owned:
Yes
2014-12-17 TOP PICK Must be logged in to use chart BA-N Boeing

Traded down a little on the oil story. This is kind of illogical. The thesis is that with lower oil prices, the drive for new fuel efficient airplanes will be lessened, which doesn’t make a lot of sense to him. It is the competitive landscape that matters. One airline against another as beneficial margins and competitive margins lead to pricing decisions. They have a $375 billion backlog, which is pretty much clear sailing through the end of the decade in terms of their delivery schedule. Thinks you could probably see a mid-teens type long-term growth. Dividend yield of 2.95%.


Price:
$125.060
Subject:
US EQUITIES
Bias:
OPTIMISTIC
Owned:
Yes
2014-12-17 PAST TOP PICK Must be logged in to use chart CLH-N Clean Harbors

(A Top Pick Jan 2/14. Down 18.89%.) A solid company, but the valuation has been depressed because of its relationship to oil and gas. This is a services company that owns Safety-Kleen, and they take care of hazardous materials for the oil/gas industry. Feels that longer-term it has an opportunity to recover, when spending recovers in the oil patch. If he feels that it will recover in a short term he will probably stay with it, but if it is going to be mired in the whole energy issue longer term, he might move on.


Price:
$49.750
Subject:
US EQUITIES
Bias:
OPTIMISTIC
Owned:
Yes
2014-12-17 COMMENT Must be logged in to use chart ESV-N Ensco PLC

Has fallen quite a bit. Longer-term, this as an opportunity to not only recover, but to move up in terms of price. They are a deepwater driller. They have contracted 63% of their deepwater rigs for the next 18 months. The risk is going to be the day rates going forward. If oil stays down at these levels, there is no question that day rates will suffer. 10.3% dividend is high. They probably have the financial capability to pay it, but in this type of environment, a lot of companies would view it as quite responsible to draw back and to cut the dividend somewhat, in order to husband the cash. Feels this stock is okay.


Price:
$28.430
Subject:
US EQUITIES
Bias:
OPTIMISTIC
Owned:
Yes
2014-12-17 COMMENT Must be logged in to use chart GE-N General Electric

Dividend is definitely safe. They pride themselves on stability and long-term benefits to shareholders and shareholder value. Have some exposure to Russia, but not extreme and isn’t something that should be factored in. Their oil exposure is something you have to take into account. Have been acquirers of oil properties and oil expertiseover the last several years. In divesting other areas of their business, oil has taken on a larger percentage of their business.


Price:
$24.660
Subject:
US EQUITIES
Bias:
OPTIMISTIC
Owned:
Yes
2014-12-17 SELL Must be logged in to use chart GILD-Q Gilead Sciences Inc.

He has concerns. This company is often recommended, but he feels the stock price has been largely built on Solvaldi, a hepatitis C drug, which has been incredibly successful, but they have built their financial fortune on the fact that they sell it for $1000 a day in the US. There are competing products coming to market. One is through AbbVie (ABBV-N) and one through Merck (MRK-N). He fears the competitive landscape will change and, although Solvaldi will continue to be an effective drug, it will not get anywhere near the $1000 a day, which will be a big financial headache for the company. If you own, he would recommend that you take profits.


Price:
$102.400
Subject:
US EQUITIES
Bias:
OPTIMISTIC
Owned:
No
2014-12-17 BUY Must be logged in to use chart GOOGL-Q Google

Hasn’t really done very much over the last year. Expectations on the street were fairly high. This company doesn’t give guidance. They are quite independent that way. However, he likes that because he sees a lot of companies giving guidance. If they miss by just a hair, the street reacts very violently; this encourages people to micromanage over short periods. These are long-term assets and have to be viewed that way. Thinks that in 2015 this company is going to do good things. Earnings are probably going to rise in the mid to high 20%s, revenues probably in the 18% range. Trading at less than 20X earnings.


Price:
$506.450
Subject:
US EQUITIES
Bias:
OPTIMISTIC
Owned:
Yes
2014-12-17 PAST TOP PICK Must be logged in to use chart GS-N Goldman Sachs

(A Top Pick Jan 2/14. Up 6.07%.) Trading right around Book, so it is slowly coming back. Have moved their ROE from mid-single digits into low double digits, so he thinks they have opportunity for expansion of their multiple. It also has its opportunity for organic growth.


Price:
$185.030
Subject:
US EQUITIES
Bias:
OPTIMISTIC
Owned:
Yes
2014-12-17 TOP PICK Must be logged in to use chart HXL-N Hexcel Corp

A derivative play and they are in the structural materials business. They do the carbon fibre material, and two thirds of their business is with Boeing and Airbus. Between the 2 they have over $1 trillion of airplanes that have been ordered and on the block to be assembled. This company makes about $5 million an airplane, and there are thousands and thousands of them that will be produced over the next decade. Trading at a very reasonable multiple and has a good growth rate of around 15% per year. A fine cash flow company with a cash flow of about 7.5% yield.


Price:
$39.910
Subject:
US EQUITIES
Bias:
OPTIMISTIC
Owned:
Yes
2014-12-17 COMMENT Must be logged in to use chart IBM-N IBM

Gained a tremendous amount of benefit from a long 4-5 years of cost-cutting, and it was well orchestrated. They clearly articulated how they were going to cut costs to the benefit of the bottom line, and they did that. He has been very cautious on this for a number of years because you can only cut costs so much, before you start to cut to the bone and affect your ability to produce revenue. Revenue has really only grown low single digits for a very long time. The market was paying a multiple much higher than that for growth that had much more sustainability.


Price:
$151.930
Subject:
US EQUITIES
Bias:
OPTIMISTIC
Owned:
Unknown
2014-12-17 DON'T BUY Must be logged in to use chart JNJ-N Johnson & Johnson

Made up of 3 major components, the consumer division, the medical device division and pharmaceutical. Trading at about 18X earnings right now, and 2 of the divisions, consumer side and diagnostics, are not doing that well. The pharmaceutical side is the only one that is really doing well. A little too expensive for him. You have to be very pointed in how you buy these companies. Although health companies are good companies, they have outgrown their earnings in terms of valuations. A lot of that was in search of yield.


Price:
$104.070
Subject:
US EQUITIES
Bias:
OPTIMISTIC
Owned:
No
2014-12-17 TOP PICK Must be logged in to use chart LEA-N Lear Corp.

Primarily automotive seating or interior work. Basically provides to all the major producers around the world. The run rate in North America is around 17 million units. Over 20 million units in Europe and over 21 million in Asia. Trading at a very modest multiple of around 10X earnings and has good growth ahead of it. Dividend yield of 0.87%.


Price:
$0.480
Subject:
US EQUITIES
Bias:
OPTIMISTIC
Owned:
Yes
2014-12-17 COMMENT Must be logged in to use chart LYB-N LyondellBasell Industries

Stock has fallen precipitously. US producers have lost their competitive advantage to Europeans, because ethylene prices have fallen much faster in Europe than in the US. This has created a disadvantage to American producers. However, that can be built back very quickly. These things are very fluid and it depends on the movement and relationship between WTI and Brent, the crack spreads, etc. There is an opportunity here, but remember that it is all based on what your view is on energy prices.


Price:
$75.600
Subject:
US EQUITIES
Bias:
OPTIMISTIC
Owned:
No
Showing 1 to 15 of 1,434 entries
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