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

Recent Opinions

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Date Signal Company Expert Opinion Price
2014-11-20 BUY on WEAKNESS Visa Inc.
V-N
Darren Sissons

There was no domestic acceptance of Visa last year, but in the last couple of weeks they announced they are opening up the payment market.  This one should be a big deal for this company, but they will have to go through a penetration processes.  You have no exposure to payment defaults.  They are just a transaction processing company.  It is a very expensive story.  Longer term you will be okay.  The valuation is very expensive.


Price: $251.670
Subject: GLOBAL LARGE
Bias: BULLISH on RESOURCES
Owned: Unknown
2014-11-20 BUY Wells Fargo
WFC-N
Darren Sissons

He avoids the regulatory glare.  He goes for regional banks.  However, he would buy this one here.


Price: $53.480
Subject: GLOBAL LARGE
Bias: BULLISH on RESOURCES
Owned: Unknown
2014-11-20 TOP PICK TSX Group
X-T
Hank Cunningham

3.25% bonds maturing Oct 3/18. One of the themes in his 3 picks is quality. He is taking cautionary measures to guard against BBB bonds starting to underperform the market. Also, preservation of capital in these very low rates is #1 in his mind.


Price: $52.650
Subject: FIXED INCOME
Bias: UNKNOWN
Owned: Yes
2014-11-20 DON'T BUY iShares US High Yield Bond Index ETF
XHY-T
Hank Cunningham

Thinks the boom is over in the high-yield market, and the price of this particular ETF will likely work itself lower. Very liquid and very diversified, but a major percentage of the bond held in this ETF is in the energy patch and there is a lot of concern about some of the credit worthiness of some of the issues as long as the price of oil stays where it is or goes even lower. Thinks you will get a chance to buy it cheaper.


Price: $21.210
Subject: FIXED INCOME
Bias: UNKNOWN
Owned: Unknown
2014-11-19 N/A A Comment -- General Comments From an Expert
A Commentary
Bruce Campbell (2)

TSX. Had expected a bit of a correction going into the fall, but was really surprised at the volatility of the correction, how hard the market had sold off but how fast it has recovered as well. He has seen a fair bit of technical damage done. In the US, a lot of that damage was repaired, but in Canada it hasn't done quite as well. He is still monitoring a lot of indicators fairly closely. One of the huge catalysts for stocks going forward is the price of oil. A $0.01 drop of gasoline in the US is worth $1 billion in US consumer pockets. Gasoline has dropped $0.65-$0.75, so there's going to be a lot of money that consumers have that hopefully will triple its way into the economy. He's looking for solid earnings growth going forward. US and Canada have reported pretty good numbers so far this quarter. Expects the next quarter will see some pretty good earnings as well, because the consumer is going to be so strong. He is seeing a lot of opportunities across the board in Canadian companies. There is a lot of great earnings growth. We are going into the strongest seasonal period from the end of October to the end of May. On top of that, we are also moving into the strongest period of the 4 year presidential cycle. From a probability standpoint we have seen the correction, which has taken a lot of the froth out of the market, and we should now see fairly strong and a fairly good upwards markets for the next 6 months at least.


Price: $0.020
Subject: CANADIAN
Bias: BULLISH
Owned: _N/A
2014-11-19 N/A A Comment -- General Comments From an Expert
A Commentary
John O'Connell, CFA

Global economy. US economy is doing quite well. Global economy is doing okay, but certain parts are doing better than others. Europe continues to struggle. Latin America is having some problems. China is a little bit slow, but still growing at a pretty fast pace. India seems to be doing pretty well. All in all, what we have seen here is a readjustment where a lot of strategists and analysts had global forecasts that were overly optimistic in the 1st part of the year, and have been adjusting their forecasts down. Adding that to the mix, with the threat of higher interest rates in the US, is causing some investors to refocus their attention. Given what the federal reserve board said today, the Fed doesn't seem to be overly concerned about the stock market or market volatility, and they don't seem to be too concerned about the global economy, because they think there are positive offsets that are positive. For example, interest rates remain very, very low and are going to remain at a very, very low rate for a long period of time and they have moved lower. Energy prices are significantly lower, which is a major positive stimulus for the whole global economy. The Fed is looking at this and saying they are going to remain on their track towards higher short-term “administered” interest rates some time late next year and he thinks that is a reasonable thing to do. Canada did it, and we didn't fall off a cliff. The global economy is still going to grow at about 3.5% per year.


Price: $0.020
Subject: NORTH AMERICAN - LARGE
Bias: OPTIMISTIC
Owned: _N/A
2014-11-19 PAST TOP PICK Air Canada (B)
AC-T
Bruce Campbell (2)

(A Top Pick Jan 15/14. Up 12.36%.) Still likes. Continue to have nice earnings reports. Just announced a baggage fee, which drops money to the bottom line. Have a lot of positive things working in their favour.


Price: $10.140
Subject: CANADIAN
Bias: BULLISH
Owned: Yes
2014-11-19 COMMENT Alimentation Couche-Tard (B)
ATD.B-T
Bruce Campbell (2)

There has been such a huge run in all the consumer staples names, both in Canada and the US, all year. This company falls into that category. Not cheap from a valuation standpoint, but comparing it to a lot of the other consumer staples names, it is probably one that he likes the best. Thinks they will continue to execute on their acquisition strategy. Every time they do an acquisition, the market gets nervous about what is happening, and they end up with bigger synergies and stronger numbers. Thinks this will go higher.


Price: $41.420
Subject: CANADIAN
Bias: BULLISH
Owned: Yes
2014-11-19 PAST TOP PICK Avigilon Corp
AVO-T
Bruce Campbell (2)

(A Top Pick Jan 15/14. Down 45.84%.) Still likes. The market put them in the penalty box. He started to see things break down from a technical standpoint in early February. Sold his stock at the $28 level and ended up making money. Past quarter was quite good and the stock had a big one-day move. He wants to see it follow through with another quarter of good numbers.


Price: $18.000
Subject: CANADIAN
Bias: BULLISH
Owned: No
2014-11-19 TOP PICK Badger Daylighting
BAD-T
Bruce Campbell (2)

Had a great run. Have phenomenal margins of over 25%. A very profitable company. They manufacture and operate hydro-vac trucks that are used to excavate, using water and a vacuum. Half their business is in oil/gas, as well as pipelines and utilities. Last summer they announced they were reducing the number of trucks they were building, from 5 down to 4, and the market got very concerned. Also, had a bit of a stumble with their earnings. The most recent numbers show that the margins and earnings are back up. They now have a solid plan in place, where they are going to double the number of trucks in the US from 450 to 900 in the next 5 years. Dividend yield of 1.1%.


Price: $32.280
Subject: CANADIAN
Bias: BULLISH
Owned: Yes
2014-11-19 COMMENT BlackBerry
BB-T
Bruce Campbell (2)

This company is really doing what they said they were going to do. The problem is that perception is really against them. Their last quarterly reports have been beating expectations. Market is questioning whether they can continue to execute. From what he sees so far, John Chen is doing an excellent job. Expects the numbers will move into the green fairly soon and the stock will probably move higher.


Price: $11.560
Subject: CANADIAN
Bias: BULLISH
Owned: No
2014-11-19 COMMENT Bonavista Energy Corp
BNP-T
John O'Connell, CFA

This has been a tremendous growth story. There is a new management team, which he thinks is very talented and who are doing their best to right side the balance sheet, as they had a little bit too much debt at one point. They stuck with the dividend through thick and thin, but eventually reduced it. He likes the new management team and thinks they are doing the right things. This is one that you could own.


Price: $10.590
Subject: NORTH AMERICAN - LARGE
Bias: OPTIMISTIC
Owned: No
2014-11-19 COMMENT Baytex Energy Corp
BTE-T
Bruce Campbell (2)

Always has his eye on this because of its size and domination in the heavy oil market. Has been punished a little more than some of the other names. He would want to see it basing from a technical standpoint before he looked at it, as well as some revision in their numbers. Probably won't see that until the CRA issue is resolved.


Price: $29.600
Subject: CANADIAN
Bias: BULLISH
Owned: No
2014-11-19 HOLD Baytex Energy Corp
BTE-T
John O'Connell, CFA

A well run company. He was not that keen on their recent US acquisition. Heavy crude oil prices have been quite good recently. The Canadian dollar is falling, and a lot of investors don't appreciate that the falling Canadian dollar is a very healthy offset for a lot of these Canadian oil-producing companies, because they sell in US dollars. This is one that you could own at these prices and probably do pretty well.


Price: $29.600
Subject: NORTH AMERICAN - LARGE
Bias: OPTIMISTIC
Owned: No
2014-11-19 COMMENT Cameco Corporation
CCO-T
John O'Connell, CFA

If you are going to invest in a uranium producer, this is the one to invest in. This is obviously a politically charged investment. Doesn't think there is any way, long-term, that the Europeans, looking at an increasingly belligerent Russian government, can't give nuclear a restart. Also, Chinese coal, oil, natural gas and oil consumption continues to go up. Chinese are embracing the fact that they are killing themselves and everyone else if they don't make adjustments.


Price: $21.630
Subject: NORTH AMERICAN - LARGE
Bias: OPTIMISTIC
Owned: No
2014-11-19 COMMENT Crescent Point Energy Corp
CPG-T
John O'Connell, CFA

He is quite optimistic on the energy space in general, but you always need to be picking good quality companies. Forgetting about the dividend, he likes this company’s growth profile. They have done an extremely good job of executing and growing production, maintaining their costs well, consolidating large areas. They made a very good purchase in the Utica Basin in the US, which a lot of people were very suspicious of, and they proved the critics wrong. His only complaint is that they are serial acquirers of assets. Not necessarily a bad thing, but if they continue to tap the investing landscape in Canada to finance that growth, they have tapped the retail investor one too many times. They need to go down to the US investment bankers and sell their stock to Americans.


Price: $35.300
Subject: NORTH AMERICAN - LARGE
Bias: OPTIMISTIC
Owned: Unknown
2014-11-19 COMMENT DHX Media
DHX.B-T
Bruce Campbell (2)

Stock has done phenomenally well. Had a bit of a pullback recently. He had previously owned this and is on his radar screen. Last quarter's earnings were a little bit of a disappointment to the street. It will eventually be a take out; it is just a matter of when. They continue to build out their library. Just announced a deal where they are going to be doing some work in China. Revenue and earnings are going to slowly catch up to all the building they have done in content. If it pulled back a little more, he would probably look at adding it to his portfolio.


Price: $9.050
Subject: CANADIAN
Bias: BULLISH
Owned: No
2014-11-19 COMMENT Dollarama Inc.
DOL-T
John O'Connell, CFA

Has been a tremendous growth story. Well-run. The company has done an excellent job of increasing the average selling price for their product in the store. There is still a lot of running room from a space perspective. Trades at a pretty rich valuation of 24X estimated earnings. He just doesn't want any exposure to Canadian retailing. Prefers US retailers instead.


Price: $52.830
Subject: NORTH AMERICAN - LARGE
Bias: OPTIMISTIC
Owned: No
2014-11-19 COMMENT Enterprise Group
E-T
Bruce Campbell (2)

A supply services company associated with the oil/gas business. Recent quarter was a bit of a disappointment to the street and the stock dropped back. Probably in the penalty box until 1) the wind is at their back from a sector standpoint and 2) they post a quarter that surprises the street, or at least meet its expectations. He prefers Petrowest (PRW-T).


Price: $0.580
Subject: CANADIAN
Bias: BULLISH
Owned: No
2014-11-19 COMMENT Elkwater Resources Ltd
ELW-X
Bruce Campbell (2)

Quite excited about what is going on. There are 2 different things to look at. Stock price has been under a lot of pressure because 1) low energy prices and 2) they did a recapitalization in the summer, which meant there were a lot of shareholders who had restricted stock, and that came free trading at the beginning of November. At the same time, the company has been working on acquisitions that they made, which will be closing probably later this week or early next. That will allow them to start building the company. They have no debt. This is a real bargain. You'll probably have to be patient.


Price: $0.180
Subject: CANADIAN
Bias: BULLISH
Owned: Yes
2014-11-19 COMMENT General Motors Corporation
GM-N
John O'Connell, CFA

He has tended to stay away from the automotive business, because it is very cyclical and a huge consumer of capital. It is a very, very tough business to survive in. The car cycle still has some room to run, so he feels you could be here if you really want to be invested in the automotive sector.


Price: $32.150
Subject: NORTH AMERICAN - LARGE
Bias: OPTIMISTIC
Owned: No
2014-11-19 TOP PICK Google
GOOGL-Q
John O'Connell, CFA

Has owned this for quite some time. A wonderfully innovative company. 80% of all cell phones operate on their system. Has a great balance sheet. Visionary leadership that doesn't pay themselves a penny. They are able to attract outstanding talent. A lot of the things that they are working on, like autonomous driven cars, are coming to fruition. These are the kind of guys that are making things happen. They are creating the demand. The YouTube site has not been really monetized as much as it probably could be. Trading at about 18X forward earnings. For company this size, growing this well, with that many opportunities, and a dominant position in so many industries, it is incredibly good value.


Price: $547.200
Subject: NORTH AMERICAN - LARGE
Bias: OPTIMISTIC
Owned: Yes
2014-11-19 COMMENT Ikkuma Resources
IKM-X
Bruce Campbell (2)

A really interesting company. The team came over from Manitok (MEI-X). They have a specialty in drilling foothills oil and gas that really no one else has a lot of technical expertise in. Probably finding pools that are sitting there and have never been discovered before. The current environment with the price of oil probably works to their benefit, because they are able to go out and accumulate properties, when nobody else wants them, and probably get fairly good prices for them. Fairly early with the story. Will probably be an exciting story over the next 3-5 years. If you have that kind of time horizon, this will be a great stock.


Price: $1.500
Subject: CANADIAN
Bias: BULLISH
Owned: Unknown
2014-11-19 COMMENT Input Capital Corp
INP-X
Bruce Campbell (2)

Has watched this. A really interesting streaming business. We typically see streaming companies in the energy or mining. This is in agricultural and they stream with canola. What he likes is that they are going to have great cash flow, but they are going to have to build out that base. Still a fairly new company. If you have a longer time frame, this is one you could look at. Doesn't screen super well in his process for earnings, but thinks it's just a matter of time.


Price: $2.010
Subject: CANADIAN
Bias: BULLISH
Owned: No
2014-11-19 TOP PICK Intertain Group
IT-T
Bruce Campbell (2)

Online gambling. This was spun out of Amaya Gaming (AYA-T) and they still have a relationship with them where Amaya is guaranteeing some revenue for them. A big part of their market is in Bingo. Amaya is in the poker market, which is much more fickle as the players tend to move around from one site to the next. Bingo brings in a different demographic of more females. Made a number of acquisitions in the last couple of months, with several more they are working on. Fairly cheap here. Wouldn't be surprised if Amaya came back in and bought them back.


Price: $14.130
Subject: CANADIAN
Bias: BULLISH
Owned: Yes
2014-11-19 HOLD Intertape Polymer Group
ITP-T
Bruce Campbell (2)

This is really a turnaround story that is firing on all cylinders. Just came out with their earnings in the last few weeks and they were blowout numbers. Their big competition in North America is 3M (MMM-N). They continue to execute and have done a very good job of restructuring and streamlining the company. Thinks their business continues to go higher.


Price: $19.320
Subject: CANADIAN
Bias: BULLISH
Owned: Yes
2014-11-19 COMMENT Kelt Exploration
KEL-T
Bruce Campbell (2)

Has really trimmed back his energy exposure, but one area that he has held onto are natural gas stocks. He uses a weather service out of the US, which is really accurate. It is calling for a colder than normal winter in the eastern part of North America. That will draw down the natural gas supply, so he thinks the stock will be fairly firm. This company is very well-managed and are in the right location. It is just a matter choosing between one or the other, and he has actually picked  Pine Cliff Energy (PNE-X) and Storm Resources (SRX-X), which both have great balance sheets and the ability to make acquisitions. Fairly low decline rates and production costs are low. However, he would be comfortable with this one.


Price: $9.380
Subject: CANADIAN
Bias: BULLISH
Owned: No
2014-11-19 TOP PICK Kelt Exploration
KEL-T
John O'Connell, CFA

(A Top Pick Dec 5/13. Down 1.26%.) Has grown its production per share by around 200% plus. Cash flow has grown by a huge amount. Stock has gone down because oil prices are down. Predominantly a natural gas producer. Very, very well run. Producing about 15,000 barrels per day and is going to grow its production next year. Has announced that it is going to reduce its spending budget a little bit next year, but not substantially. Balance sheet is in excellent shape. At these prices, it represents excellent value.


Price: $9.380
Subject: NORTH AMERICAN - LARGE
Bias: OPTIMISTIC
Owned: Yes
2014-11-19 COMMENT Long Run Exploration
LRE-T
John O'Connell, CFA

Extremely high dividend yield of 14%-15%. The company has to do something if the model is not sustainable at these prices. Balance sheets get destroyed and may be having to sell things to pay down debt. If they stopped paying the dividend, he would probably look at this company. They are trapped in this game of having a free lunch in the energy business. His guess is that they are going to sell assets to try to stay sustainable.


Price: $2.730
Subject: NORTH AMERICAN - LARGE
Bias: OPTIMISTIC
Owned: No
2014-11-19 SELL Noranda Income Fund
NIF.UN-T
John O'Connell, CFA

Have a ton of trouble on their hands. A classic case of financial engineering going bad. Noranda sold it into this fund at the highest price they possibly could, to make it look like an attractive investment to unsuspecting retail investors. This is a mess.


Price: $2.390
Subject: NORTH AMERICAN - LARGE
Bias: OPTIMISTIC
Owned: No
2014-11-19 COMMENT Precision Drilling
PD-T
Bruce Campbell (2)

With everything that is happening in the energy sector right now, he has taken a bit of a backseat and doesn't have a lot of energy exposure. Certainly a great company and a great management team. If he started to see oil prices stabilize, so that he would know where capital budgets were going to be for exploration companies, it would be a great point to enter back into this company.


Price: $8.590
Subject: CANADIAN
Bias: BULLISH
Owned: No
2014-11-19 PARTIAL SELL Prometic Life Sciences Inc.
PLI-T
Bruce Campbell (2)

Stock has been on a tear. He originally got involved because of their manufacturing businesses. They manufacture plasma from blood, for different drug companies that are used in different drugs. Sees this business continually ramping up over the next few years. Have a number of drugs that are in clinical trials, and if they get approved then the sample size of the amount of plasma they are going to need is going to expand exponentially. Sort of a lottery ticket, because they also have some technologies for orphan drugs, and that is what has really caught the market’s attention. Just issued stock and raised $25 million. Expects there will be some kind of partnership agreement, which could bring in more cash to fund their trials. Going forward, he thinks the stock goes significantly higher. If you own, consider taking some profits and trade the stock. He likes it at the $1.90 level.


Price: $2.050
Subject: CANADIAN
Bias: BULLISH
Owned: Yes
2014-11-19 COMMENT Pine Cliff Energy
PNE-X
Bruce Campbell (2)

Great company. Thinks they have the balance sheet to do significant acquisitions going forward. Have been very disciplined at what they do. These are the same people that started Bonterra (BNE-T), which has probably had one of the best long-term returns of any stock on the TSX. He thinks this company is doing the same thing. Low production costs and they are buying assets with low decline rates and they don't have much debt. With commodity prices being very cheap here, they probably can step in and buy some natural gas assets, which have more of an oil bent to them, and get them at discount prices. Thinks it goes significantly higher.


Price: $1.830
Subject: CANADIAN
Bias: BULLISH
Owned: Yes
2014-11-19 COMMENT Petrowest Corp
PRW-T
Bruce Campbell (2)

Not a lot has changed except for the share price. They are mostly focused in construction, and if anything, skewed towards the natural gas side of things rather than oil. Have been dragged down with the price of oil, and probably unfairly. Recently had good revenue numbers. A few days of slowdown because of weather. From what he can gather, they are still firing on all cylinders as far as revenues go. That will really drive the earnings numbers. The big wild card is the Site C dam. If it is a positive, this company could get a little or a lot of work depending on if the bid is accepted. Also, there are a lot of LNG projects.


Price: $0.840
Subject: CANADIAN
Bias: BULLISH
Owned: Yes
2014-11-19 TOP PICK Artek Exploration
RTK-T
John O'Connell, CFA

This is a reasonably high risk. Have a large amount of very attractive land in the Montney area in north-eastern BC. Big, big partners. Drilled a couple of bad wells and have some execution problems. Got rid of some people. Just drilled a well a little while ago, that was the best ever condensate well in BC. Somebody just bought a huge amount of land at $130 million right beside them. If you ascribe that $130 million value to this company's land, you get about a $350 million value plus production of about $150 million. Trading around $250 million enterprise value. If they keep executing, he doesn't think this company will remain a public company more than a year.


Price: $2.820
Subject: NORTH AMERICAN - LARGE
Bias: OPTIMISTIC
Owned: Yes
2014-11-19 COMMENT Russel Metals
RUS-T
John O'Connell, CFA

How much of its products are energy sector based? Hasn't followed this recently, so he doesn't know what its exposure is to the energy patch. A well-run company in metal distribution and fabrication. He would be surprised if it didn't have some exposure. Companies in the oil patch are starting their budgets right now. You are going to see budgets come down and one of the dichotomies of this is that the oil services sector continues to lead at a premium valuation to the producers and exploration companies, which doesn't make sense. There still is downside risk. Thinks this one has exposure into the US as well, and he is quite optimistic about the US. A well-run and well matched company and you are being paid around a 5% dividend.


Price: $30.620
Subject: NORTH AMERICAN - LARGE
Bias: OPTIMISTIC
Owned: Unknown
2014-11-19 WAIT Surge Energy Inc
SGY-T
Bruce Campbell (2)

Has a nice dividend of 9.8%, and from the work he has done, the dividend is still sustainable at this level and they can still produce a little bit of growth at this level of  commodity prices. If he saw more pullback in the energy sector along with some stability, it would be one he would add.


Price: $6.040
Subject: CANADIAN
Bias: BULLISH
Owned: Yes
2014-11-19 COMMENT Sensio Technologies Inc.
SIO-X
Bruce Campbell (2)

Still likes this company. Thinks they are suffering from not having a lot of news out. Had a quarter that was great, but going into the next 6 months, we are going to see a lot of news come out for this company. They have their ramp-up with LG. Those LG TVs with the Sensio 3-D apps are just being released into the market right now. It is going to be a big Christmas promotion that LG puts on. This means their 3-D app gets utilized and will get a lot more users. Those users drive their revenue and cash flow.


Price: $0.220
Subject: CANADIAN
Bias: BULLISH
Owned: Yes
2014-11-19 COMMENT Spartan Energy Corp
SPE-T
John O'Connell, CFA

This company can continue to keep its production flat at $65 oil. At $70 oil, they are just fine. The company has one of the best balance sheets in the sector. One of the lowest cost operators. Debt to cash flow next year, at this kind of price, is going to be around 0.8 times, which is one of the best in the industry. Have outdone their targets every time. Prudent.


Price: $2.870
Subject: NORTH AMERICAN - LARGE
Bias: OPTIMISTIC
Owned: Yes
2014-11-19 STRONG BUY Sprylogics International
SPY-X
Bruce Campbell (2)

Just added more to his holdings. He is quite excited about this. There is lots of opportunity ahead. Their original technology was doing search for mobile chat. Cell phone companies have lost a lot of revenue as people have migrated away from SMS platforms towards the Chat programs. This company has a technology that allows them to monetize this through advertising, both from the cell phone companies, but also from over the top carriers. What is really exciting is their most recent announcement that they are moving into the fantasy sports market, a $3.6 billion market with an app called Breaking Sports, which basically provides real-time information on sports. It will comb through and filter all the social media sites, and provide breaking news on sports. It's superfast. Stock is super cheap at this price. Has a $17 million market cap while the Score (SCR-X) has $110 million market cap with 6 million users. With users ramping up in Sprylogics, it could have the same market cap or higher. A big wild card is that it could be taken out.


Price: $0.610
Subject: CANADIAN
Bias: BULLISH
Owned: Yes
2014-11-19 BUY Suncor Energy Inc
SU-T
John O'Connell, CFA

If you want to own a large cap name in Canada, the energy sector is representing good value here. He has quite a bit of energy exposure, although he doesn’t own this one. If you want to own a large cap major, this would be the one. Likes what management is doing. They are paying attention and focusing on cost of capital. They’re not just pursuing growth for the sake of growth. They are buying back their stock when they think that they can't make investments in industries. Global supply is about 93 million barrels a day and global demand is about 93 million barrels a day. They are both growing at about 1.5%. There has been a downtick in growth recently. The large cap oil sands producers have been pursuing these large-scale mining operations and this company has done an excellent job of doing it. Reasonably expensive barrels of oil, and they run for long, long periods of time.


Price: $38.710
Subject: NORTH AMERICAN - LARGE
Bias: OPTIMISTIC
Owned: No
2014-11-19 PAST TOP PICK Stanley Works, The
SWK-N
John O'Connell, CFA

(A Top Pick Dec 5/13. Up 21.04%.) A housing play as well as renovation and industrial construction. They are an innovator in the tool business and own a big part of that. They continue to consolidate the tool business. Made a good European acquisition last year. Pays a good dividend.


Price: $94.880
Subject: NORTH AMERICAN - LARGE
Bias: OPTIMISTIC
Owned: Yes
2014-11-19 PAST TOP PICK Stryker Corp.
SYK-N
John O'Connell, CFA

(A Top Pick Dec 5/13. Up 24.4%.) Fantastic history of increasing the dividend. Well-run company. Good international growth profile. Strong balance sheet. Trading at a very reasonable valuation. A good, long-term growth stock.


Price: $89.640
Subject: NORTH AMERICAN - LARGE
Bias: OPTIMISTIC
Owned: Yes
2014-11-19 COMMENT Trinidad Drilling Ltd
TDG-T
John O'Connell, CFA

There is a good chance that you could see further consolidation in the industry. Doesn't quite know what ramifications the Baker Hughes deal is going to have in the Canadian space. He is reasonably optimistic about the price of oil, but does think we are going to go through a period here where service companies continue to underperform. The first responses will be in the actual exploration and production companies. Thinks there will be more bad news. There are more reductions in drilling coming. This is early. You could probably own it, but you might find better returns somewhere else.


Price: $6.230
Subject: NORTH AMERICAN - LARGE
Bias: OPTIMISTIC
Owned: Unknown
2014-11-19 TOP PICK Terra Firma Capital
TII-X
Bruce Campbell (2)

Specialized financing for real estate. Management used to operate the IPC Reit before they sold it in 2007. They try to get equity like returns on a debt like structure. Thinks they can earn as high as $0.10 a share next year. Putting a conservative 10X multiple on that, the stock is at around $1.20. Just hired someone from Tricon (TCN-T) who looked after their US operations for a number of years. His focus will be going into the US and try to build out the business down there.


Price: $0.740
Subject: CANADIAN
Bias: BULLISH
Owned: Yes
2014-11-19 COMMENT Trans Canada Corp
TRP-T
John O'Connell, CFA

Thinks this is fully valued. There are a couple of hedge funds running around trying to agitate for some change and do some financial engineering by spinning off some of the assets into some MLPs, juice up the yield, borrow some money and sell it to investors so the hedge fund can make a bunch of money. If this sold some of its power assets, that would be a positive. Very interest-rate sensitive.


Price: $57.500
Subject: NORTH AMERICAN - LARGE
Bias: OPTIMISTIC
Owned: No
2014-11-19 PAST TOP PICK Tamarack Valley Energy
TVE-X
Bruce Campbell (2)

(A Top Pick Jan 15/14. Down 0.46%.) Sold his holdings in the $5.20 region. Story hasn't really changed much, it's just the dynamics of the industry and that the wind was starting to go in their face, and not at their backs. Great management and great production and are continuing to grow their base. If there was a correction in the price of oil, he would certainly go back into this again.


Price: $4.200
Subject: CANADIAN
Bias: BULLISH
Owned: No
2014-11-19 COMMENT Whitecap Resources
WCP-T
Bruce Campbell (2)

Very well run. A very sustainable payout ratio, even at these prices. Thinks their payout ratio and dividend are safe. With the wind coming out of the entire energy sector, the price has been hurt. If oil turned around and moved back up, the stock would normally be a Buy. He has turned back his exposure in energy. Probably has one of the lower energy weightings in his portfolio than what he has had in some time. If he saw some wind behind energy, this one would be on his radar.


Price: $13.830
Subject: CANADIAN
Bias: BULLISH
Owned: No
2014-11-18 N/A A Comment -- General Comments From an Expert
A Commentary
Andrew Hamlin

Markets. Lots of optimism in equity markets. Fresh record highs and stocks are pretty much up across the board. We seem to have forgotten about the frenzy of the panic selling in October and it is now really a stampede of buying out there. S&P is up at almost all time highs. Canada is rebounding very nicely despite energy not contributing much. He feels this is warranted. A lot of the macro economic data is very positive, which sets up very nicely for 2015. However, he feels the bounce back has been too swift in such a short period of time. Short term this gives him a little cause for concern. US job openings are at 13 year highs, very positive. Statistics showing people quitting jobs and looking for new jobs is at about 60%, a very high number. This shows that there is a lot of optimism with people thinking they can get better jobs. Every penny change in gasoline prices is about $1 billion to the consumer for spending. There has been about a $0.50 change in gasoline at the pumps in the US, which is a significant benefit to the consumer. We are starting to see that in some restaurant and retail sales. Also, Thanksgiving is next week.


Price: $0.020
Subject: NORTH AMERICAN - INCOME
Bias: BULLISH
Owned: _N/A
2014-11-18 N/A A Comment -- General Comments From an Expert
A Commentary
Michael Bowman

Markets. US retail sales are performing well, the employment situation is looking good and US consumer confidence is off the charts. The market correction has happened and markets are going higher. Life is good. What we don't want to do is go through another period like 2007-2008. We are always going to have market corrections, and sometimes it is tough putting in a Stop when you are just looking at a market correction. 2007-2008 made us realize that it could happen again. It changed at lot of investment advisers. Right now, markets are good and they are going higher and he sees no reason to put in any Stops. Midterm elections are now over and we are into the 4th quarter. Even with the Japanese situation yesterday, the markets went higher.


Price: $0.020
Subject: NORTH AMERICAN - LARGE & ETFs
Bias: BULLISH
Owned: _N/A
2014-11-18 N/A A Comment -- General Comments From an Expert
A Commentary
Michael Bowman

ETF’s. 1st Trust has a basket of ETFs. These are Alphadex formulas where they look at a whole basket of stocks, and rate them all on growth and value characteristics. On growth you have price momentum. There is price-to-book and price to sales on the value side. They rank them all and look at the top quartile which goes into the ETF. The bottom quartile is also going to go in, but will be underweighted. These are new and there is hardly any volume on them yet. (See Top Picks.)


Price: $0.020
Subject: NORTH AMERICAN - LARGE & ETFs
Bias: BULLISH
Owned: _N/A
2014-11-18 N/A A Comment -- General Comments From an Expert
A Commentary
Michael Bowman

Energy. Oil price is a real wild card. There is an OPEC meeting on November 27. There is a rock, paper, scissors game going on right now between Russia, OPEC and the US. He doesn't really know what is going to happen. Doesn't think there is any consensus out there. If oil/gasoline stays around these levels for several months, that could really give a boost to GDP because the consumer will have more money to spend. Thinks that the reason for consumer confidence in the US is so buoyant because of gasoline prices.


Price: $0.020
Subject: NORTH AMERICAN - LARGE & ETFs
Bias: BULLISH
Owned: _N/A
2014-11-18 N/A A Comment -- General Comments From an Expert
A Commentary
Michael Bowman

Casino stocks? Doesn't know why these companies have had such a tough time. Macau in China has now surpassed Las Vegas as the gambling capital of the world. Because of this, he feels you have to look at companies that have access to that area. If he was selecting one, he thinks it would be Las Vegas Sands (LVS-N). If you are looking for the best value, it would be Penn National Gaming (PENN-Q). Also, there is a gaming ETF that is worth looking at, Market Vectors Gaming (BJK-N). He likes the sector a lot.


Price: $0.020
Subject: NORTH AMERICAN - LARGE & ETFs
Bias: BULLISH
Owned: _N/A
2014-11-18 COMMENT AutoCanada Inc.
ACQ-T
Andrew Hamlin

Auto dealerships. Great company, but looking at the share price, it has had a tough go since June-July. There have been a lot of expectations built into the stock. Multiples were high, and when it didn't deliver on earnings, the stock really got hit. The landscape is becoming a little bit more competitive. Company is fine, but we need to see more consistent earnings growth. He would be a little bit valuation sensitive on this, but longer term it is fine.


Price: $57.850
Subject: NORTH AMERICAN - INCOME
Bias: BULLISH
Owned: Unknown
2014-11-18 COMMENT Ag Growth International Inc
AFN-T
Andrew Hamlin

Gives you exposure to agriculture, but it is short line type of agricultural products such as augurs, storage bins, etc. Have some good growth aspects such as international. Very decent company and feels the 4.65% dividend is sustainable.


Price: $51.640
Subject: NORTH AMERICAN - INCOME
Bias: BULLISH
Owned: No
2014-11-18 HOLD Agrium
AGU-T
Andrew Hamlin

Making new highs. There are a number of things going on. A US firm took a sizable stake in the company, which propelled the stock to over $100. They are going to work with management to try to unlock value. Also, 2014 was really a watershed year for this company. Have had a lot of production off-line, so earnings were really troughing in 2014. 2015-2016 is going to see some massive earnings growth, massive cash flow growth as production comes back online. Thinks it is going higher from here.


Price: $115.600
Subject: NORTH AMERICAN - INCOME
Bias: BULLISH
Owned: Unknown
2014-11-18 TOP PICK ATS Automation
ATA-T
Andrew Hamlin

Automation, and as companies globally are trying to be more productive, they are turning to technology, and manufacturing companies are turning to automation. For Canadians, this is a great way to get exposure to that growing trend of automation. Started to focus more and more on service revenue, which is stickier and higher-margin, so they are going to do quite well here. The trend catalyst for the stock is M&A. Free cash flow is good. Leverage is at 2.9 times and will come down through this period of industrial production. It's getting a fair bit of revenue from overseas. This is one of the smaller players, so there is a bit of risk to it.


Price: $14.400
Subject: NORTH AMERICAN - INCOME
Bias: BULLISH
Owned: Yes
2014-11-18 COMMENT Alimentation Couche-Tard (B)
ATD.B-T
Andrew Hamlin

Convenience stores with gas station exposure. Great company and one that was very resilient in the October market correction. What is significant is its revenue and profit that it has generated outside of Canada. About 48% is coming from the US and 35% from Europe. This is a rollup story, so it is out acquiring convenience stores. Has done a very good job on the acquisitions it has done along the way. Generates a staggering $1 billion in free cash flow. Increases its dividend, but doesn't have a massive dividend yield. A little expensive, so you have to be valuation sensitive when you buy.


Price: $40.650
Subject: NORTH AMERICAN - INCOME
Bias: BULLISH
Owned: Yes
2014-11-18 HOLD Amaya Gaming Group Inc.
AYA-T
Andrew Hamlin

Has had a tremendous run. The game changer was when they acquired Poker Stars assets. To invest in it now, you really have to believe they can open up on-line gaming in various US states. He thinks they will. They have a really good shot here. The stock continues to reach new highs, and he thinks there are a lot of expectations baked into the story. He wouldn't be a buyer at this level. Feels they are going to start unlocking some value. There are going to be some asset sales, which will help recycle some capital with repayment of debt, pretty quickly.


Price: $37.340
Subject: NORTH AMERICAN - INCOME
Bias: BULLISH
Owned: Yes
2014-11-18 PAST TOP PICK Boeing
BA-N
Andrew Hamlin

(A Top Pick Oct 4/13. Up 13.84%.) The story is still intact, but he thinks the growth trajectory has really slowed down. Sold his holdings at around the current price. It looked like the 777’s production rate was coming down. Costs are starting to increase a little on the 787's Dreamliner platform. While it continues to be a massive free cash flow generator, it has come down to about $10-$11 billion.


Price: $130.660
Subject: NORTH AMERICAN - INCOME
Bias: BULLISH
Owned: No
Showing 121 to 180 of 134,285 entries